Siili Solutions as an Investment

Yeah, Tuomas Toropainen started at the beginning of September and had also bought over 5400 shares in October. I wonder if this new guy is sharper than the previous one, now that this thing came to light. At least that share purchase is positive.

Greetings Inderes Forum readers, Frans has written comments on Siili’s negative profit warning.

Hi @Frans-Mikael_Rostedt

Did you ask Siili about that, or what logic led you to the conclusion from the release that this technical entry would partly explain the negative result, and would not come as bad news in addition to it?

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“During the autumn Siili’s sales has developed positively. However, some customers have postponed their investment decisions until next year. The group adjusted EBITA for 2025 will also be significantly affected by the correction of a technical accounting error.”

edit:AI nÀköjÀÀn kÀÀntÀÀ englanninkielisen lainauksen suomeksi inden palstalla, mutta linkin takaa löytyy

So, the English announcement has different information than the Finnish announcement.

That doesn’t really clarify the matter. The Finnish one didn’t mention that correction affecting adjusted EBITA, but rather the result.

“The 2025 result will also be significantly burdened by the correction of a technical accounting error”

Don’t know what the situation is then, strangely confusing vibe.

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Indeed, the English announcement was much clearer than the Finnish one, meaning it hasn’t been corrected, and part of the guidance calculation is explained by that technical error. If the magnitude is what Frans is guessing, then a negative surprise is almost a positive one compared to expectations.

SEB also reached the same conclusion as Frans, but couldn

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That’s what you get for leaving communications in the capable hands of Siili AI :smiley: In itself, the Finnish and English versions are not contradictory; the English one is just more precise.

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On the one hand, I see that the company would have exceeded the market’s expectations baked into the share price by hitting the lower end of its guidance, and that, regarding Q4 business, it could very well be de facto happening, corrected from a “technical error.”

On the other hand, my trust in the company’s communication has generally been tested for a long time, and this kind of mess doesn’t increase it much. So I don’t just mean the error (let it pass), but the fact that one has to guess which press release to read and how. One can talk vague nonsense about AI, which isn’t true, or even a lie, in a promotional sense, but in financial reporting, you don’

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Hey, yeah, I also contacted the company about this, and it’s clearly explained in the English announcement :+1:t2:

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Hardworking night owl Joni has completed Siili’s company report late at night with the attitude: ora et labora :slight_smile: He prepared the report regarding the technical downward EBITA guidance.

Siili lowered its adjusted EBITA guidance for 2025 last week, which was, however, only a slight disappointment, as the main reason for the decrease was technical. However, the company kept its revenue guidance unchanged, which is particularly positive. It is important that the decline in revenue is reversed, which will allow efficiency measures to yield better results. The stock’s risk-reward ratio is attractive (2026e EV/EBITA and P/E 6x and 9x). We reiterate our ‘add’ recommendation and lower the target price to 5.2 euros (previously 5.5) reflecting the forecast changes.

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Behind a paywall, so the more detailed content is unknown.

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Siili Group’s strategic direction and the culture of its subsidiary Vala Group are now tangibly reflected in two significant recruitments: Virpi Tuohisto and Ari Hirvonen, who have transferred from Gofore, have joined the group in key roles.

Tuohisto started at Vala at the beginning of December in the role of Head of Test Automation & AI, and Hirvonen had already started earlier in the autumn as Siili’s Sales Director.

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