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Orkla (ORK) investor relations material
Orkla Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Organic growth reached 3.8%–4.9%, mainly from price increases and some volume growth across portfolio companies.
Adjusted EBIT grew 2.5%–6% year-over-year, with margin improvements and mixed results across segments.
Adjusted EPS was NOK 1.56–3.24, up 0.6%–9.5% year-over-year.
Portfolio simplification continued with divestments of hydropower assets and Pierre Robert Group.
Orkla India filed a draft hearing prospectus, progressing toward an IPO.
Financial highlights
Operating revenue rose 3.5%–5% year-over-year, driven by organic sales growth.
Adjusted EBIT margin for consolidated portfolio companies at 10.3% in Q2 2025.
Cash flow from operations in H1 was NOK 2.4 billion, down from NOK 2.8 billion year-over-year.
Net interest-bearing debt/EBITDA at 1.6x–2.0x as of Q2 2025.
ROCE for consolidated portfolio companies increased to 11.8% (up from 10.6% year-over-year).
Outlook and guidance
Raw material prices expected to stabilize in 2025, but cocoa and food inflation remain high and volatile.
Jotun's 2025 outlook remains positive despite currency and economic uncertainties.
Financial targets for 2024–2026: 8–10% underlying EBIT (adj.) CAGR, 1.5–2.0 pp margin improvement, ROCE to reach 13% by 2026.
Continued focus on organic value creation and portfolio optimization.
Food inflation in the EU and Norway remains high, raising uncertainty about consumer demand.
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