Trelleborg (TREL) Q3 2025 earnings summary

Executive summary

• Achieved record third-quarter profit and margin, with all business areas posting organic growth of 4% year-over-year; total sales up 1% in SEK, with 3% M&A contribution and a 6% currency headwind.

• EBITDA/EBITA margin reached an all-time Q3 high at 18.1%, with profit and margin records for the quarter.

• Strong cash flow performance, with operating cash flow up 23% to SEK 1,741M and a cash conversion ratio of 92%.

• Continued execution of bolt-on acquisitions, including Masterseals in Singapore, with 10 completed since Q3 last year, and ongoing share buybacks.

• All business areas—Industrial Solutions, Medical Solutions, and Sealing Solutions—delivered organic growth and improved profitability.

Financial highlights

• Net sales increased to SEK 8,532M from SEK 8,442M year-over-year.

• EBITDA/EBITA excluding items affecting comparability rose 5% to SEK 1,541M; margin improved from 17.3% to 18.1%.

• Earnings per share (EPS) excluding items affecting comparability increased 11% to SEK 4.20.

• Net profit for the quarter was SEK 896M, up 7% year-over-year.

• Cash flow reached SEK 1,741M, with a cash conversion ratio of 92%.

Outlook and guidance

• Demand in Q4 expected to remain at current levels, adjusted for seasonality, with organic growth likely slightly below 4% due to absence of extraordinary project sales in Medical Solutions.

• Financial guidelines for 2025 unchanged: CapEx SEK 1,650M, restructuring costs SEK 500M, amortization of intangibles SEK 650M, tax rate ~25%.

• Management remains cautious due to geopolitical uncertainties and potential short-term demand impacts.