Interim report 1 January – 30 September 2025

Third quarter 2025

• Order intake increased by 3% and amounted to SEK 7,735 million (7,537). For comparable units, the increase was 3%.
• Net sales decreased by 2% to SEK 7,846 million (7,973). For comparable units, the decrease was 1%.
• EBITA decreased by 3% to SEK 1,143 million (1,182), corresponding to an EBITA margin of 14.6% (14.8%).
• Profit for the quarter decreased by 4% to SEK 674 million (700) and earnings per share amounted to SEK 1.85 (1.92).
• Cash flow from operating activities amounted to SEK 1,016 million (1,019).

CEO’s message

Third quarter
Demand during the third quarter was higher overall than in the corresponding period in the previous year. Order intake increased by 3% and amounted to SEK 7.7 billion (7.5). Organic order growth was 3%, with positive development in more than half of the companies. Companies with customers in medical technology and pharmaceuticals had the strongest growth. Development remained varied between different companies and segments, but demand improved overall in most of the larger customer segments. Four out of five business areas had organic order growth.

Net sales amounted to SEK 7.8 billion (8.0), corresponding to a decrease of 2%, of which 1% was organic. Performance was strongest in the Process, Energy & Water business area, where net sales increased for comparable units. Many companies had a strong development in the Life Science business area, but due to tough comparative figures with strong sales to the pharmaceutical sector in Denmark during the previous year, organic development was overall weaker.

EBITA amounted to SEK 1.1 billion (1.2), corresponding to a strong EBITA margin of 14.6% (14.8%). The margin was held back by the organic sales development, combined with slightly higher expense levels, partly offset by positive effects from newly acquired companies and divestments. The gross margin improved to 35.5% – Indutrade’s highest third quarter figure ever. The EBITA margin increased in two out of five business areas, with Infrastructure & Construction showing the strongest development. The margin decreased slightly in the Industrial & Engineering and Process, Energy & Water business areas.

Cash flow from operating activities amounted to SEK 1,016 million (1,019), a continued high level in line with the previous year. Inventories and total working capital decreased organically compared with the previous year, and working capital efficiency improved further. Interest-bearing net debt decreased compared with both the end of the corresponding period in the previous year and the end of the second quarter. The Group’s financial position remains strong.

Acquisitions
The acquisition pace was high in the third quarter and we welcomed six new companies to the Group. To date this year, we have acquired ten companies with combined annual sales totalling around SEK 1,050 million. For instance, we have strengthened our position in Italy by acquiring SLT, a technical trading company offering testing and safety control devices for the medical technology and healthcare sectors. The Dutch company Magistor, which offers cutting tools and blasting media, was acquired after the end of the third quarter.

Our business areas, business segments and local acquisition resources are working continuously and proactively to identify stable, well-managed companies, and alongside our strong financial position this lays a good foundation for more value-creating acquisitions.

Outlook
Demand has developed positively during the year, but the market generally is still subdued and some uncertainty remains. A somewhat stronger order book and higher acquisition pace, however, gives some confidence regarding the earnings development in the forthcoming quarter.

For the long term, we remain very positive and our business model stands firm. Many of our companies have strong positions and opportunities in industries with good prospects for structural growth. Combined with our strong culture and scalable platform, this lays a good foundation for long-term value creation.

Bo Annvik, President and CEO

For further information, please contact:
Bo Annvik, President and CEO, tel. +46 (0)8 703 03 00,
Patrik Johnson, CFO, tel. +46 (0)70 397 50 30

This report will be commented upon as follows:
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