JM (JM) Q2 2025 earnings summary

Executive summary

• Revenue and operating profit declined year-over-year due to fewer residential units in production, lower sales, and a cautious housing market amid geopolitical uncertainty and delayed recovery.

• Market conditions improved in Sweden and Norway due to interest rate cuts and regulatory changes, but consumer demand remained subdued.

• Efficiency measures, cost reductions, and capital-efficient land acquisitions were implemented to maintain competitiveness and liquidity.

• Sustainability initiatives achieved significant climate emission reductions and recognition as a climate leader in Europe.

Financial highlights

• Q2 2025 revenue was SEK 2,540m (3,583 prior year); operating income SEK 116m (169); operating margin 4.6% (4.7%).

• H1 2025 revenue was SEK 5,079m (6,617), operating profit SEK 246m (329), and operating margin 4.8% (5.0%).

• EPS for Q2 was SEK 0.58 (1.18); H1 EPS SEK 1.39 (2.42); return on equity 2.2% (2.9%).

• Cash flow from operations was SEK -204m in Q2 (663m prior year) and SEK -714m in H1 (-285m prior year).

• IFRS revenue for Q2 was SEK 3,248m (4,668m prior year); IFRS EPS SEK 1.18 (2.56 prior year).

Outlook and guidance

• Gradual market recovery is expected, but timing is uncertain due to delayed customer decisions and pending regulatory changes.

• Improved underlying market conditions and reduced unsold inventory signal potential for recovery.

• Focus remains on production efficiency, cost control, and selective project starts to maintain competitiveness.

• Long-term fundamentals are strong with a robust land bank and competitive cost structure.