Market Recovery Continues to Strengthen
Third Quarter 2026
· Revenue for Period: SEK 34.3 million (SEK 23.5 million), an increase of 45.6% year-on-year, primarily driven by the 19% recovery in series production, an 80% increase in Sampling Cup shipments. Recurring revenue accounted for 91.6% (87.1%) of total revenue.
· Operating Result: SEK 15.4 million (SEK 5.6 million), an increase of 175%, driven by the 19% recovery in series production and lower operating expenses. The operating margin improved to 44.8% (23.8%) demonstrating strong operating leverage.
· Earnings per Share: SEK 1.74 per share (SEK 0.62 per share).
· Cashflow from Operations: SEK 14.5 million (SEK 12.4 million), an increase of 18%, reflecting strong operating performance and continued cash generation.
· September annualised production reaches 3.8 million Engine Equivalents, the highest level in 25 months and up 29% year-on-year.
· Sampling Cup shipments reach second-highest level on record, up 80% year-on-year.
· Successful field trials at two captive foundries for new production programmes scheduled to start in 2027 and 2030.
Year-to-Date 2026
· Revenue for Period: SEK 86.7 million (SEK 81.7 million), increased by 6.2%, primarily driven by a 17% increase in Sampling Cup shipments, despite a 4.7% exchange rate headwind. Recurring revenue accounted for 93.6% (92.9%) of the revenue.
· Operating Result: SEK 29.1 million (SEK 27.0 million), an increase of 8%, supported by higher recurring revenue and lower operating expenses, despite prior-year net operating exchange gains of SEK 3.5 million. The operating margin improved to 33.6% (33.1%).
· Earnings per Share: SEK 3.29 per share (SEK 2.95 per share).
· Cashflow from Operations: SEK 27.6 million (SEK 33.5 million), representing 95% cash conversion of operating result.
· Dividend: Ordinary dividend of SEK 3.00 per share (SEK 6.00 per share) and no extraordinary dividend (SEK 1.00 per share), corresponding to SEK 21.1 million (SEK 49.5 million), to be paid in two instalments.
· Installed Base: 59 (58) installations, 26 (26) fully automated systems, 25 (24) mini-systems and eight (eight) tracking systems in 13 (13) countries.
CEO Message
Stronger Financial Performance
I am encouraged by our strong third quarter results, which confirm that the anticipated market recovery is now gaining momentum and translating into improved production and financial performance. Total revenue increased by 46% year-on-year to SEK 34.3 million, supported by higher series production volumes and higher Sampling Cup shipments. Recurring revenue increased by 53% year-on-year to SEK 31.4 million, representing more than 91% of total revenue and marking the fourth consecutive quarter of recurring revenue growth. This sustained market improvement reinforces the strength of our business model and gives me further confidence in the positive trend.
The increase in revenue, combined with our continued focus on operational efficiency and organisation changes, contributed to a 175% improvement in operating result, reaching SEK 15.4 million compared to SEK 5.6 million in the corresponding quarter of 2025. The operating margin increased to approximately 45%, compared to 24% last year, demonstrating the strong financial leverage of our business model and our ability to translate higher production volumes into improved profitability.
Market Recovery Continues to Strengthen
Series production reached an annualised 3.25 million Engine Equivalents during the third quarter, increasing 19% year-on-year, supported by the continued market recovery, growing demand for power generation applications and the accelerated ramp-up of new production programmes following the summer break. Particularly positive was the strong momentum towards the end of the quarter, with September recording an annualised 3.8 million Engine Equivalents, our highest monthly production rate in 25 months.
Sampling Cup shipments also increased significantly, growing 80% year-on-year to 67,500 units, the second-highest quarterly volume in our history. As Sampling Cup consumption is directly linked to CGI production activity at our customer foundries, this strong development provides further evidence of increasing production activity across our existing customer base. Together, the September production performance and increased Sampling Cup shipments are encouraging indicators of continued growth in our underlying markets.
Building the Next Phase of Growth
With approximately two thirds of global CGI production using SinterCast process control, we are well positioned to benefit from the growing adoption of CGI in engines. Strong commercial and technical activity during the third quarter, including successful field trials at two captive foundries for new commercial vehicle engine programmes in 2027 and 2030, reinforces our confidence in expanding our production base and achieving our ambition of eight million Engine Equivalents in 2031.
The installation pipeline remains strong, with opportunities for new installations towards year-end, supporting our expectation that average annual installation revenues during 2026-2027 could exceed the historical level of approximately SEK 8 million.
Our growth strategy extends beyond CGI, with good progress on identified acquisition opportunities. We remain focused on businesses with strong recurring revenues and attractive operating margins that complement our core business, leverage our expertise and international platform, and add more value.
Confident in Continued Growth
Looking ahead, I see positive signs of a sustained recovery in our underlying markets. The accelerating recovery in North American commercial vehicle demand, alongside a more gradual improvement in Europe, provides a positive foundation for the coming quarters. With new high-volume production programmes scheduled to start early 2027, we are well positioned to deliver growth beyond the improvement in existing programmes.
I believe SinterCast is well positioned for the opportunities ahead. Our improving production volume, strong recurring revenue base and disciplined cost structure provide a solid foundation for continued growth. The progress we are making in developing new business opportunities further strengthens my confidence in our growth ambitions. As we move through the final quarter of the year, the SinterCast team is motivated and determined to build on this momentum, expanding our production base and delivering long-term value for our shareholders.
Stockholm 4 November 2026.
For more information:
Dr Vítor Anjos
President & CEO
SinterCast AB
Mobile: +46 764 924 633
E-mail: vitor.anjos@sintercast.com
This report has been reviewed by the company's Auditor.
This press release contains information SinterCast AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. This information was submitted for publication, through the agency of the President & CEO Dr Vítor Anjos, at 08:00 CET on 4 November 2026.
SinterCast® is the world's leading provider of licensed process control technology for the reliable high-volume production of Compacted Graphite Iron (CGI) at foundries worldwide. Stronger, stiffer and more durable than conventional iron, CGI enables smaller, lighter and more fuel-efficient engines for commercial vehicles, passenger vehicles and industrial power applications. SinterCast-CGI contributes to reducing CO2 emissions by approximately ten million tonnes annually. SinterCast technology is used in approximately two-thirds of global CGI production, serving the world's leading OEMs. More than 90% of the SinterCast revenue is recurring, primarily from production fees based on CGI volumes, sampling consumables and software licences. With installations in 13 countries and more than three decades of experience, SinterCast combines sustainable manufacturing solutions for the global foundry and automotive industries with a proven and scalable business model. SinterCast is listed on Nasdaq Stockholm Small Cap (SINT). For more information: www.sintercast.com
- END -
