VBG Group (VBG) Q1 2026 earnings summary

Executive summary

• Net sales increased by 1.9% year-over-year to SEK 1,376.4 M in Q1 2026, with organic growth of 5.3% after adjusting for currency and acquisitions.

• All divisions and main geographic areas achieved organic growth, with strong demand in North America and the defense and processing industry segments.

• EBITDA/EBITA margin was 12.7%, down from 13.1% in Q1 2025, impacted by FX headwinds and raw material costs.

• Order intake was flat year-over-year but up 8% currency-adjusted, with a book-to-bill ratio of 111%.

• Operating cash flow reached SEK 92 million, up from SEK 28 million in Q1 2025.

Financial highlights

• EBITA was SEK 174.6 million, with an EBITA margin of 12.7%; EBITDA was SEK 175 million, with FX effects reducing EBITDA by SEK 22 million.

• Operating profit (EBIT) was SEK 161.8 million, with an operating margin of 11.8%.

• Earnings per share were SEK 4.53, slightly down from SEK 4.58 last year.

• Operating cash flow before CapEx was SEK 92 million, up from SEK 28 million.

• Net debt (adjusted for pensions and leases) stood at SEK 580 million; interest-bearing net debt/EBITDA was 1.2.

Outlook and guidance

• Price adjustments to offset raw material cost increases are 75% implemented, with full effect expected in Q2 and Q3.

• No signs of lost or canceled orders due to political tensions; order intake and sales improved through the quarter.

• Continued market volatility and commodity price increases anticipated; organization remains agile and focused on organic growth and expansion.

• Investments in new production facilities in Toronto and Dobřany are underway, with Toronto expected operational in H1 2027.

• No formal forecast provided for 2026.