Boreo (BOREO) Q4 2025 earnings summary

Executive summary

• Net sales grew 14% year-over-year to EUR 153.3 million in 2025, with organic growth of 11%.

• Operational EBIT increased 17% to EUR 8.0 million, with EBIT margin at 5.2% and EBIT up 64% to EUR 6.7 million.

• Fifth consecutive quarter of organic sales growth in Q4 2025, with sales of EUR 46.3 million (+18%), organic growth of 12%, and operational EBIT of EUR 2.8 million (+33%).

• Two acquisitions completed in 2025 after a pause in 2024, with integration ongoing and limited profit contribution so far.

• CEO transition: Tuomas Kahri to start April 2026, also leading Technical Trade; no CFO recruited as of Q1 2026, with interim roles assigned.

Financial highlights

• Q4 2025 net sales reached EUR 46.3 million, up 18% year-over-year, with 12% organic growth.

• Q4 operational EBIT was EUR 2.8 million, up 33% year-over-year, with EBIT margin at 6%.

• Gross margin for 2025 improved by 1.5 percentage points to 31.7%, with Q4 gross margin at 28%.

• Full-year operative cash flow was EUR 7.5 million, with cash conversion at 83% for 2025 and 176% in Q4.

• Net debt/operational EBITDA reduced to 2.1x at year-end 2025.

Outlook and guidance

• Order books in both business areas are stronger than a year ago, supporting a positive outlook for 2026.

• Earnings improvement expected to be weighted toward the second half of 2026, partly due to ERP project costs in H1.

• Construction sector remains weak, but defense and metal industry segments show strong prospects.

• Focus remains on developing existing companies and pursuing acquisitions that fit ownership criteria.

• No separate short-term financial guidance; focus on long-term strategic targets.