Lifco (LIFCO) Q1 2026 earnings summary

Executive summary

• Net sales for Q1 2026 increased by 3.7% year-over-year to SEK 7,186 million, with organic growth of 1.2% and acquisitions contributing 7.6%, while FX had a negative 5% impact.

• EBITA rose 6.2% to SEK 1,588 million, with margin improving to 22.1% from 21.6%.

• Net profit for the period grew 7.7% to SEK 909 million, and EPS increased 7.6% to 1.98.

• Record-high sales in Q1 2025 created tough comparables, especially in Contract Manufacturing.

• Two new businesses were consolidated in Dental, adding SEK 180 million in annual net sales.

Financial highlights

• Profit before tax up 7.7% year-over-year to SEK 1,220 million.

• Operating cash flow decreased 3.3% to SEK 747 million.

• EBITA margin increased to 22.1% (up 0.5 pp year-over-year), with Dental reaching 23%.

• Return on capital employed at 20.2%, slightly down from 21.2% last year.

• Net financial items improved to SEK -80 million from SEK -103 million.

Outlook and guidance

• Starting Q2 2026, the group will reorganize into five business areas, with Environmental Technology and Transportation Products reported separately.

• Limited visibility in Contract Manufacturing; cautious approach for the rest of 2026.

• No specific guidance provided, but management does not expect to reach Q1 2025 peak levels in Contract Manufacturing in the near term.

• Continued focus on profit growth, targeting annual increases and organic EBITA growth above GDP.

• Dividend policy to distribute 30-50% of net profit.