One year after its merger with Pöyry, AFRY is still struggling. At the time of the Pöyry acquisition, AFRY, the ÅF, wanted to reignite organic growth and improve its profitability. The result is mixed.
AFRY, the former ÅF Pöyry, made another tuck-in acquisition, in line with its strategy to strengthen its current businesses. The company acquired Norway-headquartered One World.
Swedish ER&D service vendor ÅF Pöyry changed its brand to AFRY, the amalgamation of ÅF and pöyRY. Meanwhile, its legal name will remain ÅF Pöyry.
ÅF Pöyry’s revenue growth (yoy, at CC/CS) continued to decelerate this quarter, declining from +8% in Q1 to +1% in Q3 2019, despite the positive impact of an additional working day (+90 bps on revenue growth during the quarter). The company suffered from the same issues as in Q2: a slowdown in the automotive sector from its largest automotive client, (impacting Industrial & Digital Solutions Division) and delayed decision-making in the Infrastructure Division in Denmark.
2018 was an eventful year: the top ER&D vendors accelerated their M&A activities. Alten continued to deploy its business model. HCL Tech’s ERS unit had a superb year