• We estimate -2% organic growth and -22% adj. EBITA y-o-y in Q1e
• BlakYaks adds to the UK business and is margin enhancing
• Trading at 7.9x EV/EBITA 2025e, ~35% below peers

Note the tough comp in Q1

Even though Proact's suppliers Dell and NetApp are experiencing some turmoil due to the global tariff discussions, Proact remains a fully European company, which limits the exposure to the US market and is therefore more dependent on general IT demand. We still view the current European IT landscape as uncertain and challenging, especially on the hardware side, although signs of improvements should be seen during 2025. However, most recent outlook comments (from the likes of Bechtle and Dustin) remain cautious. Proact has managed the recent market well, in our view, but we highlight the tough comp from Q1'24 (especially on the gross margin side, driven by some high-margin system deliveries last year) ahead of the Q1'25e report. All in all, we estimate -2% organic growth and adj. EBITA of SEK 73m, down 22% y-o-y, which does not differ much from normal quarterly volatility.

Small negative estimate revisions

On the back of the strengthening SEK (primarily vs the EUR) we reduce our estimates, although the changes are partly offset by the acquisition of BlakYaks (link). We cut sales and EBITA by 1-2% in 2025-27e.

Financial position remains strong

We continue to view Proact's position in the market as solid: its financial position remains strong, with possibilities to continue with more M&A and share buybacks. On our updated estimates, the share is trading at 7.9x EV/EBITA 2025e and 6.6x 2026e, which is ~35% below peers.