Ferronordic (FNM) investor relations material

Executive summary

• Q2 2026 saw a 43% revenue increase year-over-year to SEK 1,558m, with growth in all segments and record sales in the US, driven by infrastructure and data center construction.

• Operating profit reached SEK 68m, up from SEK -5m in Q2 2025, with all three segments profitable and net profit improving to SEK 45m from SEK -51m, aided by lower finance costs and FX gains.

• EBITDA nearly doubled to SEK 180m, reflecting operational improvements and higher sales, and working capital decreased by SEK 170m quarter-over-quarter.

• Strategic focus on aftermarket, cost discipline, and data-driven operations contributed to improved results.

Financial highlights

• Revenue rose to SEK 1.6 billion, up 43% year-over-year, or 54% in fixed currency.

• Gross margin was 15.8%, slightly lower due to higher equipment/truck share in Germany, but up in the US to 18.2%.

• SG&A expenses decreased 2% to SEK 177m, with SG&A as a percent of revenue down to 11.4%.

• Net debt reduced by SEK 112m in the quarter; net debt to EBITDA improved to 3.0 from 4.5 a year ago.

• Earnings per share reached SEK 3.08, up from SEK -3.51.

Outlook and guidance

• US outlook remains optimistic, driven by high infrastructure and AI-related data center investments, with strong order books and high machine utilization.

• Germany expected to continue gradual recovery, leveraging a lower cost base and growing aftermarket.

• Kazakhstan activity anticipated to improve as government spending resumes, with opportunities in mining and road construction.

• Focus remains on existing operations and selective bolt-on acquisitions.