Europris (EPR) Q4 2025 earnings summary

Executive summary

• Group sales rose 16.7% to NOK 14.9 billion in 2025, with Q4 sales up 5.3% to NOK 4.6 billion; EBIT increased 6.6% to NOK 1.3 billion, but net profit declined 2.8% due to Swedish turnaround and prior year one-off gains.

• Norway outperformed expectations, gaining market share and growing faster than the market, driven by increased footfall and volume.

• Sweden showed first signs of positive turnaround, with improved store performance and green numbers, but customer traffic remains a challenge.

Financial highlights

• Q4 group sales: NOK 4.6 billion (+5.3%), EBIT: NOK 677 million (+8.6%); full-year sales: NOK 14.9 billion (+16.7%), EBIT: NOK 1.3 billion (+6.6%), net profit NOK 814 million (−2.8%).

• Q4 gross margin: 42.6%; full-year gross margin: 40.9% (down 0.8pp); opex-to-sales ratio: 24.9% for the year.

• Cash from operations: NOK 1.5 billion; net debt NOK 4.3 billion (NOK 858 million ex-leases); liquidity reserves NOK 2.1 billion.

• Dividend per share proposed at NOK 3.75 (+7.1%), payout ratio 75.4%.

Outlook and guidance

• Positive consumer sentiment expected in 2026, supported by declining inflation, rising real wages, and anticipated interest rate cuts in Norway and Sweden.

• Sweden expected to deliver similar operating profit in 2026 as 2025 due to remodelling costs; profitable growth targeted from 2027 after store upgrades.

• Long-term target for Sweden: SEK 5 billion sales and 5% EBIT margin by 2028.