Ferronordic (FNM) Company presentation summary

Business model and strategic positioning

• 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, which constitute a significant share of revenue, leveraging dense service networks and digital tools for customer integration.

• Strategic objectives include market leadership, expansion into related areas, digitalization, and geographic growth.

• Sustainability is integrated, with initiatives in renewable energy, electric vehicles, and preparations for ESRS/CSRD reporting.

• Positioned to benefit from trends in electrification, infrastructure investment, and equipment-as-a-service models.

Financial performance and segment highlights (Q3 2025)

• Group revenue declined 9% to SEK 1,060m, with gross margin up 3.7pp to 19.1% and operating profit at SEK 37m.

• US revenue fell 5% (flat in USD); operating profit was SEK 43m, with strong rental growth and improved margins.

• German revenue decreased 4% (down 1% in EUR); operating loss narrowed to SEK -1m, with improved gross margin and reduced inventories.

• Kazakhstan revenue dropped 70%, but service and parts sales rose 22%, boosting gross margin and operating profit to SEK 7m.

• Net debt reduced to SEK 1,641m, with equity/assets at 32%.

Market outlook and growth opportunities

• US market remains robust, driven by infrastructure spending and opportunities in tech-related construction.

• Germany shows pent-up demand for trucks; service and parts remain strong, with expected recovery as replacements resume.

• Kazakhstan sees signs of recovery in mining and road construction, with new management aiming to boost sales and profitability.

• Growth strategies include expanding dealer networks, increasing efficiency, and leveraging electric transport opportunities.