Interim Report 1 January- June 30

In the second quarter, Berner Industrier achieved record-breaking sales as well as EBITA. Customer trust in Berner Industrier stands strong and confirmed by growth in order intake for the quarter, in a market that has been partly cautious. The Energy & Environment business area reported strong sales growth of 40 percent with earnings growth of 19 percent.

Second quarter 2026
• Order intake totaled SEK 283.7 (278.8) million, an increase of 1.8 percent.
• Net sales for the second quarter totaled SEK 319.9 (272.8) million, up 17.3 percent, whereof organic growth 8.5 percentage points, acquired growth 8.0 percentage points, and currency effects of 0.7 percentage points from foreign subsidiaries.
• EBITA totaled SEK 30.7 (24.6) million, an increase of 24.8 percent. The EBITA margin was 9.6 percent (9.0).
• Earnings per share before dilution were SEK 1.04 (0.92). Earnings per share after dilution were SEK 1.04 (0.91).
• Cash flow from operating activities was SEK 23.0 (33.8) million. Cash flow for the period totaled SEK 3.7 (-32.0) million.
• At the end of the period, the debt/equity ratio was 0.9x (interest-bearing liabilities/EBITDA for the last 12 months).

Significant events in the second quarter
• The company held its Annual General Meeting on April 28, 2026. The AGM approved a dividend of SEK 1.25 per share to shareholders, totaling SEK 23.8 million, which was paid in May.
• The AGM resolved to re-elect all Board members at the AGM.

First half of 2026
• Order intake totaled SEK 560.0 (541.5) million, an increase of 3.4 percent.
• Net sales for the first half of the year totaled SEK 573.2 (508.9) million, up 12.6 percent, whereof 5.1 percentage points organic growth.
• EBITA totaled SEK 49.2 (42.9) million, an increase of 14.7 percent. The EBITA margin was 8.6 percent (8.4).
• Earnings per share before dilution were SEK 1.71 (1.58). Earnings per share after dilution were SEK 1.71 (1.57).
• Cash flow from operating activities was SEK 35.1 (48.9) million. Total cash flow for the period was SEK -8.8 (-24.7) million.

Significant events after the end of the reporting period
• There were no significant events after the end of the reporting period.

Comments from the CEO
Delivering on the targets.
Our investments and acquisitions in the first quarter are starting to show real momentum. EBITA is up 25 percent – that’s year-to-date EBITA growth of 15 percent compared to last year. We are thus firmly on track during the first half of the year with our new financial targets of an average EBITA increase of 15 percent. In sales, we are well above the target of ten percent, with a 17 percent increase during the quarter making it 13 percent so far this year. The return on equity exceeded 25 percent.

An ever-changing global environment seems to be the new normal, and towards the end of the quarter we saw markets stabilize in that realization. The quarter was characterized by sustained high levels of business discussions, which ultimately resulted in an increase in order intakes towards the end of the period. Despite the beautiful weather, June thus turned out to be an intense finish to the first half of the year. While orders increased by only two percent overall, the pace was high towards the end of the quarter, a positive sign for the future.

Energy & Environment’s companies are well placed with offerings that are increasingly gaining market traction. International growth has also begun to increase. During the quarter, Zander & Ingeström landed an exciting electric boiler contract together with a new partner in France and Benelux. Typhonix secured a first breakthrough order together with an existing partner in a new market in Asia. Our solutions are thus needed in many geographies. At the same time, the application areas are also broadening. As an example, Autofric launched a sludge cleaner to improve biogas production at municipal wastewater treatment plants. Autofric is also selling its screw presses to new industrial application areas beyond municipal wastewater treatment plants. Energy & Environment, which includes new acquisitions as well, increased EBITA by 19 percent, thanks to sales growth of 40 percent.

Continued portfolio optimization
The ongoing portfolio optimization in Technology & Distribution continued during the quarter. EBITA remained in line with the previous year overall, while the margin increased slightly. Several sections of the business area are seeing excellent growth, including the water treatment business and the Norwegian Empakk. Even Vibrationsteknik, which is partially exposed to the construction and infrastructure sector, strengthened during the quarter.

Ever stronger group
To sum things up, we are pleased with an ever stronger group where new acquisitions have found their place, with the growth opportunities we planned for starting to materialize. Our businesses are at the core of the transition, with focuses on responsible use of water and resources, or resilient energy systems. It’s wonderful to see our companies find exciting new business opportunities within the different challenges of our communities.
My heartfelt thanks to all of our employees for their tremendous efforts and tireless development of new, smart solutions for the society of tomorrow!

Caroline Reuterskiöld
President and CEO Berner Industrier AB