Railcare Group (RAIL) Q3 2026 earnings summary

Executive summary

• Record Q3 net sales of SEK 229.6m, up 16.9% YoY; EBIT rose 31.2% to SEK 39.6m and operating margin reached 17.3%.

• 9M net sales were SEK 573.9m, up 15.4%; EBIT was SEK 79.6m, up 50.9%, with profit for the period of SEK 49.8m.

• High transport volumes drove the quarter; contracting activity remained subdued, and UK operations are scheduled to cease at year-end.

Financial highlights

• Q3 net sales were SEK 229.6m vs SEK 196.3m; EBIT was SEK 39.6m vs SEK 30.2m. 9M net sales were SEK 573.9m vs SEK 497.4m; EBIT was SEK 79.6m vs SEK 52.7m.

• Q3 profit before tax was SEK 34.0m vs SEK 25.7m; profit for the period was SEK 27.1m vs SEK 20.4m.

• 9M EPS was SEK 2.05 vs SEK 1.36.

• Q3 operating expenses rose 13.7% to SEK 194.5m, mainly reflecting Technology costs tied to the Railvac delivery.

• Operating cash flow was SEK 41.9m in Q3 vs SEK 59.2m; 9M operating cash flow was SEK 94.7m vs SEK 94.8m.

Outlook and guidance

• Updated long-term target: average annual EBIT growth of at least 10% over a business cycle, replacing previous targets through end-2027 of SEK 1,000m net sales and a 13% operating margin.

• Contracting volumes are expected to be higher in coming years as preparatory work deferred by track renewals resumes; full-year 2026 contracting volumes are expected to be lower.

• Snow clearance assignment scheduled to commence in mid-November; focus remains on securing long-term transport assignments and external work, particularly in Skelleftehamn.

• UK operations are scheduled to close at year-end; rolling 12-month operating margin was 12.7%, below the 13.0% target referenced in CEO comments.