Luotea Plc
Stock exchange release
6 May 2026 at 8:00 a.m.
Luotea Plc: Interim Report Release 1 January - 31 March 2026
TURNAROUND IN SWEDEN PROCEEDS AS PLANNED, GROUP'S ADJUSTED EBITA ALMOST AT THE SAME LEVEL
Unless otherwise mentioned, the figures in brackets refer to the corresponding period in the previous year.
JANUARY-MARCH
- Net sales for the first quarter were EUR 86.0 million (86.6). Net sales decreased by 0.6%.
- Adjusted EBITA for the first quarter was EUR 0.3 million (0.5), representing 0.4% (0.5%) of net sales.
- Adjusted operating profit for the first quarter was EUR -0.0 million (0.1), representing -0.0% (0.1%) of net sales.
- Operating profit was EUR -0.4 million (-0.0), representing -0.5% (-0.1%) of net sales.
- Net cash flow from operating activities after investments was EUR 3.6 million (6.6, the comparison period includes both continuing and discontinued operations).
- Earnings per share for the quarter were EUR -0.02 (0.09).
- After the reporting period, the Annual General Meeting of Luotea Plc resolved on a dividend of EUR 0.07 per share.
Outlook for the year 2026 (unchanged)
The adjusted EBITA for 2026 is expected to increase or increase significantly compared to the adjusted EBITA for 2025 (EUR 7.0 million).
PRESIDENT AND CEO ANTTI NIITYNPÄÄ-
In Finland, the facility services market continues to be characterized by intense price competition, customers' ongoing cost-saving programmes, delayed investment decisions and general economic uncertainty. In Sweden, the economic operating environment and the real estate market developed more favourably, which was also reflected in the momentum of Luotea's business.
In Finland, our net sales developed weaker than expected during the review period and declined by EUR 3.4 million. In the comparative period, there was a major project in the technical services project business that was completed last year. In addition, the highly competitive market environment in the technical services project market led to a decline in revenue compared with the comparative period. Price competition in cleaning and support services also remained intense during the quarter.
During and after the review period, we succeeded in several significant tenders. This strengthens our confidence that our order backlog - and, consequently, net sales - will turn to growth in Finland during 2026. The medium-term market outlook is supported by outsourcing of wellbeing service counties' facility services as well as the reform of the Public Procurement Act ("Hankintalaki"), which is expected to increase competition and tendering in the municipal sector. The first significant outsourcing arrangements are expected to be implemented within the next 12 months.
Customer deployments of our strategically important spearhead product, the Smartti energy management system, progressed as planned during the review period, and the number of customers increased. Energy efficiency and cost savings are emphasised in our customers' decision-making. We believe this will also support our other property maintenance services. Data-driven cleaning solutions also attracted increasing interest among our customers and support the differentiation of our services in the market.
In Sweden, profitability improvement continued in line with the plan. Net sales grew by more than 10%, which, together with efficiency measures, resulted in a EUR 0.7 million increase in adjusted EBITA compared with last year. As in the previous quarter, add-on sales increased significantly, driven particularly by systematic improvements in service quality and customer satisfaction. In the private sector, we achieved several successes that strengthened our position and provided a solid foundation for profitable growth going forward.
We are satisfied with the Group's cash flow. During the review period, net cash flow from operating activities after investments was EUR 3.6 million and cash flow from financing activities was EUR -1.8 million. Cash and cash equivalents increased by EUR 1.8 million.
We expect the revenue of both Facility Services Finland and Facilities Services Sweden to increase towards the end of the year. As a result of this and the other factors mentioned above, the Luotea Group's earnings guidance for 2026 remains unchanged; that is, we expect adjusted EBITA to increase or increase significantly compared with 2025.
LUOTEA PLC
Board of Directors
For additional information, please contact:
Antti Niitynpää, President and CEO, tel. +358 400 231 167
Mika Stirkkinen, CFO, tel. +358 40 558 8520
Luotea Investor Relations: ir@luotea.com
Distribution:
Nasdaq Helsinki
Major media
www.luotea.com
Luotea is a pioneer in facility services, offering comprehensive lifecycle solutions for buildings. We combine energy efficiency with innovative thinking to maximise property value and ensure the best conditions for every user. Our services range from advanced property maintenance, building technology and consultancy to professional cleaning and support. We grow sustainably and profitably, mindful of our impact on buildings, the environment and society. Leading the way, we drive our industry forward and shape a better tomorrow. For us, success is measured in trust - the trust our people, clients and owners have in us.
Luotea operates in Finland and Sweden, with 2025 net sales of EUR 346 million and a workforce of approximately 5,000. Luotea is publicly listed on Nasdaq Helsinki.
