eWork Group (EWRK) Q4 2025 earnings summary

Executive summary

• Net sales for Q4 2025 were SEK 3,639M, down 13% year-over-year, reflecting continued market challenges, especially in Sweden, with no clear signs of short-term recovery.

• EBIT for Q4 was SEK 16M, impacted by a SEK 20M one-off write-off of legacy IT investments; adjusted EBIT was SEK 36M.

• Full-year 2025 net sales were SEK 13,741M, down 13% from the previous year, mainly due to weaker markets, fewer workdays, and phase-out of less profitable contracts.

• Strategic expansion continued with new operations in Belgium and planned entry into Germany in 2026, aiming for geographic diversification.

• New CEO appointed in November 2025 with a transformation mandate, focusing on digitalization and AI-powered services.

Financial highlights

• Gross margin improved to 4.1% in Q4 (up from 4.0% YoY), driven by more profitable contracts and value-adding services.

• EBIT for the full year 2025 was SEK 123M (down from SEK 190M), with SEK 28M in non-recurring items; adjusted EBIT was SEK 151M.

• Q4 profit after financial items fell 79% to SEK 11M; full-year profit after financial items dropped 46% to SEK 95M.

• Board proposes a dividend of SEK 4 per share, down from SEK 7, exceeding the target of 75% of net profit.

• Order intake in Q4 was SEK 6.6B, down 14% from the previous quarter.

Outlook and guidance

• No conclusive signs of market recovery; further softening expected in H1 2026, with EPS for 2026 expected to decrease by 10%-20%.

• Organizational restructuring underway to increase agility, sales focus, and long-term cost efficiency, targeting SEK 18M in annual cost savings.

• Launch of Ework Client Hub and further AI integration planned for 2026.