NCC (NCC) Q1 2026 earnings summary

Executive summary

• Orders received increased 5.4% year-over-year to SEK 14.8 billion, marking the strongest intake in a long period, with stable contracting earnings despite a harsh winter.

• Net sales declined to SEK 9,650 million from SEK 11,077 million year-over-year, mainly due to seasonal effects, lower activity in Industry, and the phasing out of zero-margin mega projects.

• Operating profit in Contracting reached SEK 177 million despite lower revenues, attributed to the removal of large zero-margin projects.

• Operating loss widened to SEK -237 million from SEK -170 million, with a net loss after tax of SEK -186 million, reflecting seasonal and weather impacts.

• Board proposes a regular dividend of SEK 9.00 per share and an extra dividend of SEK 2.00 per share.

Financial highlights

• Group EBIT was -237 MSEK, down from -170 MSEK in Q1 2025, mainly reflecting negative seasonality in Industry.

• Earnings per share after dilution was SEK -1.90 (Q1 2025: -1.39); rolling 12 months, excluding items affecting comparability, was SEK 13.4.

• Cash flow from operating activities was SEK -470 million (vs. SEK -359 million), and net cash/debt position worsened to SEK -2,535 million.

• Return on capital employed was 15% and return on equity was 16%.

• Net debt/EBITDA at 0.81x, well below the 2.5x limit.

Outlook and guidance

• Positive outlook for the year, especially in Industry, supported by high state investments in infrastructure and strong order intake.

• Margins in Contracting are expected to improve as low-margin projects exit the portfolio.

• Net sales in Contracting and Building expected to decline slightly in Q2 and Q3, with recovery anticipated in the second half of the year.

• Tax ratio expected to remain at 26% for the year unless property sales occur.

• Company targets EPS ≥16 SEK (R12: 13.4 SEK) and net debt/EBITDA <2.5x.