Electrolux (ELUX) Q2 2026 earnings summary

Executive summary

• Organic sales grew 2% year-over-year to SEK 31,569m, driven by EMEA, APAC, and Latin America, while North America declined due to weak demand and tariff impacts.

• Strategic partnership with Midea in North America and global efficiency initiatives, including factory closures and restructuring, are progressing as planned.

• SEK 9.1bn rights issue completed, strengthening the balance sheet and supporting transformation plans.

• EBIT excluding non-recurring items rose 51% to SEK 1,202m (3.8% margin), but significant negative non-recurring items (SEK -2.2bn) led to a reported operating loss and net loss.

• North America faced declining demand and higher tariff costs, partially offset by price increases of 5–20%.

Financial highlights

• Net sales increased by 2% organically and 0.9% reported year-over-year to SEK 31,569m.

• EBIT excluding non-recurring items improved to SEK 1,202m (3.8% margin), up from 2.5% last year.

• Cost efficiency contributed SEK 1.4bn to operating income in Q2.

• Cash flow after investments improved to SEK 1,607m, compared to -SEK 741m a year ago.

• Operating income included SEK 2.2bn in negative non-recurring items, mainly from the Midea partnership and restructuring.

Outlook and guidance

• Neutral market outlook for Europe; negative for North America due to continued weak demand and tariff headwinds; positive for Brazil and Latin America.

• Full-year cost efficiency contribution expected at SEK 3.5–4bn.

• External factors, especially tariffs and Middle East conflict, expected to have significant negative impact on EBIT in 2026.

• Capital expenditure revised to SEK 3–3.5bn for the year.

• Increased investments in innovation and marketing to support long-term value.