NCC (NCC) Q4 2025 earnings summary

Executive summary

• Strong underlying profitability and robust cash flow in Q4 and full year, with record profits in Industry and Building Nordics, despite a SEK 1.4 billion non-cash impairment charge related to property values and tax assets.

• Operating profit before items affecting comparability was SEK 692 million in Q4; after impairment, Q4 saw a loss of SEK -479 million.

• Board proposes a dividend of SEK 9 plus an extra SEK 2, distributed in two tranches.

• Industry segment to become a standalone company within the group following a strategic review.

• New senior management appointments: new Head of Infrastructure and new CFO joining in 2025.

Financial highlights

• Q4 operating profit before items affecting comparability was SEK 692 million; after impairment, EBIT was -SEK 479 million.

• Cash flow from operating activities in Q4 was SEK 1,978 million, with cash conversion above 100%.

• Net debt at year-end was SEK -1,165 million, with net debt/EBITDA at 0.27.

• EPS before items affecting comparability was SEK 13.89 for the year; after items, EPS was negative.

• Book-to-bill ratio at 1.45 (underlying 1.55), indicating strong order intake.

Outlook and guidance

• Positive market outlook, with strong demand in infrastructure, industrial, and public buildings; commercial and residential property markets remain subdued.

• Early involvement projects in the order backlog expected to convert into future orders, supporting growth.

• Construction and civil engineering operations show positive trends, with good prospects for both organic and acquisition-driven growth.

• Dividend policy targets payout of approximately 60% of profit after tax.