Rockwool (ROCK) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue reached €906 million, up 2.3% in local currencies but flat in reported figures, driven by strong gains in Eastern Europe and the U.S. despite challenging construction markets and adverse weather.

• EBIT margin was 13.2%, down 2.2 percentage points year-over-year, with EBIT at €120 million, impacted by weak markets in Canada and the UK, higher logistics costs, and increased cost base.

• Net profit from continuing operations declined by €24 million to €85 million.

• The Russian business was deconsolidated as of January 13, 2026, resulting in a €170 million loss from currency translation.

• Share buy-back of 238,060 B shares completed for €7 million.

Financial highlights

• EBITDA was €187 million (margin 20.7%), down 9% year-over-year; EBIT margin fell 2.2 percentage points to 13.2%.

• Free cash flow was -€119 million, down €68 million from Q1 2025, mainly due to higher investments.

• Net debt stood at €306 million, with a leverage ratio of 0.4 at quarter-end.

• Equity ratio decreased to 70.1% from 74.9% a year ago.

• Net working capital increased to 14.3% of revenue, mainly due to inventory build and higher trade receivables.

Outlook and guidance

• Revenue growth for 2026 expected between 3% and 6% in local currencies, supported by increased activity and midyear sales price increases.

• EBIT margin for 2026 maintained at 13%-14%, with price increases of 6–8% expected to offset input and logistics cost inflation.

• Total investments for 2026 projected at around €700 million, including expansions in India, Romania, U.S., and France, excluding acquisitions.