AcadeMedia (ACAD) Q3 25/26 earnings summary

Executive summary

• Net sales grew by 6.6% year-over-year to SEK 5,371 million, with organic growth at 6.3% and FX-adjusted growth at 7.9%.

• Adjusted EBITA increased by 13.5% to SEK 438 million, with margin improving to 8.2% from 7.7%.

• Growth was driven by international operations, adult education, and primary schools, supported by recent acquisitions.

• Four to five international and one Swedish acquisition completed or announced, expanding presence in Germany, Netherlands, Poland, UK, Norway, and Finland.

• Earnings per share rose 36.4% to SEK 3.35, and free cash flow improved by 54.8% to SEK 288 million.

Financial highlights

• 12-month rolling net sales reached SEK 19,820 million, up 4.2% from the previous year; adjusted EBITA at SEK 1,440 million, margin 7.3%.

• Free cash flow for the last 12 months was SEK 1,444 million, up 30.2%.

• Net debt (excl. IFRS 16) increased by SEK 508 million due to acquisitions; leverage ratio at 0.9, well below target.

• Diluted EPS was SEK 2.93 (SEK 3.35 adjusted for IFRS 16), a 23.1% increase.

• Maintenance CapEx as % of sales continued to decline; capex in current operations at 1.4% of net sales.

Outlook and guidance

• Management expects continued growth, with free cash flow funding ongoing investments and expansion.

• Ongoing focus on international expansion, especially in Poland and the UK.

• Margin in upper secondary expected to stabilize at current levels, with no further major reforms anticipated.

• Adult education segment expected to maintain strong performance, supported by labor market trends and vocational program demand.

• Financial targets remain: 5-7% annual revenue growth, 7-8% adjusted EBITA margin, and net debt/EBITDA below 3.0x.