Husqvarna (HUSQ) Q3 2025 earnings summary

Executive summary

• Q3 saw flat organic sales growth, with strong performance in the professional segment, especially robotic mowers and handhelds, while residential and North American markets remained subdued.

• Operating income and margin improved year-over-year, driven by cost control, favorable product mix, and ongoing cost savings programs, despite FX and tariff headwinds.

• Cash flow remained strong, enabling significant net debt reduction and a healthier balance sheet.

• Announced closure of the Brastad facility in Sweden to drive asset-light strategy and generate SEK 100 million annual savings from 2027.

• New CEO Glen Instone appointed in August 2025, focusing on competitiveness, cost efficiency, and innovation.

Financial highlights

• Q3 net sales were SEK 9,204m, with flat organic growth and a -5% currency impact; operating income rose to SEK 141m (1.5% margin) from SEK 52m (0.5%) last year.

• Robotics and Battery segments now represent 22% of net sales, up from 20% a year ago.

• Year-to-date, Robotics sales grew 12%, with premium/mid-range segment accounting for over 70% of sales.

• Net debt reduced to SEK 9.9bn (12.8bn), net debt/EBITDA improved to 2.2 (2.4); inventory reduced by SEK 1.3bn.

• Q3 gross margin increased to 28.5% (26.0%), and EBITDA margin for Q3 at 9.6% (8.6%).

Outlook and guidance

• Full effect of cost savings program expected in 2026, with SEK 300 million in savings to be realized by H1 2026.

• Closure of Brastad facility to generate SEK 100 million annual savings from 2027.

• Continued focus on innovation, with new AI-based robotic mowers and a strategic roadmap to be presented in December 2025.

• Expect continued headwinds from FX and tariffs in Q4, each around SEK 100 million.

• Price development expected to be flat; no significant price increases anticipated.