Green Landscaping Group AB (publ) Just Recorded A 50% EPS Beat: Here's What Analysts Are Forecasting Next
As you might know, Green Landscaping Group AB (publ) (STO:GREEN) just kicked off its latest quarterly results with some very strong numbers. It was overall a positive result, with revenues beating expectations by 6.7% to hit kr1.9b. Green Landscaping Group also reported a statutory profit of kr1.29, which was an impressive 50% above what the analysts had forecast. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Taking into account the latest results, the most recent consensus for Green Landscaping Group from two analysts is for revenues of kr6.84b in 2026. If met, it would imply a modest 3.1% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to surge 37% to kr3.25. In the lead-up to this report, the analysts had been modelling revenues of kr6.72b and earnings per share (EPS) of kr2.99 in 2026. So the consensus seems to have become somewhat more optimistic on Green Landscaping Group's earnings potential following these results.
Check out our latest analysis for Green Landscaping Group
The consensus price target fell 26% to kr35.00, suggesting the increase in earnings forecasts was not enough to offset other the analysts concerns.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. It's pretty clear that there is an expectation that Green Landscaping Group's revenue growth will slow down substantially, with revenues to the end of 2026 expected to display 6.4% growth on an annualised basis. This is compared to a historical growth rate of 15% over the past five years. Compare this to the 19 other companies in this industry with analyst coverage, which are forecast to grow their revenue at 5.8% per year. So it's pretty clear that, while Green Landscaping Group's revenue growth is expected to slow, it's expected to grow roughly in line with the industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Green Landscaping Group following these results. They also reconfirmed their revenue estimates, with the company predicted to grow at about the same rate as the wider industry. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.
With that in mind, we wouldn't be too quick to come to a conclusion on Green Landscaping Group. Long-term earnings power is much more important than next year's profits. At least one analyst has provided forecasts out to 2028, which can be seen for free on our platform here.
Don't forget that there may still be risks. For instance, we've identified 2 warning signs for Green Landscaping Group (1 shouldn't be ignored) you should be aware of.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.