GRK Infra (GRK) Q1 2026 earnings summary

Executive summary

• Order backlog reached a record €883.1M at the end of March 2026, up 22% from year-end, driven by strong project wins in Sweden and Estonia, supporting a positive outlook for 2026 despite revenue decline due to seasonality and lower Stegra project volumes.

• Profitability improved, with an adjusted EBIT margin of 5.3% (up from 5.0% in Q1 2025), and successful avoidance of unprofitable projects.

• Major new contracts include the Norrbotniabanan railway in Sweden (€55M) and national road 4 in Estonia (€38M), with significant project wins and ongoing development in all operating countries.

• Strategy execution is progressing, with active exploration of M&A opportunities and a busy construction season expected, especially in Sweden.

• Net profit for Q1 2026 was €6.1M.

Financial highlights

• Q1 2026 revenue was €111.9M, down 35.9% year-over-year, mainly due to Sweden's decline and seasonality.

• Adjusted EBIT margin for Q1 2026 was 5.3%, higher than the prior year.

• Operating cash flow for Q1 2026 was €46.0M; net working capital at -€156.8M.

• Equity ratio improved to 54.2% (up from 42.9% in Q1 2025); net debt was -€233.4M, indicating a strong net cash position.

• Net profit: €6.1M; basic and diluted EPS: €0.15.

Outlook and guidance

• 2026 revenue guidance: €720–870M (2025: €872.3M).

• Adjusted operating profit guidance: €45–60M (2025: €58.2M).

• Growth target for 2028 raised to €950M in revenue.

• Positive full-year outlook, supported by a robust order backlog and project pipeline.

• Market expected to grow in all operating countries, with strong opportunities in electrical network construction and circular economy.