ITAB Shop Concept (ITAB) Q1 2026 earnings summary

Executive summary

• Q1 2026 net sales reached SEK 2,922 million, a 7% decline year-over-year on a currency-adjusted basis, reflecting a cautious market environment.

• Adjusted EBITA was SEK 164 million, down from SEK 192 million last year, but net profit improved to SEK 70 million from SEK 41 million in Q1 2025.

• Strong operational cash flow of SEK 214 million, up significantly from SEK 26 million in the prior year.

• Focus remains on profitable growth, synergy realization, and integration following the HMY acquisition, with about one-third of the EUR 30 million synergy program executed.

• Underlying profitability excluding extraordinary costs remained comparable to Q1 2025, reflecting successful synergy realization and integration progress.

Financial highlights

• Rolling 12-month net sales were SEK 12,883 million, down from SEK 13,200 million in 2025.

• Adjusted EBITDA for the last 12 months was SEK 800 million, compared to SEK 835 million in 2025.

• Net debt reduced to SEK 2,167 million from SEK 2,618 million, with strong cash flow enabling further reduction.

• Operating cash flow for Q1 was SEK 214 million; rolling twelve months at SEK 973 million.

• Gross margin improved to 25.4% (24.8%), and EBITA margin excluding non-recurring items was 5.6% (6.8%).

Outlook and guidance

• Market remains hesitant due to geopolitical tensions, macroeconomic uncertainty, and inflation, but some positive signals are emerging post-EuroShop.

• Focus remains on profitable growth, cost control, and further synergy realization, with full synergy effect of EUR 30 million expected by late 2027.

• Management expects continued improvement in tax rate and working capital efficiency.

• Early signs of increased customer interest in loss prevention and efficiency solutions.