AAK (AAK) Q2 2026 earnings summary

Executive summary

• Q2 2026 saw a 1% decline in volumes and net sales, with operating profit down 6% year-over-year, mainly due to price pressure in Food Ingredients and production challenges at Karlshamn, though cash flow remained strong and profitability was resilient.

• For H1 2026, volumes grew 1% and operating profit at fixed currencies increased 3% year-over-year, reflecting a solid first-half performance despite a 2% decrease in net sales due to negative currency effects.

• Chocolate & Confectionery Fats outperformed the market, maintaining solid profitability despite subdued chocolate demand, while Food Ingredients faced significant price pressure and production issues.

• Strategic initiatives advanced, including achieving gold status in the Sustainable Coconut Charter audit and a new collaboration with Savor for innovative, animal-free fat solutions.

• Net debt/EBITDA improved to 0.68, and ROCE stood at 20.0% at the end of Q2 2026, indicating a robust financial position.

Financial highlights

• Q2 2026 volumes: 486 KMT (-1% YoY); net sales: SEK 11,198 million (-1% YoY); operating profit: SEK 1,095 million (-6% YoY, excl. items affecting comparability); operating profit per kilo: SEK 2.25 (-5% YoY).

• Profit for Q2: SEK 804 million (+25% YoY); EPS: SEK 3.07 (+24% YoY).

• H1 2026 volumes: 1,001 KMT (+1% YoY); net sales: SEK 22,586 million (-2% YoY); operating profit: SEK 2,381 million (+10% YoY, -2% excl. items affecting comparability).

• Operating cash flow reached SEK 1,081 million in Q2, supported by improved working capital.

• Free cash flow for the period was SEK 681 million.

Outlook and guidance

• Market conditions remain cautious, with no expectation of rapid improvement; management reaffirmed the 2030 aspiration to grow volumes ahead of the market and achieve operating profit per kilo above SEK 3, targeting 10% average EBIT growth over time.

• Focus remains on disciplined execution, operational efficiency, and cash generation, with ongoing strategic programs in portfolio management, production optimization, and procurement.

• No specific guidance for Q3 or H2, but achieving 10% EBIT growth for the full year would require significant acceleration.