USWE Sports (USWE) Q3 25/26 earnings summary

Executive summary

• Organic growth of 13% in Q3, with net sales stable at 32.9 MSEK compared to last year; EBITDA margin improved to 9.9% from 0.8% and operational EBIT margin to 6.9% from -2.0%.

• For the first nine months, net sales rose 15% to 103.5 MSEK, with organic growth (currency-adjusted) at 20%.

• Profitability improved due to higher gross margin and reduced external costs, despite negative currency effects.

• No significant events occurred during or after the quarter.

Financial highlights

• Q3 EBITDA increased to 3.3 MSEK (0.3 MSEK last year); operational EBIT at 2.3 MSEK (-0.7 MSEK last year).

• Q3 pre-tax profit decreased to 0.4 MSEK (1.0 MSEK last year); EPS at 0.06 SEK (0.15 SEK last year).

• Nine-month EBITDA at 4.1 MSEK (-1.4 MSEK last year); operational EBIT at 1.2 MSEK (-4.2 MSEK last year).

• Cash flow from operations in Q3 was 4.3 MSEK (3.0 MSEK last year); nine-month operating cash flow at 13.2 MSEK (2.0 MSEK last year).

• Cash position at period end: 2.7 MSEK (4.0 MSEK last year).

Outlook and guidance

• Management expects cash position to strengthen in the next quarter as receivables are collected.

• New product launches and entry into major US retail channels (REI) are expected to drive future growth.

• Focus remains on US and Swedish markets, with increased marketing in trail running.