Fasadgruppen Group (FG) Q4 2025 earnings summary

Executive summary

• 2025 was a transformative year with a focus on deleveraging and profitability, marked by resilience despite macroeconomic challenges and strong organic growth of 5.1% in Q4.

• Net sales for 2025 rose 10.6% year-over-year to SEK 5,446.8 million, with strong performance in Sweden, Denmark, and Finland, but weaker in Norway and the UK due to BSR delays.

• Adjusted EBITA for the year increased 58.4% to SEK 447.4 million (margin 8.2%), with Q4 adjusted EBITA at SEK 109.9 million (margin 7.6%).

• Profit for the year was SEK -116.1 million, impacted by a SEK 99.4 million capital loss from the Alnova divestment.

• A fully guaranteed SEK 504 million rights issue was announced to reduce leverage and support future growth initiatives.

Financial highlights

• Organic growth reached 5.1% in Q4, with total net sales up 6% year-over-year; full-year net sales grew by 10.6%.

• Adjusted EBITA for Q4 was SEK 109.9 million (margin 7.6%), and full-year adjusted EBITA was SEK 447.4 million (margin 8.2%).

• Operating cash flow hit a record SEK 240.5 million in Q4, up 30% year-over-year; full-year operating cash flow was SEK 537.8 million.

• Cash conversion for the full year was 99%, just below the 100% target.

• Leverage reduced from 3.76 in Q3 to 3.25 in Q4, with a target to go below 2.5 after the rights issue.

Outlook and guidance

• Management expects to lead market recovery in 2026 and beyond, supported by a strong order backlog and improved capital structure.

• The rights issue and improved debt ratio provide flexibility for organic growth and selective acquisitions.

• Interest rate cuts and EU energy directives are expected to drive future demand, especially for energy renovations.

• UK market expected to see continued demand for façade remediation and renovation, with BSR risks expected to decrease.

• Clear Line's backlog provides visibility into 2028, with significant project starts expected from late Q1 2026.