HANZA (HANZA) Q2 2025 earnings summary

Executive summary

• Net sales rose 24% year-over-year to SEK 1,516 million in Q2 2025, driven by acquisitions (notably Leden and pending Milectria) and 3% organic growth, with volumes rising for the first time since the downturn.

• Adjusted operating profit reached SEK 106 million, with margin improvement in core units; adjusted EPS increased to SEK 1.13.

• Leden integration is progressing, though high demand led to temporary margin pressure; permanent capacity solutions expected in 2025.

• Strategic acquisition of Milectria to strengthen defense sector presence, with closing expected by September 2025.

• The company is positioned for further growth, reiterating 2025 financial targets and preparing a new long-term strategy.

Financial highlights

• Net sales increased by 24% year-over-year, with organic growth of 3%; quarterly sales slightly above SEK 1.5 billion, matching Q1.

• Adjusted operating profit reached SEK 106 million; comparable unit margin rose to 7.8% from 4.1% a year ago and 7.3% in Q1.

• Earnings per share increased to SEK 1.13 for the quarter and SEK 2.23 for the first half year.

• Strong operating cash flow of SEK 163 million in Q2, supported by profit growth and reduced working capital.

• Net debt/EBITDA at 2.1x, with equity-to-asset ratio at 35%.

Outlook and guidance

• Order intake and volumes are increasing for the first time since the downturn, signaling a positive outlook for the second half of the year.

• Profitability in Leden expected to rise quickly as capacity expansion and integration are completed within the year.

• CapEx needs are expected to remain low next year, barring significant volume increases.

• Financial targets for 2025 are reiterated, with further strategic updates planned for year-end.

• Milectria acquisition expected to positively impact sales, margins, and EPS.