(RTTNews) - Saab AB (SAABF), a Swedish defense and security company, Friday reported that its net income increased in the fourth quarter, driven by strong sales growth. The company also lifted dividend, and raised mid-term outlook.
Saab is currently trading at SEK 218.60, up by 3.93% on the Stockholm Stock Exchange.
For the fourth quarter, net income increased to SEK 1.44 billion from SEK 1.25 billion in last year's quarter.
The earnings per share grew to SEK 2.68 from SEK 2.27 in the previous year.
The EBITDA increased to SEK 2.73 billion from SEK 2.03 billion a year ago. EBITDA margin went up to 13.1 percent from prior year's 12.6 percent.
The net sales increased to SEK 20.85 billion from SEK 16.12 billion in a year ago quarter. Organic growth was 29%, driven by all business areas.
Further, the Board proposed a dividend for 2024 of SEK 2.00 per share, higher than last year's SEK 1.60 per share.
Looking ahead, for fiscal 2025, the company expects organic sales growth to range between 12 to 16 percent and an EBIT growth higher than the organic sales growth.
The medium-term target for 2023 to 2027 organic sales growth at compound annual growth rate or CAGR is now expected at around 18 percent, compared with the previous organic sales growth outlook of around 15 percent at CAGR.
The firm also projects an EBIT growth higher than the organic sales growth for the medium term.
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