KB Components (KBC) Q4 2025 earnings summary

Executive summary

• 2025 was a transition year with 3% group sales growth to 2,791 MSEK, driven by acquisitions in Europe and Asia, while North America experienced a downturn due to a shift from tooling/project sales to production ramp-up and negative currency effects.

• Adjusted EBITDA for 2025 was 370 MSEK (13.2% margin), down from 409 MSEK (15.0%) in 2024.

• Profit before tax declined to 122 MSEK (4.4% margin) from 153 MSEK (5.6%) in 2024.

• Cash flow from operating activities improved to 281 MSEK (up from 157 MSEK).

• Dividend of 1.50 SEK per share proposed for 2025, unchanged from prior year.

Financial highlights

• Full-year net sales: 2,791 MSEK (up from 2,721 MSEK); Q4 net sales: 716 MSEK (down from 818 MSEK).

• Adjusted EBITDA: 370 MSEK (13.2% margin); Adjusted EBIT: 181 MSEK (6.5% margin).

• Adjusted EPS: 1.77 SEK (down from 2.64 SEK); reported EPS: 1.65 SEK.

• Cash flow from operating activities: 281 MSEK (up from 157 MSEK).

• Net debt increased to 899 MSEK (up from 707 MSEK); net debt/adjusted EBITDA at 2.5x (2.0x excluding leases).

Outlook and guidance

• Positive outlook for 2026, with volume growth expected from new business ramp-up in North America and continued acquisition-driven growth in Europe and Asia.

• North American production for Rivian R2 to ramp up in Q2 2026, with volumes expected to reach 90,000 vehicles.

• Continued focus on integrating acquisitions, optimizing production, and leveraging customer synergies.

• Stable to slightly increasing volumes anticipated in the medium term.