Eltel (ELTEL) Q3 2025 earnings summary

Executive summary

• Achieved historic profitability with adjusted EBITDA/EBITA reaching EUR 9.1 million, the highest in a decade, and positive results in all segments for the first time in ten years.

• Strategic focus on operational excellence, commercial excellence, and expansion into Power, Solar PV, Data Centers, and public infrastructure, driving improved results and new business growth.

• Finland led performance with strong growth in Power, Solar PV, and Data Center segments, while Norway returned to profitability after restructuring.

• Signed new contracts worth EUR 176.2 million in Q3, including major agreements for DayOne data center (EUR 38 million), Caruna (EUR 81 million), and E.ON (EUR 18.2 million), with a total orderbook of EUR 1.2 billion.

• New and adjacent business areas contributed 14% of Q3 net sales, up from 3% a year ago.

Financial highlights

• Q3 net sales were EUR 208.2 million, down 1.0% year-over-year; organic growth -1.6%.

• Adjusted EBITDA/EBITA for Q3 was EUR 9.1 million, up 20% year-over-year, with a margin of 4.3% (up from 3.9%).

• Gross profit improved to EUR 27.8 million, gross margin 13.3% (up from 11.4%).

• Net debt increased to EUR 172 million (from EUR 145 million), mainly due to refinancing and reclassification of the hybrid bond.

• Net working capital remained firmly negative at EUR -31 million, supporting liquidity.

Outlook and guidance

• Financial targets remain unchanged: adjusted EBITDA/EBITA margin of 5%, growth between 2% and 4%, leverage between 1.5 and 2.5, and dividend payout subject to leverage target.

• Management expects continued improvement in profitability through operational and commercial excellence and further growth in new business areas.

• Strong pipeline in Solar PV, BESS, and Data Center supports positive outlook.