Nederman (NMAN) Q3 2024 earnings summary

Executive summary

• High activity and strong order intake in most divisions, with continued investments in operational efficiency, innovation, and new manufacturing/logistics sites in Helsingborg and Chesterfield.

• Acquisition of Duroair Technologies in August 2024 strengthens position in North America, especially in defense and aeronautics.

Financial highlights

• Orders received in Q3: SEK 1.437 billion, down from SEK 1.488 billion year-over-year, mainly due to currency effects and Process Technology division.

• Sales in Q3: SEK 1.416 billion, down from SEK 1.574 billion year-over-year; currency neutral growth -6.8%.

• Adjusted EBITDA: SEK 161 million (Q3), margin 11.4% (up from 11.1%); profit after tax SEK 70 million, EPS SEK 2.00.

• Year-to-date adjusted EBITDA: SEK 523 million, margin 12.2% (up 0.6%); profit after tax SEK 258 million, EPS SEK 7.34.

• Strong cash flow from operations in Q3: SEK 181 million (up from SEK 137 million); year-to-date SEK 351 million.

Outlook and guidance

• Demand is slightly slower, but digital offerings, large order backlog, and focus on structurally growing industries support a cautiously positive outlook.

• Risks from interest rates, economic slowdown, and geopolitical uncertainty may impact customer investments.

• Long-term growth potential remains strong due to sustainability trends, regulatory drivers, and increasing awareness of air quality.