Instalco (INSTAL) Q4 2025 earnings summary

Executive summary

• Net sales for 2025 were SEK 13.6 billion, down 0.7% year-over-year, with a year-end backlog of SEK 9.5 billion and a book-to-bill ratio of 70%.

• EBITA/EBITDA for the year was SEK 800 million (5.9% margin); adjusted EBITDA was SEK 875 million (6.4% margin), down from SEK 879 million (6.4%) in 2024.

• Q4 marked the first EBITDA/EBITA growth in seven quarters, with net sales up 4.4% to SEK 3.8 billion and EBITDA/EBITA up 39% to SEK 272 million (margin 7.2%).

• Operational improvements, Instalco 2.0 roll-out, and a new organisational structure contributed to stronger financials and accountability.

• Service business remained stable, accounting for 38% of sales in Q4 and the full year.

Financial highlights

• Q4 net sales grew 4.4% to SEK 3,766 million; organic growth was 4.9%.

• Q4 EBITDA/EBITA margin improved to 7.2% from 5.4% year-over-year.

• Full-year net sales declined by -0.7%, with organic decline of -0.3%.

• Cash flow from operations exceeded SEK 1 billion for the year, with a cash conversion rate of 108%.

• Net debt/EBITDA at year-end was 2.8x, above the long-term target of 2.5x.

Outlook and guidance

• Market conditions remain mixed and late-cyclical, with cautious signs of recovery in Sweden and Norway.

• Focus remains on profitability, margin improvement, and disciplined project selection over volume growth.

• Gradual improvement expected in complex installations and industrial segments; residential and private investments subdued.

• Instalco 2.0 initiatives and operational discipline to continue driving improvements and risk management.

• Entering 2026 with cautious confidence; Q1 is seasonally weak.