Securitas (SECU) Q4 2025 earnings summary

Executive summary

• Achieved 8% operating margin target in H2 2025, with Q4 margin at 8.0% (8.2% adjusted) and strong performance across all segments, especially North America and Europe.

• Organic sales growth was 4% for the year and 3% in Q4; technology and solutions real sales growth reached 6% in Q4.

• EPS before items affecting comparability (IAC) increased by 18% year-over-year; dividend proposal up 18% to SEK 5.30.

• Robust cash generation with operating cash flow at 88% of operating income before amortization.

• Strategic assessment and optimization programs nearing completion, including exit from Argentina and divestiture of French airport security business.

Financial highlights

• Full-year sales were SEK 155,113M, with Q4 sales at SEK 38,422M.

• Operating income before amortization was SEK 11,493M for FY 2025; Q4 operating income improved by 15% adjusted for currency.

• Free cash flow for FY 2025 was SEK 6,832M, supported by strong operating cash flow and lower interest payments.

• Net income for FY 2025 was SEK 5,144M; EPS before IAC was SEK 11.55.

• Net debt reduced to SEK 31.3 billion, net debt/EBITDA improved to 2.1x.

Outlook and guidance

• Majority of underperforming security services contracts in Europe expected to be completed by H1 2026, with growth and margin improvement weighted to H2.

• Most of the SCIS government business to be closed by end of 2026, with accelerated execution in H1.

• CAPEX expected to remain around 2.5%-2.6% of group sales.

• Continued focus on profitable growth, commercial synergies, and scaling recurring revenue.

• European transformation program costs estimated at SEK 225-250 million for FY 2026.