Idun Industrier AB: Idun interim report January - September 2025

Idun's net sales increased by 4.5% (-2.2% organic), and EBITA rose by 5.6% (-9.2% organic) during the quarter. For the last twelve months, net sales increased by 3.7% organically and EBITA by 0.2% organically. Earnings per share increased to SEK 3.6 (2.9). Idun invested in the quarter in Barem. Interagro Skog, which was acquired at the end of 2024, contributed to the profit growth in the quarter.

Third quarter 2025

• Net sales increased by 4.5% to SEK 521.1 million (498.6). Organic growth was -2.2%
• Gross profit amounted to SEK 305.7 million (291.9)
• EBITDA amounted to SEK 85.9 million (81.1)
• Operating profit EBITA amounted to SEK 73.6 million (69.7). Organic growth was -9.2%
• Operating profit EBITA attributable to Idun's common shareholders amounted to SEK 63.5 million (54.6)
• Earnings per share adjusted for goodwill after dilution amounted to SEK 3.6 (2.9)
• Cash flow from operating activities amounted to SEK 32.6 million (41.3)
• Idun, through Fredahl Rydéns Holding, on 3 July, acquired 75% of the shares in Barem OÜ ("Barem"). Barem, together with its subsidiary Puidu Taavet, is one of the leading suppliers to the funeral industry in Finland and Estonia.

The first nine months 2025

• Net sales increased by 3.6% to SEK 1,683.0 million (1,624.8). Organic growth was 0.4%
• Gross profit amounted to SEK 1,016.3 million (965.2)
• EBITDA amounted to SEK 275.8 million (268.1)
• Operating profit EBITA amounted to SEK 240.4 million (234.4). Organic growth was -2.6%.
• Operating profit EBITA attributable to Idun's common shareholders amounted to SEK 199.5 million (178.4)
• Earnings per share adjusted for goodwill after dilution amounted to SEK 11.0 (9.5)
• Cash flow from operating activities amounted to SEK 158.0 million (171.2)
• Idun, through Idun Mekaniska Komponenter AB, on 21 February, increased its ownership in Eugen Wiberger AB by 15 percentage points. Idun previously owned 71% of the company's shares and, after the transaction, owns 86% of the company.
• On 5 March 2025, Idun entered into a loan agreement with Danske Bank and SEB, and also gave notice of early redemption of the 2022/2026 bonds with ISIN SE0017131170. The redemption date for the bonds was 31 March 2025. The unsecured loan agreement includes two credit facilities: a term loan of SEK 550 million and a revolving credit facility of SEK 450 million. The loan agreement has a maturity of three years, with the option to extend by two years. In connection with the loan agreement, in addition to the bonds, approximately SEK 304 million of existing acquisition loans were repaid. Certain existing bank debt, mainly real estate facilities, will remain. In total, an annual reduction in interest expenses of approximately SEK 20 million is expected, while achieving a more efficient and flexible capital structure.
• Idun, through Idun Industrial Components AB, on 23 April, increased its ownership in 2B Best Business AB by 28 percentage points. Idun previously owned 70% of the company's shares and, after the transaction, owns 98% of the company. The shares were acquired for approximately SEK 56.5 million, corresponding to an EBITA multiple of about 7x.

Last twelve months

• Net sales increased by 3.7% to SEK 2,250.2 million (2,169.7). Organic growth was 1.3%
• Gross profit amounted to SEK 1,363.5 million (1,302.3)
• EBITDA amounted to SEK 363.3 million (349.7)
• Operating profit EBITA amounted to SEK 314.4 million (303.2). Organic growth was 0.2%
• Operating profit EBITA attributable to Idun's common shareholders amounted to SEK 258.0 million (231.2)
• Earnings per share adjusted for goodwill after dilution amounted to SEK 13.3 (12.3)
• Cash flow from operating activities amounted to SEK 243.2 million (258.6)
• Idun has increased its ownership in P&L Nordic AB by almost 27 percentage points, from 70% to nearly 97%. Idun has also increased its ownership in Eugen Wiberger AB by 15 percentage points, and in 2B Best Business AB by 28 percentage points. If these transactions had been completed on 1 October 2024, EBITA attributable to Idun's common shareholders would have increased by approximately SEK 5.4 million.

Live presentation of Idun's interim report for the third quarter of 2025
During the presentation, CEO Henrik Mella and CFO Oskar Samuelsson will comment on the results. After the presentation, a Q&A session will follow, moderated by Carl Korsheden, analyst at DNB Carnegie. The presentation will be held in English.

The recording will afterwards be published on Idun's website under Investors and Presentations.

Date: 24 October 2025
Start time: 11:00 CEST

How to Join:
Join the digital presentation via the following link: https://qcnl.tv/p/5oFluG7DJ2lfqc2HnErMxQ. After registering, you will be directed straight to the live broadcast.

CEO's message

During the third quarter of the year, revenue increased by 4.5% to SEK 521 million (499) and operating profit EBITA rose by 5.6% to SEK 73.6 million (69.7). Earnings per share (adjusted for goodwill, after dilution) increased by more than 20% to SEK 3.6 (from SEK 2.9 in Q3 2024). During the quarter, we acquired, through Fredahl Rydéns, the Estonian coffin manufacturer Barem, and Stegaföretagen completed an add-on acquisition of Prestec (products and services within high-pressure and sewer flushing).

The trend of a somewhat subdued economic environment during the year continues, where a turnaround has long been said to be about six months away. Despite several group companies facing a weaker market, Idun as a group has, over the past twelve months, managed to achieve organic growth in both revenue and earnings, although at a modest level, and a significant increase in earnings per share. In this external environment, we have also, step by step, strengthened our gross margin, including during this quarter, which has partly offset the impact of negative organic growth and lays a stronger foundation for future profitability.

In the third quarter, we saw weaker results in several group companies primarily within Service and Maintenance, which largely have the Swedish process industry as their customer base. This applies, for example, to Triton (service and new production of rollers), ILEMA (air emission measurements), and Ståthöga MA Teknik (maintenance for heavy industry). Stegaföretagen (active within, among other things, vehicle washing and related operations) also experienced a more cautious investment climate during the quarter. For the Group as a whole, organic sales decreased by -2.2%, while organic EBITA decreased by -9.2%. This is, of course, something we are not satisfied with.

At the same time, we can note that our companies within Manufacturing have performed more strongly so far this year. For example, all of our operations within the green industries are performing strongly (LMI, Norotec, and Interagro Skog). Interagro Skog, which we acquired in the autumn of 2024, delivered an excellent quarter with operating profit exceeding SEK 10 million, representing a significant earnings increase compared with the same quarter last year (although not included in the organic figures presented, since the company was not owned twelve months ago). The group company Wiberger (mechanical components and machine parts) is also performing very strongly, as a result of, among other things, a broadened product range and expansion in Norway.

An effect of the significant reduction in our financing costs (approximately SEK 5 million lower per quarter now following the refinancing at the beginning of 2025) is that it has contributed to the increase in our earnings per share. During the first half of 2026, we will evaluate options for our remaining outstanding bond, which can be redeemed in mid-2026. If the current financing market does not change materially, there is likely an opportunity to further reduce our interest expenses by approximately SEK 8 million on an annual basis over time.

The persistently challenging macroeconomic climate necessitates ongoing cost-adjustment efforts in those group companies where necessary. In parallel, we are continuing active pricing efforts, as well as investments in machinery, IT systems, competence, and product development to increase our efficiency and ensure the continued growth and positive earnings development of our companies.

Looking ahead, the short-term outlook is somewhat mixed, where some markets and customer segments show positive signs, while others remain sluggish. No clear economic improvement is yet visible. However, we are confident that our group companies are well-positioned for 2026, which has good potential to be a strong year, regardless of whether we experience an economic tailwind or not. Regarding future investments in new operations, Idun Industrier has a strong financial position, and we continue to see good opportunities for new acquisitions, both in the short and long term.

Henrik Mella, CEO

For further information, please contact:

Henrik Mella, CEO - [e-mail], [phone]
Oskar Samuelsson, CFO - [e-mail], [phone]

Idun's Certified Adviser is Avanza Bank AB - [e-mail], [phone]

This information is information that Idun Industrier is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2025-10-24 07:00 CEST.

About Us

Idun Industrier AB (publ) is a group of companies that, together with the management of each group company, develops industrial and service businesses in Sweden with a long-term perspective. Idun invests in small and medium-sized high-quality companies, typically niche-focused with strong market positions and stable business models, where Idun can be a relevant and permanent owner. Idun comprises 18 independent group companies employing around 950 people, with annual revenues of approximately SEK 2.3 billion. More information is available at www.idun.com.

Idun's shares are listed on Nasdaq Stockholm, First North Growth Market, under the ticker IDUN B.

The full report is attached to this message and is also available in its entirety at www.idun.com/en/investors/