AF Gruppen (AFG) Q3 2025 earnings summary

Executive summary

• Revenue reached MNOK 7,803 in Q3 2025, up from MNOK 7,204 year-over-year, with strong profitability and high activity levels.

• Pre-tax profit rose to MNOK 398 from MNOK 289 in Q3 2024; year-to-date pre-tax profit doubled to MNOK 1,000.

• Order intake surged to MNOK 7,692 in Q3 and MNOK 26,771 year-to-date, with a record order backlog of MNOK 44,382.

• The board approved an additional dividend of NOK 4.00 per share to be paid in November 2025.

• Achieved record third quarter results with strong performance across most business areas, robust cash flow, and a solid order backlog.

Financial highlights

• Operating margin improved to 5.2% in Q3 2025 from 4.2% a year earlier; result margin at 5.1% vs. 4.0%.

• Cash flow from operations was MNOK 1,000 in Q3 and MNOK 1,910 year-to-date, both significantly higher year-over-year.

• Net interest-bearing receivable stood at MNOK 524 at quarter-end, compared to net debt of MNOK -780 last year.

• Equity ratio increased to 21.5% (23.2% excluding IFRS 16 effects).

• Return on invested capital reached 33.7%, well above the 20% target.

Outlook and guidance

• High order backlog and strong financial position support continued high activity and profitability.

• Macroeconomic environment shaped by persistent trade tensions and high interest rates, though inflation is easing.

• Civil engineering market expected to remain stable, with real growth forecast for 2026.

• Construction market in Norway expected to return to growth in 2025 after two years of decline.

• Offshore decommissioning demand expected to increase, especially in the North Sea.