Arbona (ARBO) Q1 2025 earnings summary

Executive summary

• Q1 2025 marked by high uncertainty due to macroeconomic and geopolitical factors, impacting order intake and market volatility.

• Some business units saw improved results over the previous quarter, with new customer wins offsetting cautiousness among existing clients.

• The listed equity portfolio declined 4% by end of March but recovered to year-start levels by end of April.

• Strategic focus remains on operational improvements, selective acquisitions, and shifting from listed equities to long-term active ownership.

Financial highlights

• Industrial segment revenue rose to 212.0 MSEK in Q1 2025, up 540% year-over-year due to expanded consolidation; EBITA margin at 6.5%.

• Transport technology segment revenue was 30.0 MSEK, up 2% year-over-year; EBITA margin declined to 6.5%.

• Merbona Invest (real estate) posted 3.2 MSEK in rental income, up 4% year-over-year; EBIT margin at 35.8%.

• Portfolio value at period end: 1,135.8 MSEK, with a negative value change of -45.9 MSEK, mainly due to Eastnine.

Outlook and guidance

• Ongoing market uncertainty expected to persist, with focus on continuous improvement and acquisition opportunities.

• Anticipated recovery in industrial and transport segments as new orders and increased offer volumes provide a foundation for future growth.