Teqnion (TEQ) Q2 2026 earnings summary

Executive summary

• Q2 2026 net sales reached 517.9 MSEK, up 9% year-over-year, with EBITA rising 36% to 72.9 MSEK and an EBITA margin of 14.1% compared to 11.3% last year.

• Organic EBITA increased 52% year-over-year, despite a 3% organic sales decline due to discontinuation of unprofitable business.

• Underlying pre-tax profit from subsidiaries more than doubled compared to Q2 last year.

• The group is showing steady improvement each quarter, with new processes and turnarounds contributing to a stronger foundation.

• Several acquisitions were completed, including Powerair Ltd, T.E.S.T Ltd, and Norband Ltd. Oy.

Financial highlights

• Q2 2026 EBITA: 72.9 MSEK (up 36% year-over-year); EBITA margin: 14.1%.

• Organic EBITA rose 52% year-over-year, compared to 13% in Q1 2026.

• Free cash flow (excluding acquisitions) surged to 35.0 MSEK, up 678%.

• Net debt/EBITDA: 1.7x, improved from 1.9x last year.

• EPS: 2.48 SEK (up 11% year-over-year); profit for the period: 42.6 MSEK (up 11%).

Outlook and guidance

• Management expects continued improvement in margins and earnings, focusing on sustainable, profitable growth and further acquisitions.

• Organic earnings growth rates are expected to moderate as comparisons become tougher, moving toward a new normal.

• The company aims to double EPS every five years and maintain an EBITA margin above 9%.

• Backlog has increased, with three subsidiaries showing exceptional order intake, supporting future revenue and profit growth.

• No new material risks identified; ongoing monitoring of geopolitical events.