Third quarter 2025
- Organic sales growth was flat.
- Net sales decreased by 5% to SEK 9,204m (9,739). Changes in exchange rates impacted by -5%.
- Operating income amounted to SEK 141m (52) and the operating margin was 1.5% (0.5).
- Excluding items affecting comparability, operating income amounted to SEK 140m (53) and the operating margin was 1.5% (0.5).
- Earnings per share after dilution amounted to SEK -0.02 (-0.27) and earnings per share excluding items affecting comparability and after dilution amounted to SEK -0.02 (-0.27).
- Cash flow from operations and investments amounted to SEK 2,331m (2,892). Direct operating cash flow was SEK 3,455m (4,020).
- Net debt decreased to SEK 9.9bn (12.8).
- The Board of Directors of Husqvarna AB appointed Glen Instone as CEO of Husqvarna Group, effective August 11, 2025.
January - September 2025
- Sales increased organically by 1%.
- Net sales decreased by 2% to SEK 39,184m (39,888). Changes in exchange rates impacted by -3%.
- Operating income was SEK 3,735m (3,882) and the operating margin was 9.5% (9.7).
- Excluding items affecting comparability, operating income amounted to SEK 3,742m (3,889) and the operating margin was 9.5% (9.8).
- Earnings per share after dilution amounted to SEK 4.43 (4.26) and earnings per share excluding items affecting comparability and after dilution amounted to SEK 4.44 (4.27).
- Cash flow from operations and investments amounted to SEK 4,433m (5,296). Direct operating cash flow was SEK 4,598m (6,323).
Growth in the professional segment and improved profitability
"This quarter marks my first as CEO of Husqvarna Group, and I am honored to be leading this company with more than 300 years of innovation, into the future. We are entering an exciting new chapter with the upcoming launch of our 2030 strategy, focused on strengthening our competitiveness, improving cost efficiency, and leveraging our unique differentiators to generate value for our customers.
Mixed market and topline development
The Group's organic sales growth was flat in the quarter. We noted strong growth in the professional segment, including robotic mowers, driven mainly by new innovative products featuring boundary wire-free technology, handheld products, and power cutters. With the professional segment being a top strategic priority, I am pleased to see this positive development. We also noted growth in the watering segment. However, demand was subdued for residential handheld, hand tools and petrol-powered wheeled products, in particular in North America, which reflects a challenging market situation with restrained consumer spending. Sales in the residential robotic mower segment decreased slightly due to lower sales in Gardena. Organic sales grew by 1% in Husqvarna Forest & Garden Division and by 3% in Husqvarna Construction Division, but decreased by 7% in Gardena Division.
Improved earnings and reduced net debt
Operating income, excluding items affecting comparability (IAC), increased to SEK 140m (53), and the margin was 1.5% (0.5). The increase was primarily driven by a favorable product mix and cost-savings, which offset headwinds from trade tariffs and currency fluctuations. Margin improved in both the Husqvarna Forest & Garden and Husqvarna Construction divisions, while it declined in the Gardena Division, mainly due to lower volumes. Uncertainty remains, particularly in North America, given the ongoing trade policy turbulence, foreign exchange volatility, and subdued consumer sentiment.
Direct operating cash flow amounted to SEK 3.5bn (4.0) in the quarter. We continued to strengthen our financial position, reducing net debt to SEK 9.9bn (12.8). The net debt/EBITDA ratio, excluding IAC, improved to 2.2 (2.4).
Cost-efficiency measures
The activities included in the cost savings program announced in Q3 last year are expected to be completed by the end of the year, and full effect from the program will be reached during 2026. In addition, we have today announced the closure of a facility in Brastad, Sweden, which manufactures components for petrol-powered handheld products. By shifting to externally sourced components for this segment, we are accelerating our transition toward a more asset-light business model.
Advancing our innovation agenda
Despite the cautious consumer sentiment, I am confident in our position for long-term value creation. We will continue to build on our key differentiators, including our trusted brands and premium market positions, while increasing competitiveness through operational excellence and accelerated innovation.
We have several innovative product launches for 2026, including AI vision-based robotic mowers, designed to maximize customer value while supporting our long-term sustainability agenda. You will be able to explore these and more on our Capital Markets Day in Stockholm on December 10, 2025, where we will also be sharing our new strategic roadmap. I am looking forward to meeting you there."
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Glen Instone, CEO
Webcast presentation and telephone conference
A webcast presentation of the Q3 report hosted by Glen Instone, CEO and Terry Burke, CFO will be held at 10:00 CET on October 21, 2025.
To view the presentation, please use the link:
https://husqvarnagroup.creo.se/048766e2-2e5f-49ec-b999-f76d99c7bf74
The dial-in to the telephone conference (to ask questions):
+46 (0) 8 505 100 31 (Sweden) or +44 207 107 06 13 (UK)
Contacts
Terry Burke, CFO and Executive Vice President, Finance & IR
+46 8 738 90 00
Emelie Alm, Vice President, Investor Relations
+46 70 514 64 14
Husqvarna AB (publ), P.O. Box 7454, SE-103 92 Stockholm
Hälsingegatan 49, +46 8 738 90 00, www.husqvarnagroup.com
Reg. Nr: 556000-5331
NASDAQ OMX Stockholm: HUSQ A, HUSQ B
This report contains insider information that Husqvarna AB is required to disclose under the EU Market Abuse Regulation. The information was submitted for publication, through the contact person set out above, at 07.00 CET on October 21, 2025.
