Alligo AB (STO: ALLIGO.B) is a prominent player in the Nordic region, specializing in the sale of workwear, personal protective equipment, tools, and consumables. The company operates under well-known brands such as Swedol and TOOLS, serving a diverse clientele across Sweden, Norway, and Finland.
Recent Performance and Strategic Initiatives
In the fiscal year ending December 31, 2024, Alligo reported revenues of SEK 9.33 billion, consistent with the previous year’s figures. However, the adjusted EBITA declined to SEK 601 million from SEK 827 million, resulting in a margin of 6.4% compared to 8.9% in the prior year. This decrease was primarily attributed to a shift in the customer mix, with increased sales to larger industrial clients at lower margins and reduced sales to small and medium-sized enterprises.
Despite these challenges, Alligo has been proactive in strengthening its market position through strategic acquisitions. Notably, in November 2024, the company acquired Corema Svets & Industriprodukter AB, a full-service supplier of welding and industrial products, adding approximately SEK 155 million in annual revenue. Subsequently, in February 2025, Alligo completed the acquisition of Svenska Batterilagret AB, a leading specialist in batteries and accessories with annual revenues around SEK 275 million. These acquisitions are part of Alligo’s strategy to enhance its offerings in high-tech product areas and diversify its customer base.
Financial Health and Shareholder Returns
Alligo maintains a robust financial position, with a net debt to adjusted EBITDA ratio of 2.4, well within its target of below 3. This prudent leverage allows the company to continue investing in growth opportunities while ensuring financial stability. For the fiscal year 2024, the Board has proposed a dividend of SEK 2.00 per share, reflecting a cautious approach to balance shareholder returns with reinvestment in the business.
Why Alligo?
Alligo’s strategic focus on acquisitions and expanding its portfolio in specialized, high-demand product areas positions it well for future growth. The company’s efforts to integrate acquired businesses and leverage synergies demonstrate a commitment to enhancing operational efficiency and market reach. Investors may find Alligo appealing due to its proactive growth strategy, solid financial health, and dedication to delivering value through both organic growth and strategic acquisitions.
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This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
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