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mttssn research · Nordic Deep Dive
Dellia Group (DELIA.OL)
Consumer staples · Branded better-choice snacking (Sunshine Delights) · LTM Q1 2026
Analysis date: 2026-07-07
Price at analysis: NOK 21.80
Method: mttssn_streamlined_v1
Conviction: LOW
BUY
Conviction: LOW
A Norwegian branded snacking company (Sunshine Delights premium dried fruit) scaling fast: LTM revenue NOK 731m, +76% YoY in Q1 2026, adjusted ROIC 27.7%, EP +NOK 54m. At NOK 21.8 the EV prices roughly zero perpetual NOPAT growth against a NOK 910-960m 2026 guide. Margin compression and negative FCF are real, but the price asks for nothing. BUY, low conviction.
Adj. ROIC
27.7%
WACC 8% → spread +19.7pp
Economic Profit
+NOK 54M
+NOK 53.8M; ROIC 27.7% vs 8% default WACC (excess-cash strip flatters IC)
FCF Yield
n/a
-NOK 25.3M LTM; inventory + receivables build, factoring-funded
Price / Target
NOK 22 → NOK 27
+24% base; BUY
Revenue (LTM)
NOK 731.1B
LTM NOK 731M, +76% YoY in Q1; 2026 guide NOK 910-960M ex-Kirirom
EBIT Margin
10.9%
Adj EBIT 13.4% LTM; Q1 clean EBIT 9.5% vs 12.7% on brand/shelf investment
EV / IC
n/a
Enterprise value / invested capital
Net Debt
n/a
Net cash NOK 106.5M post-IPO/placement; NOK 119M factoring debt inside
Thesis

Dellia sells premium dried fruit (natural, chocolate-dipped Dippies, flavoured) under one brand across 13 countries and ~14,000 grocery stores, anchored in Nordic grocery (NorgesGruppen, Rema, Coop, ICA, Kesko) with a scaling Pan-Europe leg — first profitable UK quarter and a Tesco trial from late June 2026. LTM revenue NOK 731m; FY2025 grew +140% organically.

The economics are genuinely capital-light: NOK 273m adjusted invested capital carries NOK 731m of revenue, adjusted ROIC 27.7% and EP +NOK 53.8m at the 8% default WACC. Honest caveat: the ROIC is flattered by stripping NOK 222m of IPO/placement cash from IC, and working capital is funded through NOK 119m of factoring debt — the return spread is real but younger and more fragile than the headline.

The company is deliberately investing ahead of growth — brand building and Nordic shelf-space defence cut Q1 EBIT margin to 9.5% from 12.7% even as gross margin rose to 33.6% from 30.5%. The Kirirom acquisition (12,000t Cambodian dried-mango capacity, closing moved to Q3 2026) converts a distributor into a vertically integrated brand platform with supply control.

Valuation · reverse-DCF & scenarios

Reverse-DCF on the record's market block: EV NOK 845.7m over adjusted NOPAT NOK 75.7m is 11.2x, implying roughly -1% perpetual NOPAT growth at the 8% WACC — against guided 2026 revenue of NOK 910-960m ex-Kirirom (+43-50%). Even haircutting to a 10% sustainable EBIT margin on the guide midpoint, zero-growth value is ~NOK 23/share; growth is free at NOK 21.8.

Base NOK 27 (+24%): 2027 NOPAT ~NOK 85m (revenue ~NOK 1.05bn, 10.5% EBIT margin) at 13x plus net cash. Bull NOK 36: Kirirom consolidates, gross-margin gains hold and EBIT margin recovers toward 13%. Bear NOK 14: margin stuck at 7-8% on shelf-space competition, growth fades, factoring-funded working capital strains.

Market-implied growth
≥-50.0%
model ceiling — EV implies more than constant-ROIC sustains
No-growth value / share
NOK 26,917
123473% of price; rest = priced-in growth
ROIC − WACC
+19.7 pp
ROIC 27.7% vs WACC 8.0% — positive = value creation
CAP (priced-in)
0.0 yrs
years of excess returns the price implies (fades to WACC)

At today’s enterprise value the constant-ROIC reverse-DCF maxes out: even at its sustainable-growth ceiling (~-50.0%, limited by ROIC 28% ≈ WACC 8%) it cannot reach the current EV. No-growth value is NOK 26,917/share (123473% of price); the market prices in growth and/or a higher ROIC than booked — richly valued on this lens. Read the sensitivity grid.

Scenario24m targetImpl. gUpsideProb.Driver
BullNOK 36≥-50%+65%25%Kirirom consolidates; EBIT margin recovers toward 13% on gross-margin gains
BaseNOK 27≥-50%+24%45%Guide delivered at compressed ~10.5% margin; zero-growth floor ~NOK 23
BearNOK 14≥-50%-36%30%Shelf-space war holds margin at 7-8%; growth fades, WC strains
Prob-weightedNOK 25+16%100%Scenario-weighted expected value

Sensitivity — fair value / share at WACC × growth

WACC \ g0%3%5%8%10%15%
6.50%36,69041,18244,44249,75653,59964,345
7.25%31,03434,65037,26741,52344,59353,149
8.00% (base)26,91729,90132,05435,54738,06045,041
8.75%23,78426,29228,09631,01533,11038,908
9.50%21,32023,45724,99027,46429,23434,114

Green = fair value above the current price of NOK 21.80. The reverse-DCF conclusion is dominated by WACC and growth — see the whole surface, not a single fair value.

Method & data. NOPAT NOK 75,689, invested capital and ROIC 27.7% are observed (adjustments.json); WACC 8.0% and terminal g 2.5% are assumptions. EV→equity uses net debt NOK -106. The model holds ROIC constant (no fade) over the explicit horizon; the CAP figure instead fades excess returns to WACC.

⤓ Download the full model (.xlsx) — formula-driven sheets; flex the blue input cells and the model cascades in Excel.

Key drivers

1. 2026 guidance

NOK 910-960m revenue ex-Kirirom, +43-50% on FY2025; Q1 already ran +76% YoY.

2. Kirirom integration

12,000t Cambodian dried-mango capacity closing Q3 2026; vertical integration adds supply control and gross margin.

3. International rollout

13 countries, ~14,000 stores; first profitable UK quarter, Tesco trial from late June 2026.

4. Gross-margin trajectory

Q1 gross margin 33.6% vs 30.5% — sourcing control is converting scale into margin even during the spend phase.

5. Capital-light model

NOK 273m invested capital on NOK 731m revenue; incremental growth needs little capital.

Key risks
Conclusion

Dellia is an early-stage quality compounder candidate priced as ex-growth: 27.7% adjusted ROIC, positive EP, net cash, and an EV embedding ~-1% perpetual growth against a +43-50% guided year. The conservative base case — compressed margins, no Kirirom credit — still reaches NOK 27 (+24%). BUY, low conviction; the discount pays for the uncertainty.

Conviction is capped LOW until Kirirom closes cleanly, FCF turns with the working-capital cycle, and a second reporting year confirms the margin floor. Sustained EBIT margin below ~8% or a Kirirom break would shift the call toward the NOK 14 bear case.

Footnote evidence & sources

Every adjustment traces to the cited note/page in the source filing — click to open it there. Annual report / 10-K: 📄 open  ·  Latest interim: 📄 open

Adjustment / figureValueSourceWhy mttssn treats it this way
Revenue (FY2025)638,291Consolidated statement of comprehensive income / Note 2.1 📄 p.35FY anchor revenue for LTM bridge.
EBIT (FY2025)74,462Consolidated statement of comprehensive income 📄 p.35Reported operating profit; base for one-off add-backs.
Company adjusted EBIT (FY2025)93,300Board of Directors' report / APM 📄 p.13Company adjusted EBIT of NOK 93.3m implies NOK 18.8m of one-off add-backs; anchors the APM bridge.
One-off adjustments (FY2025)18,838Note 2.2 Segments / Eliminations & Adjustments 📄 p.46NOK 18.8m listing + Kirirom transaction and other non-recurring costs — genuine one-offs added back to NOPAT.
Revenue Q1 2026214,425Interim statement of comprehensive income 📄 p.14Quarter added in LTM bridge.
Revenue Q1 2025121,581Interim statement of comprehensive income (comparative) 📄 p.14Quarter subtracted in LTM bridge.
EBIT Q1 202620,404Interim statement of comprehensive income 📄 p.14Clean EBIT (company discontinued adjusted-EBIT APM); added in LTM.
EBIT Q1 202515,406Interim statement of comprehensive income (comparative) 📄 p.14Subtracted in LTM bridge.
Total equity (31.03.2026)373,092Interim statement of financial position 📄 p.16Latest-interim equity for IC snapshot.
Interest-bearing liabilities (31.03.2026)119,370Interim statement of financial position 📄 p.16Non-current 195 + current 119,175 factoring/trade-finance debt added to IC.
Cash (31.03.2026)237,113Interim statement of financial position 📄 p.16IPO/placement-heavy cash; excess stripped from IC.
Cumulative translation differences (31.03.2026)-3,040Interim statement of changes in equity 📄 p.17Accumulated OCI removed from equity for IC.
Consolidated tax rate0.23Note 2.8 Income tax 📄 p.44Group effective/consolidated rate ~23% used to tax adjusted EBIT.
Analysis history

How the mttssn view has evolved — each prior dated note is preserved.

Quality · Buffett tenets9 / 15
Understandable business
Simple branded dried-fruit snacking model (source, process, sell into 14,000 grocery stores) — but only three quarters of listed history and +76% growth make the run-rate hard to trust
Durable moat
Sunshine Delights brand plus Kirirom vertical integration (12,000t mango capacity) is forming, not formed — Nordic shelf-space competition already compressed Q1 EBIT margin to 9.5%
Management & capital allocation
Candid reporting (voluntarily dropped the adjusted-EBIT APM from Q1 2026); disciplined vertical-integration deal — but a NOK 24.8m dividend months after a ~NOK 200m raise, with negative FCF, is odd routing
Financial strength & returns
Adjusted ROIC 27.7% vs 8% WACC, EP +NOK 53.8m, net cash NOK 106.5m — tempered by -NOK 25.3m LTM FCF on working-capital build and NOK 119m factoring debt; excess-cash strip flatters IC
Valuation margin of safety
EV/adj NOPAT 11.2x embeds ~-1% perpetual growth vs a NOK 910-960m 2026 revenue guide (+43-50%); even a compressed 10% margin supports ~NOK 23/share at zero growth