Bergman & Beving (BERG) Q3 24/25 earnings summary

Executive summary

• Achieved 20 consecutive quarters of profit growth, with Q3 EBITA up 10% year-over-year to MSEK 121 and revenue up 6%, driven by acquisitions and operational efficiency despite a sluggish market.

• EPS (rolling 12 months) improved to SEK 7.55 from SEK 7.15.

• Six acquisitions completed in the first nine months, adding annual revenue of approximately MSEK 390 and supporting profit and margin improvements.

• Cash flow from operating activities reached an all-time high of MSEK 214 in Q3 and MSEK 502 for the nine months.

• Net profit for Q3 was MSEK 54, with nine-month net profit up 10% to MSEK 167.

Financial highlights

• Q3 revenue: MSEK 1,264 (+6% YoY); nine months: MSEK 3,661 (+4% YoY).

• Q3 EBITA: MSEK 121 (+10% YoY); nine months: MSEK 360 (+12% YoY); margin improved to 9.6% in Q3 and 9.8% for nine months.

• Rolling 12-month EPS reached SEK 7.55 (7.15 prior year).

• All-time high cash flow from operating activities, driven by profitability and lower working capital.

• Net debt increased marginally due to acquisitions, with operational net loan liability at MSEK 1,223.

Outlook and guidance

• Market expected to remain sluggish in the near term, with recovery anticipated after summer 2024 or in the first half of the next financial year.

• Group targets: profit over working capital to reach 45% and EBIT to reach SEK 500 million by fiscal 2026/27.

• Anticipated market growth of 2–5% in 2025, with construction expected to recover faster than industry.

• Focus remains on profit expansion, cost control, and gross margin protection.

• Further structural measures may be considered if market weakness persists.