Embellence Group: Look for D2C comments, Q2 to be uneventful - ABG

Q2 report due 17 July 2025
Q2e net sales of SEK 189m and EBITA of SEK 24m
We reiterate our fair value range of SEK 35-42


Q2e: EBITA growth of -4% y-o-y

We expect little change in the underlying momentum from Q1. Our base case remains a slow recovery from the post-pandemic renovation slump, driven by growing transaction volumes. By brand, we expect Boråstapeter to grow similarly to Q1 (+1% y-o-y), 9pp organic acceleration in Wall&decò on much easier comps (for organic growth of 4%), normalised growth in Artscape, as the comparable quarter did not contain any large orders, and in external manufacturing, as the new, higher run-rate sales level was first reached in Q2'24. On the group level, this translates into a 9pp acceleration for organic growth of 2%. Adverse FX weighs by 4pp on Q2 net sales growth of -1.3% for net sales of SEK 189m. We expect limited margin differences y-o-y, for EBITA of SEK 24m vs. SEK 25m in Q2'24. In the report, we will look for more commentary from the new CEO on the D2C journey ahead.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/embellence-group/Equity-research/2025/6/embellence-group---look-for-d2c-comments-q2-to-be-uneventful/