ICA Gruppen (ICA) Tertial 1 2025 summary

Executive summary

• Net sales increased by 5.5% year-over-year to SEK 45,234m for Jan–Apr 2025, driven by higher volumes and price inflation.

• ICA divested Rimi Baltic to Salling Group, reducing debt and increasing financial flexibility for Swedish operations.

• Market share gains in all channels for ICA Sweden; e-commerce and customer visits grew.

• Profitability pressured by price investments and double loyalty bonuses to customers, lowering operating margin.

• Strong result improvement in ICA Banken due to lower credit losses; discontinued Rimi Baltic operations lifted period result by SEK 362m.

Financial highlights

• EBITDA fell 10.4% year-over-year to SEK 3,277m; operating income (EBIT) down 18.8% to SEK 1,483m.

• Operating margin (excl. items affecting comparability) dropped to 3.3% (4.3% last year); margin excl. IFRS 16 Leasing at 2.8% (3.8%).

• Net income rose to SEK 1,223m (SEK 1,020m), entirely due to improved results from discontinued Rimi Baltic.

• Cash flow from continuing operations (excl. ICA Banken) decreased by SEK 1,041m, mainly due to lower results, negative working capital, and higher taxes.

• Net debt (excl. ICA Banken and IFRS 16 Leasing) reduced to SEK 14.5bn (SEK 20.7bn), with net debt/EBITDA at 1.7x (2.5x).

Outlook and guidance

• Focus shifts to Swedish market after Rimi Baltic divestment, with increased financial capacity for investments.

• Full-year 2025 investments expected at SEK 3.5bn, including SEK 1.5bn in ICA Fastigheter.

• Financial targets: operating margin (excl. items and IFRS 16) at 4.0%, return on capital employed at 10%, net debt/EBITDA below 2x.