Gränges (GRNG) investor relations material

Executive summary

• Achieved record sales volume and earnings in Q2 2026, marking the tenth consecutive quarter of year-over-year volume growth, with a 5% increase in sales volume and the highest quarterly sales volume ever recorded.

• Adjusted operating profit rose 33% year-over-year to SEK 580 million, with gains from volume, pricing, recycling, and productivity offsetting cost increases and currency headwinds.

• Sustainability performance reached new highs, with the lowest-ever carbon emissions intensity and highest recycled aluminium share.

• Americas and Europe led growth, offsetting hesitant demand and weak end-user markets, while Asia faced headwinds from a facility fire.

• Positive momentum and outlook expected to continue into Q3.

Financial highlights

• Q2 2026 sales volume grew 5% year-over-year to 167,000–167,100 tons; net sales rose 39% to SEK 9,682 million.

• Adjusted operating profit increased by 33% to SEK 580 million; profit for the period rose 38% to SEK 405 million.

• Earnings per share increased to SEK 3.73.

• Operating cash flow was SEK -155 million in Q2, impacted by SEK 600 million working capital increase due to higher aluminium prices.

• Return on capital employed improved to 11.8%, up 0.6 percentage points year-over-year.

Outlook and guidance

• Americas and Europe expected to see mid- to high single-digit sales volume growth in Q3 2026, driven by continued market share gains.

• Asia expected to see continued price pressure and a year-on-year sales volume decrease of ~10,000 tons due to the Shandong fire, mainly affecting lower-margin industrial products.

• Cost increases to be offset by pricing, recycling, and productivity improvements; foreign exchange rates expected to be broadly neutral in Q3.

• Positive cash flow anticipated in Q3, with SEK 300 million benefit if aluminium prices remain stable.