Bufab (BUFAB) Q4 2025 earnings summary

Executive summary

• Achieved record-high gross margin and operating profit for 2025, with total growth of 0.5% and organic growth at 0.3%, despite weak demand and an uncertain market environment.

• Q4 net sales increased by 3.7% to SEK 1,931 million, with all regions except UK/Ireland delivering strong results.

• Continued execution of strategy, including value-added services, value-based pricing, and a new sustainability offering.

• Acquisition of Novia Group expanded presence in Europe West; divestment of a small US manufacturing unit.

• Awarded EcoVadis platinum rating for sustainability in 2025.

Financial highlights

• Record-high gross margin at 31.9% for the year and adjusted operating margin at 13.3%.

• Q4 gross margin improved to 33.8% (from 29.7%); adjusted operating margin at 13.1%.

• Q4 cash flow from operating activities was SEK 224 million, with cash conversion at 93%.

• Board proposed a dividend of SEK 1.30 per share, up from SEK 1.05.

• Full-year adjusted EBITA up 12% to SEK 1,070 million; Q4 EPS up 33% to SEK 0.79.

Outlook and guidance

• Expectation of continued positive gross margin development and profitability target of 14% operating margin by 2026.

• Focus remains on margin improvement, cost control, and strong cash flow.

• Optimistic about market share gains and new business despite market uncertainty.