Financial performance in April - June
• Sales amounted to SEK 1,175 (980) million, a 20% increase. Organic growth was 1%, currency and acquisition adjusted.
• Operating profit was SEK 90 (101) million. Adjusted operating profit was SEK 112 (94) million, adjusted for revaluations of operating assets and liabilities in foreign currencies and non-recurring items.
• The operating margin amounted to 7,7% (10,3%). The adjusted operating margin was 9,6% (9,6%).
• Profit after financial items was SEK 69 (94) million.
• Profit after tax amounted to SEK 56 (76) million, corresponding to SEK 1.95 (2.65) per share.
• Adjusted for items affecting comparability, such as investments in the property in Torsby, Sweden, in the comparative period, operating cash flow amounted to SEK -34 (82) million. Total cash flow after investments amounted to SEK -34 (58) million, or SEK -1.19 (2.04) per share.
Financial performance in January-June
• Sales amounted to SEK 2,137 (1,983) million, an 8% increase. Organic growth was -2%, currency and acquisition adjusted.
• Operating profit was SEK 174 (194) million. Adjusted operating profit was SEK 200 (194) million, adjusted for revaluations of operating assets and liabilities in foreign currencies and non-recurring items.
• The operating margin amounted to 8.1% (9.7%). The adjusted operating margin was 9.4% (9.8%).
• Profit after financial items was SEK 134 (176) million.
• Profit after tax amounted to SEK 108 (141) million, corresponding to SEK 3.78 (4.93) per share.
• Adjusted for items affecting comparability, such as acquisition-related payments and investments in the property in Torsby, Sweden, in the comparative period, operating cash flow amounted to SEK 12 (260) million. Total cash flow after investments amounted to SEK -810 (214) million, or SEK -28.37 (7.51) per share.
CEO's comment - The second quarter marks a major milestone for NOTE, when we reported our highest-ever sales and growth of 20%.
"In the first half-year, NOTE took several major strategic steps that consolidate our positioning for long-term growth. Our acquisition of STI has expanded our proposition, securing still stronger positioning in Security & Defence. In parallel, we've continued to invest in our existing business. In the second quarter, we opened our new plant in Torsby, Sweden, which doubles our production capacity and creates the potential to take on larger and more sophisticated assignments.
The second quarter marks a major milestone for NOTE. Alongside recent acquisitions STI and Kasdon, we achieved our highest-ever sales level and growth of 20%. These acquisitions are performing as expected and a high growth share is sourced from Security & Defence, where STI and Kasdon are both leaders in their segments. In organic terms too, we're experiencing healthy growth in Security & Defence, as well as our largest customer segment, Industrial. Although our ambitions are still higher, a tighter market for materials has had an impact on the volumes we've produced.
Our business features high flexibility, the efficient use of resources and the capability to adapt capacity to customer needs, creating good potential to combine growth with stable profitability over time. In the quarter, we achieved an underlying operating margin of 9.6%, which is in the interval we expected.
NOTE still has a strong financial position and its equity to assets ratio was 37% at the end of the quarter.
We have generated strong operating cash flows for many years and still see great potential to continue this over time. In the quarter, cash flow was negatively impacted by increased working capital tied-up, mainly because of higher inventory levels, driven by longer lead-times and the limited supply of certain electronic components. Operating cash flow for the quarter was SEK -34 million, and we have a clear focus on improving cash flow in the second half-year.
At the end of the quarter, our order backlog for the current year was 11% higher than the same point of the previous year, in like-for-like terms. In the second half-year, we expect progressively increasing organic growth and to this we can also add the volumes of STI.", says Johannes Lind-Widestam, CEO and President
NOTE's Interim Report for Q2 is now available in PDF format on the corporate web site, www.note-ems.com, and attached to this message. Today at 10.00 CET, NOTE organises a live-stream presentation for analysts, media and investors, where CEO and President Johannes Lind-Widestam and CFO Frida Frykstrand presents the report. The Interim Report for July - September will be published on the 23rd of October.
For more information, please contact:
Johannes Lind-Widestam, CEO and President, tel. +46 (0)70 541 7222
Frida Frykstrand, CFO, tel. +46 (0)70 462 0939
About NOTE
NOTE is a leading European electronics manufacturing services (EMS) partner, delivering advanced PCBA and box-build solutions based on customer designs. With 14 facilities across Europe and Asia and approximately 1,800 employees, NOTE combines deep technical expertise with flexibility, quality, reliable delivery, and local presence.
The company partners with customers in the Medtech, Security & Defence, Industrial, GreenTech and Communications sectors, serving as an integrated extension of their value chains, from engineering and manufacturing to testing and logistics. Over the past 12 months, NOTE's net sales amounted to SEK 4 billion, and the company continues to develop its sustainability efforts with the ambition of achieving carbon-neutral operations (Scope 1 and 2). For more information, visit www.note-ems.com.
This information is information that NOTE AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons set out above, at 2026-07-15 08:00 CEST.
