RVRC (RVRC) Q2 25/26 earnings summary

Executive summary

• Achieved record Q2 net sales of SEK 726 million, up 11% in local currencies and 6% in SEK year-over-year, with all regions contributing to growth.

• Adjusted EBIT margin reached 24.8%, reflecting strong profitability despite currency headwinds.

• Net sales for the rolling twelve months exceeded SEK 2 billion for the first time.

• Continued to gain market share and strengthen positions in a challenging market environment, outperforming declining outdoor markets.

• Strong cash flow from operations at SEK 360 million, driven by robust sales and inventory reduction.

Financial highlights

• Q2 net sales: SEK 726 million (up 6% in SEK, 11% in local currencies); gross profit: SEK 506 million (gross margin 69.8%, down 0.5 pp year-over-year).

• Adjusted EBIT: SEK 180 million (24.8% margin, up from 23.6%); EBIT: SEK 177 million (24.4% margin, up from 22.9%).

• Net cash position: SEK 341 million at period end; cash at period end SEK 358 million.

• Cash flow from operations: SEK 360 million.

• Inventory reduced to SEK 494 million, down SEK 98 million year-over-year.

Outlook and guidance

• No formal guidance provided; continued sales growth seen in early January and further product launches planned for spring.

• Board targets 20% annual growth and at least 20% adjusted EBIT margin through 2026/27.

• Expectation that a weaker U.S. dollar will gradually benefit gross margin as inventory turns over.

• U.S. market remains a long-term opportunity; logistics being restructured to address new tariffs.

• Ongoing product development, including updates to best-selling pants and new launches for spring.