Company DescriptionNOTE AB (publ), together with its subsidiaries, provides electronics manufacturing services in Sweden, Finland, the United Kingdom, Estonia, China, and internationally. The company offers advanced production technology services in close collaboration with customers, such as component selection, developing test equipment, prototyping, and serial production, as well as after-sales services. It also produces PCBAs, sub-assemblies, and box build products. The company primarily serves the medtech, greentech, industrial, and communication industries. NOTE AB (publ) was incorporated in 1999 and is headquartered in Stockholm, Sweden.

How the Company Makes Money

NOTE AB Financial Statement Overview

Summary

NOTE AB presents a strong financial position with impressive profitability and cash flow metrics, despite a slight decline in revenue growth. Its balance sheet remains robust, with a well-managed capital structure. Continued focus on maintaining growth and managing leverage will be key to sustaining financial health.

Income Statement

Positive

NOTE AB has demonstrated a solid financial performance over the years. The gross profit margin for 2023 was approximately 12.1%, showing efficiency in cost management. The net profit margin improved to around 7.5% in 2023, indicating strong profitability. The revenue growth rate was 15.1% from 2021 to 2022, although it slightly decreased by 8.1% from 2022 to 2023, suggesting potential challenges in sustaining growth. The EBIT margin increased to 9.9% in 2023, reflecting effective operational management.

Balance Sheet

Positive

The company's balance sheet portrays a healthy financial standing. The debt-to-equity ratio was approximately 0.54 in 2023, indicating a balanced leverage position. Return on equity was high at 23.0% in 2023, showcasing efficient use of equity to generate profits. The equity ratio stood at 43.3%, suggesting a solid capital structure with a strong equity base. However, the increase in total debt could pose a risk if not managed properly.

Cash Flow

Very Positive

NOTE AB has shown robust cash flow management. Free cash flow grew significantly from 2021 to 2022. The operating cash flow to net income ratio improved to 1.07 in 2023, indicating strong cash generation relative to reported profits. The free cash flow to net income ratio also stood at 0.77, exhibiting effective cash conversion. The substantial increase in operating cash flow from prior years underlines a strong cash flow position.

TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
Income Statement		Total Revenue
3.85B	3.90B	4.24B	3.69B	2.64B	1.87B
	Gross Profit
521.00M	519.00M	513.79M	473.17M	353.65M	224.69M
	EBIT
352.00M	351.92M	420.42M	344.68M	250.52M	149.14M
	EBITDA
475.00M	474.00M	542.00M	415.71M	309.51M	200.08M
	Net Income Common Stockholders
249.00M	248.00M	319.96M	254.24M	194.06M	115.66M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
531.00M	411.18M	169.84M	87.66M	99.17M	67.74M
	Total Assets
3.30B	3.21B	3.22B	2.77B	2.08B	1.11B
	Total Debt
634.00M	630.00M	753.33M	553.00M	468.98M	153.02M
	Net Debt
103.00M	219.00M	583.49M	465.35M	369.80M	85.28M
	Total Liabilities
1.65B	1.57B	1.82B	1.67B	1.27B	541.61M
	Stockholders Equity
1.65B	1.64B	1.40B	1.10B	800.26M	567.63M
Cash Flow		Free Cash Flow
651.00M	602.00M	246.88M	2.67M	-61.77M	171.74M
	Operating Cash Flow
695.00M	602.00M	341.84M	49.79M	-33.13M	188.70M
	Investing Cash Flow
-158.00M	-137.00M	-243.64M	-80.96M	-108.79M	-16.96M
	Financing Cash Flow
-275.00M	-236.00M	-11.84M	14.50M	168.22M	-171.86M

NOTE AB Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NQA		€408.70M	18.27	15.49%	4.38%	―	―
Sector *	62 Neutral	$11.80B	10.31	-7.45%	2.91%	7.43%	-7.78%
0GT8		kr3.50B	22.82	10.90%	1.15%	―	―
02H0		€500.86M	15.64	9.71%	―	―	―

* Technology Sector Average

Performance Comparison

DE:NQA

NOTE AB

13.89

1.07

8.35%

GB:0GT8

Beijer Electronics Group AB

108.60

-12.18

-10.08%

DE:02H0

Hexatronic Group AB

2.48

-1.56

-38.61%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.