Vertical market software

Vitec

Vitec's business idea is to acquire and develop market leading, vertical software companies in niche markets. These are normally restricted to certain geographies as the software can be hard to sell in some areas. The business strategy is a combination of making use of the M&A arbitrage from buying unlisted companies, rationalization and maximisation of current business, as well as geographical and market diversification. The company rather than the niche in which it operates is in focus when Vitec makes an acquisition.

Financials

Vitec

SEKm 2017 2018 2019
Sales 855 1001 1056
Sales growth (%) 26,6 17,1 5,5
EBITDA 234 285 313
EBITDA margin (%) 27,3 28,5 29,7
EBIT adj 107 138 158
EBIT adj margin (%) 12,5 13,8 15
Pretax profit 98 122 143
EPS rep 2,66 3,15 3,69
EPS growth (%) 7,4 18,5 17,1
EPS adj 2,66 3,29 3,69
DPS 1,1 1,2 1,3
EV/EBITDA (x) 12,6 9,9 8,7
EV/EBIT adj (x) 27,5 20,5 17,3
P/E (x) 32,7 25,4 21,7
P/E adj (x) 32,7 24,3 21,7
EV/sales (x) 3,4 2,8 2,6
FCF yield (%) -0,4 -1,2 5,4
Dividend yield (%) 1,3 1,5 1,6
Net IB debt/EBITDA 1,5 1,4 1

Main shareholders

Vitec

Main shareholders Share capital % Voting shares %
Lars Stenlund 5.7 % 26.4 %
Olov Sandberg 4.9 % 23.8 %
Mawer Investment Management 6.1 % 3.0 %
Thomas Eklund 5.9 % 2.9 %
Didner & Gerge Fonder 5.4 % 2.7 %
SEB Fonder 5.4 % 2.7 %
Martin Gren (Grenspecialisten) 3.9 % 1.9 %
Utah Retirement Systems 3.7 % 1.8 %
Nils-Eric Öquist 3.0 % 1.5 %
Fidelity 2.7 % 1.4 %