From the Interim Report Q3 2025
Another strong quarter driven by continued good momentum in Energy & Environment and effects of the transition in Technology & Distribution. Our solutions are needed – whatever the business cycle. The Group’s EBITA margin of close to 13 percent in the quarter, and ten percent so far this year, clearly shows that the Group target of at least nine percent EBITA over a business cycle is fully achievable. At SEK 72 million, EBITA after three quarters is already better than the previous full-year record.
Zander & Ingeström continues to show strength in the business, both in the quarter’s deliveries and in order intake, where the order for two large electric boilers to Finnish Kokkolan Energia at the end of September was the crowning achievement. As previously announced, Zander’s boilers will increase Kokkolan’s carbon-neutral steam production, but they will also increase flexibility in light of fluctuating electricity prices and availability. It is satisfying that we can help solve important societal problems. Overall, the momentum from the beginning of the year continues, and order intake for the Group as a whole was a full 25 percent higher than the same period last year, which means that we have increased order intake by 18 percent so far this year. When we consider the earnings, it is satisfying to see that what we already knew is now clearly evident – that the Group can achieve better margins than we have shown historically. Last year and initially this year, we had some transition costs, but underlying operations have been improving steadily, and this is now no longer hidden by temporarily higher costs. Historically, third quarter results have been stronger for us, but this is mainly related to our heritage. In the distribution parts of the business, which previously dominated the Group, the third quarter may be marginally stronger, as it is possible to keep sales relatively high even when the holiday period temporarily reduces personnel costs. In the Group as a whole, we do not have any clear seasonal variation, but the business mix can vary slightly between quarters.
The transformation in Technology & Distribution is bearing fruit
Although we still see a slightly hesitant market in some places, the companies in Technology & Distribution are picking up, and earnings have almost tripled compared to the previous year. The engine is Swedish Christian Berner AB which has now emerged as a stronger company, after the changes last year and in the beginning of this year. Teams are working closer together to leverage each other’s strengths, and with the same focus on solving customers’ problems. Norwegian Empakk is also seeing good growth and has several new, exciting products in the works, with a focus on reducing food waste and increasing food safety. One example among many can be seen on the penultimate page.
We are needed – regardless of business cycle
Overall, we pride ourselves on solving important societal problems. Our solutions are needed – whatever the business cycle. Being able to offer solutions for varying electricity prices and availability, being able to contribute to more resource-efficient and better water and wastewater treatment, a more efficient process industry in the Nordic region, all that is relevant both today and tomorrow. We are proud of the collective experience and skill of our employees, and the fact that it is also a very fun team makes it even more enjoyable to go to work in the mornings.
Caroline Reuterskiöld
President and CEO Berner Industrier AB