Elekta (EKTA) Q4 25/26 earnings summary

Executive summary

• Transformation program advanced through reset, profitability improvement, and innovation-driven growth, with reset phase completed ahead of schedule and a new operating model implemented, reducing organizational layers and decentralizing P&L responsibility.

• Workforce reduced by over 500 employees, resulting in annualized cost savings exceeding SEK 500M, most realized in Q4.

• Profitability improved significantly in Q4 and for the full year, with the highest operating cash flow in five years and net debt reduced for the first time in five years.

• Leadership strengthened with new executive appointments, focus on culture, customer centricity, and accountability, and incentive structures aligned with shareholder value creation.

• Strategic priorities include operational simplification, innovation, U.S. and China market expansion, and cost reduction.

Financial highlights

• Full-year net sales increased 1% in constant currency, driven by EMEA and new product launches, but declined 7% in SEK; Q4 net sales decreased by 1% in constant currency and 8% in SEK.

• Adjusted gross margin improved to 38.4% for the year and 39.9% in Q4, despite FX and tariff headwinds.

• Adjusted EBIT margin rose to 12.3% for the year and 18.9% in Q4, reflecting operational efficiencies and lower OpEx.

• Cash flow after continuous investments reached SEK 1,392M for the year and SEK 1,141M in Q4, the highest in five years.

• Dividend proposal of SEK 2.4 per share, unchanged from prior years, totaling SEK 917M.

Outlook and guidance

• Net sales in constant currency expected to increase year-over-year in FY 2026/27, with further EBIT margin improvement anticipated.

• More granular midterm financial targets to be presented at Capital Markets Day on June 17, 2026.

• Continued focus on profitability in the short term, with a pivot to innovation-driven growth.