Storskogen Group AB (publ)
LSE:0AA9
Storskogen Group AB (publ)
Storskogen Group AB, a dynamic player in the Nordic business landscape, has positioned itself under the limelight with its unique approach to diversified investment. Founded with a strategic vision, Storskogen focuses on acquiring and developing small to medium-sized enterprises across multiple sectors. Their operations encompass a wide array of business areas, including industry, services, and trade, thus forging a robust framework that insulates the company from the volatility of any single market. This methodical distribution of interests allows Storskogen to sustain a balanced growth trajectory, aligning with the ethos of creating long-term value through active ownership.
The group's revenue model hinges on identifying profitable, oftentimes under-the-radar businesses, which exhibit potential for improvement and expansion. Through strategic acquisitions, Storskogen injects not just capital, but also managerial expertise, nurturing these businesses to realize their optimal performance thresholds. By focusing on operational efficiencies and synergies, Storskogen enhances the value of its portfolio companies, which in turn fuels steady revenue streams. This approach reflects a disciplined commitment to fostering business environments where innovation and stability coexist, propelling the conglomerate to new heights in the marketplace.
Storskogen Group AB, a dynamic player in the Nordic business landscape, has positioned itself under the limelight with its unique approach to diversified investment. Founded with a strategic vision, Storskogen focuses on acquiring and developing small to medium-sized enterprises across multiple sectors. Their operations encompass a wide array of business areas, including industry, services, and trade, thus forging a robust framework that insulates the company from the volatility of any single market. This methodical distribution of interests allows Storskogen to sustain a balanced growth trajectory, aligning with the ethos of creating long-term value through active ownership.
The group's revenue model hinges on identifying profitable, oftentimes under-the-radar businesses, which exhibit potential for improvement and expansion. Through strategic acquisitions, Storskogen injects not just capital, but also managerial expertise, nurturing these businesses to realize their optimal performance thresholds. By focusing on operational efficiencies and synergies, Storskogen enhances the value of its portfolio companies, which in turn fuels steady revenue streams. This approach reflects a disciplined commitment to fostering business environments where innovation and stability coexist, propelling the conglomerate to new heights in the marketplace.
Sales & EBITDA: Storskogen reported Q3 sales of SEK 8 billion and adjusted EBITDA of SEK 783 million, with a margin of 9.8%, up from 8.7% last year.
Margin Improvement: Margin gains were driven by divestments of unprofitable businesses and operational improvements, particularly in services.
Cash Flow: Cash conversion remains high at 99% on a rolling 12-month basis, well above the 70% target.
Leverage & Debt: Leverage ratio improved slightly to 2.6, and there are no major bond maturities before 2027.
Credit Rating: S&P affirmed Storskogen's BB credit rating and upgraded the outlook from negative to stable.
Seasonality & Outlook: Q3 was seasonally weaker, but Q4 is expected to be stronger, in line with typical patterns.
