AAK (AAK) investor relations material

Executive summary

• Volumes grew 3% year-over-year to 515,000 metric tons, with strong profitability and operating profit up 11% at fixed FX, despite negative currency translation effects impacting reported figures.

• Operating profit reached SEK 1,285 million, up 2% year-over-year (11% at fixed FX), and profit for the period was SEK 965 million, up 3% year-over-year.

• Operational cash flow was SEK 1,395 million, supported by improved working capital and internal optimization initiatives.

• The Fit-to-Win cost optimization program continues to deliver savings, with full impact expected by mid-2026.

• Priorities remain on driving volumes, strengthening profitability, and maintaining disciplined execution.

Financial highlights

• Operating profit per kilo was SEK 2.49, down 1% year-over-year (up 9% at fixed FX).

• Return on Capital Employed was 20.7%, excluding items affecting comparability.

• Net debt/EBITDA stood at 0.39, reflecting a robust balance sheet.

• Free cash flow for the quarter was SEK 1.1 billion.

• Earnings per share before dilution rose 3% to SEK 3.69.

Outlook and guidance

• Market conditions remain cautious with limited near-term visibility, but early signs of volume recovery are present.

• FX headwinds expected to persist but decline after Q1; full-year negative impact estimated at SEK 280–300 million at current rates.

• CapEx for 2026 expected to be SEK 1.5 billion, slightly higher than 2025.

• Focus remains on operational efficiency, commercial execution, and value creation to achieve 2030 targets.