Panostaja Oyj Business Review November 1, 2022–January 31, 2023
Profitability improvements are underway.
November-2022–January-2023:
- Net sales fell 0.9% to MEUR 35.5. (MEUR 35.8). Three of the four categories improved comparable net sales.
- Three of four segments improved EBIT. EBIT for the Group rose to MEUR 0.1 from the reference period (MEUR -0.9).
- Grano’s review-period net sales fell 1.3%. MEUR 0.8 EBIT (MEUR 0.3). Net sales rose 4.3% from the reference period adjusted for the SokoPro transaction.
- Undiluted EPS was -1.5 cents (-1.3 cents).
Tommila:
“We started the new financial quarter with clear goals: we want to focus efforts to boost profitability across all our areas and attempt to prepare for any risks caused by the uncertain economic scenario. Our plan also includes creating new value-added categories. We performed well in Grano and Oscar Software in the first quarter as our profitability efforts paid off.
Grano has worked hard to limit anomalous cost increases and promote profitability development while focusing on strategy and implementation. I’m glad the efforts are paying off. Oscar Software achieved sales and delivery efficiency in the first quarter. Profitable expansion of continually invoiced commercial activities is our focus presently. CoreHW’s client project activity and demand for its high-value design services have remained robust. Hygga worked hard to tackle health care personnel availability issues, and at the conclusion of the quarter, results were accomplished.
CoreHW has invested in long-term technology and product development. Consumer feedback suggests that the company’s indoor Bluetooth-based positioning component products are among the world’s most accurate and reliable. Customers may now invest in product development and commercialization using CoreHW’s indoor positioning technology. The business predicts tremendous development in industry, retail, and healthcare applications for indoor positioning technologies. CoreHW products have great commercial potential. We believe the time is perfect to accelerate CoreHW’s commercialization, thus we’ve committed roughly MEUR 4 to product development and commercialization. Panostaja’s subordinated loan and Business Finland’s product development loan provide extra finance.
Our investment in CoreHW’s product business accelerates Panostaja’s aim of becoming an active owner partner for rising Companies. CoreHW invested on technology development throughout Panostaja ownership. We’ve built the company’s value generating route alongside our owners. In reality, our strength as a balancing investor is seen when we can, in our chosen style, boost the business’s wealth creation plan with an extra investment a good while after our original investment, after the firm has matured to a reasonable level and the market condition is favorable.
Grano, Hygga, CoreHW, Oscar Software, and Others comprise Panostaja Group’s present business operations (parent company and associated companies).
Gugguu Group Oy gave a review report. Throughout the review period, the reported connected firms’ profit/loss was MEUR -0.0 (MEUR 0.1).
2023 Financial Forecast
Corporate acquisitions are dynamic and provide new prospects.
SMEs will still require ownership arrangements and growth prospects, but strong market liquidity and seller price expectations, which tend to follow economic trends with some delay, make corporate purchases difficult.
We will continue to find new investment targets and evaluate disposal options as part of their own objectives.
Short-term demand for various investments is expected to develop as follows:
Oscar Software and CoreHW will stay popular.
Grano and Hygga will stay popular.
Geopolitical and economical repercussions are difficult to predict under the demand condition above. The war in Ukraine, economic sanctions, and geopolitical tensions may heighten economic uncertainty in Finland and abroad, which may lower segment demand, material availability, costs, and delivery. If sustained, inflation may reduce consumers’ purchasing power and enterprises’ investment willingness, weakening our sectors’ demand from the forecast above. The revival of the coronavirus pandemic may also affect Grano and Hygga’s development and drastically modify the estimate above.
Panostaja
Directorate
Network Hype Team