QleanAir (QAIR) Q1 2026 earnings summary

Executive summary

• Q1 2026 currency-adjusted sales grew 10.6% year-over-year, but reported revenue declined 2.3% due to significant FX headwinds, mainly from the Japanese yen.

• Recurring revenues were SEK 63 million (reported), SEK 72 million in constant currency, making up 56% of total sales and reflecting underlying growth.

• Gross margin remained strong at 68%, with all product categories above 60%.

• EBITDA margin was 13.1%, down from 14.3% last year, but adjusted for one-offs and FX, showed slight improvement.

• Settlement of the US legal dispute with Curexa provided a positive SEK 6 million effect, offsetting project delays.

Financial highlights

• Net sales: SEK 114 million (reported), down 2.3% year-over-year; SEK 128 million in constant currency (+11%).

• Recurring revenues: SEK 63 million (reported), SEK 72 million in constant currency.

• Gross profit: SEK 77 million; gross margin: 68%.

• EBITDA: SEK 14.9 million (13.1% margin); EPS: SEK 0.24 (Q1 2026) vs SEK 0.18 (Q1 2025).

• Operating cash flow for Q1 was -SEK 5 million, mainly due to Curexa settlement and postponed U.S. cleanroom projects.

• Net interest-bearing debt: SEK 131.9 million; equity/asset ratio: 38.5%.

Outlook and guidance

• New financial targets: organic sales growth above 5%, EBITDA margin 15%-20%, cash conversion rate 80%-100%, and dividend payout of 30%-50% of profits.

• Focus on growing Air Cleaners and U.S. Cleanroom business, while maintaining strong Cabin Solutions position.

• Second half of 2026 expected to be stronger for U.S. Cleanroom business due to project pipeline.

• Transformation program remains on track, focusing on operational excellence, sales efficiency, and customer focus.

• No intention to expand finance company sales in Japan; focus on own-book rental model in Europe.