Ferronordic (FNM) Company presentation summary

Business model and strategy

• Operates as a dealer for leading brands in construction equipment and trucks across the US, Germany, and Kazakhstan, offering sales, rentals, service, and parts.

• Focuses on aftermarket services, digitalization, and customer-centric solutions to drive recurring revenue and customer integration.

• Pursues organic growth, bolt-on acquisitions, and geographic expansion, with a strong emphasis on sustainability and electrification trends.

• Strategic objectives include market leadership, expansion into related business areas, and industry-leading digital platforms.

• Leverages strong OEM relationships and a robust brand portfolio to support growth and operational excellence.

Financial performance and objectives

• Q1 2026 revenue was SEK 1,128m, down 6% YoY but up 6% in fixed currency; gross margin improved to 17.7%.

• Operating profit more than doubled to SEK 37m, with EBITDA up 49% to SEK 124m; net profit improved to SEK 32m.

• Net debt increased to SEK 1,957m due to integration of Housby and inventory build-up; equity/assets ratio at 30%.

• Financial targets: double 2024 revenue in five years, operating margin above 6%, net debt/EBITDA below 3x, and dividend payout of at least 50% of net profit if leverage is low.

Regional highlights

• US: Strong demand driven by infrastructure and data center investments; sales up 16% in local currency, with robust aftermarket and rental growth.

• Germany: Positive operating profit despite subdued market; aftermarket sales up 6% in EUR, improved margins, and lower cost base.

• Kazakhstan: Stable aftermarket business, break-even operations, and focus on operational improvements and customer development.