Lamor Corporation Plc | Stock Exchange Release | November 06, 2026 at 10:00:00 EET
Lamor's revenue declined, and profitability weakened clearly year-on-year in July-September. Customer decisions on major projects in the Middle East were delayed, and the company lowered its full-year guidance in September. Some anticipated orders and deliveries are expected to shift into 2027. The cost-saving programme progressed as planned, but the savings were insufficient to offset the impact of lower revenue on profitability. After the reporting period, the Kilpilahti plant produced circular oil for the first time on 19 October.
This release is a summary of Lamor's Business Review for January-September 2026. The full Business Review is attached to this release as a PDF file and is also available on the company's website at www.lamor.com/investors/reports-and-presentations.
July-September 2026 in brief
- Revenue was EUR 17.5 million (22.1)
- EBIT was EUR -0.6 million (1.6)
- Adjusted EBIT was EUR -0.4 million (1.6)
- Net cash flow from operating activities was EUR -7.8 million (6.2)
- Earnings per share (basic) was EUR -0.06 (0.01)
- Orders received was EUR 4.8 million (17.3)
January-September 2026 in brief
- Revenue was EUR 51.8 million (62.2)
- EBIT was EUR -0.6 million (4.1)
- Adjusted EBIT was EUR 0.1 million (4.4)
- Net cash flow from operating activities was EUR -8.3 million (2.0)
- Earnings per share (basic) was EUR -0.15 (0.01)
- Net working capital was EUR 39.9 million (46.1)
- Orders received was EUR 24.8 million (65.2) *
* The order intake and order backlog for the current financial year have been revised downwards in connection with the Q3/2026 report. This is because a EUR 7.3 million multi-year service project order received during Q2 will be re-tendered later in the year and has therefore been removed from order intake and order backlog.
The figures in brackets refer to the comparison period, which is the same period the previous year, unless otherwise stated.
The CEO's review
The third quarter of 2026 fell short of our targets. Revenue amounted to EUR 17.5 million and adjusted operating profit to EUR -0.4 million. As we stated in our September profit warning, our July expectation that revenue and profitability would be weighted towards the second half of the year will not materialise as anticipated. Customer decisions on several major equipment and service projects in the Middle East were not reached within the timeframe we had expected, and we lowered our guidance at the end of September.
The security situation in the Strait of Hormuz has directly affected logistics, the mobilisation of personnel and equipment, and customer procurement processes. Some procurement processes in Europe have also been delayed as the prolonged war in Ukraine has shifted customers' immediate security priorities. We estimate that some orders and deliveries anticipated for 2026 will shift into 2027.
We are now focusing on the areas we can influence. Our cost-saving programme has progressed as planned, and our fixed costs in January-September were EUR 4 million lower than in the comparison period. However, the savings are insufficient to offset the impact of delayed revenue on profitability. We have also reallocated sales resources to key markets. After the reporting period, I met with our customers in the Middle East in person to discuss how Lamor's expertise can address their current environmental protection needs. Our focus is on converting customer opportunities into orders and deliveries.
Our business is project-driven. A single large order can significantly increase our order backlog, but its impact on revenue depends on the delivery and project execution schedules. The long-term demand drivers for oil spill preparedness and response remain intact. The risk of oil spills in the Baltic Sea, particularly in the Gulf of Finland, highlights the importance of response preparedness as part of comprehensive security. In January-September, the need for preparedness was reflected, for example, in equipment orders from rescue services.
In July, we agreed on a comprehensive reorganisation of our debt financing. We extended the maturity of our bond to August 2028, refinanced approximately EUR 60 million in bank loans and guarantee facilities, and agreed on EUR 15 million in additional financing for the remaining investments at Lamor Kilpilahti plant's working capital needs. The arrangement still requires the completion of a share issue of at least EUR 5 million by 15 December 2026.
After the reporting period, we announced a contemplated directed share issue. The commitments from our principal shareholder, Larsen Family Corporation, and five Finnish institutional investors cover the preliminary issue size of EUR 5 million. At the end of October, we obtained financial covenant waivers from our financing providers for the year-end 2026 testing date and adjacent periods. The condition relating to the financial covenant waiver attached to the investor commitments has therefore been fulfilled. The commitments remain subject to certain customary conditions, and completion of the share issue requires authorisation from the Extraordinary General Meeting and a resolution by the Board of Directors.
We also reached an important milestone at Kilpilahti after the reporting period: Lamor Recycling's plant produced circular oil for the first time on 19 October. A minor fire during commissioning that day was found to have been caused by a gas leak, which was repaired. The ramp-up resumed on 29 October, when the plant began producing circular oil again.
The Kilpilahti plant is Finland's first industrial-scale chemical recycling plant for plastics. The first volumes of oil produced provide practical evidence that the plant can convert plastic waste into circular oil. However, producing the first oil, achieving longer uninterrupted runs, and reaching commercial production are separate stages. We are now focusing on ensuring stable process operation and consistent product quality.
Our guidance for 2026, updated on 29 September, remains unchanged. We expect revenue to be EUR 65-75 million and adjusted operating profit to be significantly below the previous year's level. Our priorities for the remainder of the year are completing the share issue, converting customer opportunities into orders and deliveries, and progressing with the controlled ramp-up of the Kilpilahti circular oil plant.
Fred Larsen, CEO
Lamor Corporation Plc
Financial overview
July-September 2026
The Group's revenue for the reporting period was EUR 17.5 million (22.1), a decrease of 20.7% from the comparison period. The ongoing soil remediation project in Kuwait, equipment deliveries to Canada and Kazakhstan, and soil remediation and service projects in South America were the most significant individual projects contributing to July-September revenue. Revenue recognised from the Kuwait soil remediation project in the third quarter was EUR 4.6 million (7.4).
Adjusted operating profit (EBIT) was EUR -0.4 million (1.6), or -2.4% of revenue (7.4%). The third quarter was challenging, mainly due to delays in customer decisions in the Middle East and Europe and the resulting lower-than-expected revenue. The cost savings programme has progressed as planned. However, the savings are not sufficient to offset the impact of the deferred revenue on profitability.
The value of new orders received during the reporting period was EUR 4.8 million (17.3). The most significant orders were received from Europe and Asia.
January-September 2026
The Group's revenue for the reporting period was EUR 51.8 million (62.2), a decrease of 16.8% from the comparison period. The ongoing soil remediation project in Kuwait, equipment deliveries to India, the United Arab Emirates and Europe, and soil remediation and service projects in South America were the most significant individual projects contributing to January-September revenue. Revenue recognised from the Kuwait soil remediation project in January-September was EUR 15.8 million (18.2). Revenue recognition from the project is expected to be lower in the second half of the year than in the first half.
Adjusted operating profit (EBIT) was EUR 0.1 million (4.4), or 0.1% of revenue (7.0%). Operating profit for the reporting period fell short of expectations, mainly due to delays in customer decisions in the Middle East and Europe and the resulting lower-than-expected revenue. The company's fixed costs for the reporting period were EUR 4 million lower than in the comparison period. Profitability will be improved by continuing the efficiency measures carried out in the first half of the year, which have included headcount reductions, savings in the use of external services and general improvements in cost efficiency. Overall, the company is targeting annual cost savings of EUR 8 million by the end of 2026 compared with the 2024 level.
The order backlog at the end of the period was EUR 35.0 million (82.6). The value of new orders received during the reporting period was EUR 24.8 million (65.2). This includes a negative correction of EUR 7.3 million to orders received in the second quarter, made due to the re-tendering of a multi-year service project. The most significant orders were an environmental protection technology order worth approximately EUR 2.5 million to Kazakhstan and environmental protection technology orders worth a total of over EUR 2 million from Finnish wellbeing services counties. In addition, the company received several orders worth over EUR 1 million from Peru, China, the United Arab Emirates and elsewhere in Europe.
Financial position
On July 17th Lamor announced that it had signed new senior financing agreements in line with previously announced plans. Under the new arrangement, Lamor refinanced its own and Lamor Recycling Oy's existing bank loans and guarantee facilities totaling EUR 60 million and obtained EUR 15 million in additional financing to fund its working capital needs and Lamor Recycling Oy's plant investment. In addition, the final maturity date of the green bond was extended to 24 August 2028. As a condition subsequent to the new senior financing arrangements, Lamor intends to carry out a share issue of at least EUR 5 million by 15 December 2026. The company announced its intention to carry out the share issue separately on 23 October 2026, after the end of the reporting period. The senior debt is classified as current liabilities in the balance sheet until the share issue has been completed and the condition has thereby been removed.
Lamor's senior green bond and senior debt financing agreements include customary covenants relating to, among other things, the Group's profitability (adjusted EBITDA) and the minimum liquidity levels of the parent company and Lamor Recycling Oy. The covenants met at the test date of 30 September 2026.
Key figures
| EUR thousand (unless otherwise noted) | 7-9/2026 | 7-9/2025 | 1-9/2026 | 1-9/2025 | 1-12/2025 |
| Revenue | 17,492 | 22,070 | 51,791 | 62,229 | 90,243 |
| EBITDA | 152 | 2,235 | 1,613 | 6,155 | 9,478 |
| EBITDA margin % | 0.9% | 10.1% | 3.1% | 9.9% | 10.5% |
| Adjusted EBITDA | 279 | 2,297 | 2,259 | 6,404 | 9,821 |
| Adjusted EBITDA margin % | 1.6% | 10.4% | 4.4% | 10.3% | 10.9% |
| Operating profit or loss (EBIT) | -550 | 1,562 | -591 | 4,131 | 6,197 |
| Operating profit (EBIT) margin % | -3.1% | 7.1% | -1.1% | 6.6% | 6.9% |
| Adjusted operating Profit (EBIT) | -423 | 1,624 | 55 | 4,385 | 6,545 |
| Adjusted operating Profit (EBIT) margin % | -2.4% | 7.4% | 0.1% | 7.0% | 7.3% |
| Profit (loss) for the period | -1,751 | 426 | -4,020 | 346 | -3,434 |
| Earnings per share, EPS (basic), euros | -0.06 | 0.01 | -0.15 | 0.01 | -0.13 |
| Earnings per share, EPS (diluted), euros | -0.06 | 0.01 | -0.15 | 0.01 | -0.13 |
| Return on equity (ROE) % | -3.3% | 0.7% | -7.4% | 0.6% | -5.7% |
| Return on investment (ROI) % | -0.4% | 1.3% | -0.5% | 3.4% | 5.3% |
| Equity ratio % | 32.3% | 35.7% | 32.3% | 35.7% | 35.4% |
| Net gearing % | 129.9% | 86.8% | 129.9% | 86.8% | 86.2% |
| Net working capital | 39,872 | 46,071 | 39,872 | 46,071 | 35,858 |
| Orders received | 4,804 | 17,291 | 24,840* | 65,153 | 77,513 |
| Order backlog | 35,034* | 82,588 | 35,034* | 82,588 | 65,012 |
| Number of employees at the period end | 573 | 562 | 573 | 562 | 552 |
| Number of employees on average | 582 | 543 | 567 | 596 | 590 |
* The order intake and order backlog for the current financial year have been revised downwards in connection with the Q3/2026 report. This is because a EUR 7.3 million multi-year service project order received during Q2 will be re-tendered later in the year and has therefore been removed from order intake and order backlog.
Outlook for the remainder of 2026
Long-term demand in Lamor's target markets is supported by increasingly stringent environmental requirements and growing environmental risks, which drive investments in environmental protection, soil remediation and restoration, and circular economy solutions.
In the short term, the geopolitical situation and economic uncertainty are affecting customer decision-making, and significant uncertainty remains regarding the timing of large projects.
Guidance for 2026 (updated on 29 September 2026)
- Revenue is expected to be EUR 65-75 million (2025: EUR 90.2 million)
- Adjusted operating profit is expected to be significantly below the previous year's level (2025: EUR 6.5 million)
Underlying assumptions (Updated on 29 September 2026)
The expectations that both revenue and profitability would be weighted towards the latter part of the year are not expected to materialize. Customer decisions appear likely to shift into the next calendar year. Measures aimed at improving sales, margins and efficiency are also not expected to provide sufficient support for revenue and profitability in the second half of the year.
The finishing measures required by the Finnish Safety and Chemicals Agency (Tukes) in connection with the ramp-up of circular oil production and the final inspection have been completed.
Events after the reporting period
Shareholders' Nomination Board
On 1 October 2026, Lamor announced the composition of its Shareholders' Nomination Board. The appointed members were Petter Larsen (CEO, Larsen Family Corporation Oy), Juuso Puolanne (Investment Director, Finnish Industry Investment Ltd), Juulia Kurunsaari (EVP, General Counsel, Ilmarinen Mutual Pension Insurance Company) and Mika Ståhlberg (Chair of the Board of Directors, Lamor Corporation Plc). Petter Larsen was elected Chair of the Nomination Board.
Kilpilahti circular oil plant
On 19 October 2026, Lamor announced in a press release that localised heat development at Lamor's Kilpilahti circular oil plant had resulted in a minor fire earlier that day. The plant's own personnel extinguished the fire immediately. No injuries occurred, and no visible damage to the plant was observed. At the time of the announcement, the process was cooled down. The company stated that commissioning would resume following the necessary inspections and corrective measures.
On 20 October 2026, Lamor announced in a press release that the Kilpilahti circular oil plant had produced circular oil for the first time on 19 October 2026. The plant's first production line is designed to produce approximately 6,000 tonnes of certified circular oil annually.
On 30 October 2026, Lamor announced that the ramp-up had resumed and that the plant had been producing circular oil since the afternoon of 29 October. An inspection had identified a minor gas leak as the cause of the fire, and the leak had been repaired. The company stated that the ramp-up was progressing in stages, with the next steps focusing on ensuring consistent product quality and verifying sustained process operation.
Share issue and financial covenants
On 23 October 2026, Lamor announced in an inside information release that it was contemplating a directed share issue to strengthen the company's equity by at least EUR 5 million before expenses. The issue would be directed to a group of domestic investors to be determined by the Board of Directors, in deviation from shareholders' pre-emptive subscription rights.
Larsen Family Corporation Oy has committed to participate in the share issue with an investment of EUR 2 million. Finnish Industry Investment Ltd, Ilmarinen Mutual Pension Insurance Company, Veritas Pension Insurance Company Ltd, Mandatum Life Insurance Company Limited and Kaleva Mutual Insurance Company have committed to participate with investments totaling EUR 3 million. These commitments collectively cover 100 per cent of the preliminary size of the share issue.
In the same release, the company announced that it was negotiating with its financing providers regarding certain financial covenant waivers for the testing date of 31 December 2026 and adjacent periods. On 30 October 2026, the company announced in a stock exchange release that it had obtained these waivers, which took effect immediately. The condition relating to the financial covenant waiver attached to the investor commitments has therefore been fulfilled, while the commitments remain subject to certain customary conditions.
Extraordinary General Meeting
On 23 October 2026, Lamor published a notice convening an Extraordinary General Meeting to be held on 13 November 2026 at 10:00 am (EET) as a real-time virtual meeting without a physical meeting venue.
The Board of Directors proposes that the Extraordinary General Meeting authorise it to resolve the issuance of a maximum of 10,000,000 shares, corresponding to approximately 36.4 per cent of all shares in the company at the time of the proposal. The shares issued under the authorisation may be new shares or treasury shares.
Financial calendar for 2027
Lamor will publish financial reports in 2027 as follows:
- Financial Statements Release for 2026: Thursday, 25 February 2027
- Business Review for January-March 2027: Thursday, 6 May 2027
- Half-year Financial Report for January-June 2027: Thursday, 29 July 2027
- Business Review for January-September 2027: Thursday, 4 November 2027
Lamor's Annual Report for 2026, comprising the company overview, the Board of Directors' Report and Financial Statements, the Corporate Governance Statement and the Remuneration Report, will be published on the company's website no later than Thursday, 1 April 2027.
The Annual General Meeting is tentatively scheduled for 22 April 2027. Lamor's Board of Directors will convene the meeting at a later date.
Porvoo, 6 November 2026
Lamor Corporation Plc
Board of Directors
Further information
Fred Larsen, CEO
fred.larsen@lamor.com
+358 400 906 311
Nalle Stenman, CFO
nalle.stenman@lamor.com
+358 40 566 8918
Lamor in brief
Lamor is one of the world's leading providers of environmental solutions. For more than 40 years, the company has helped its customers prepare for environmental damage, respond to it and restore damaged environments on land and at sea.
Lamor provides technologies, services and tailored turnkey solutions for environmental protection, soil remediation and restoration, and material recycling. Its expertise ranges from oil spill response to waste and water treatment, remediation of contaminated soil and chemical recycling of plastics.
Lamor combines the expertise of its own specialists with the execution capability of local partners and its global network. This enables the company to carry out large-scale, rapidly mobilised operations around the world.
Lamor has approximately 550 employees in more than 20 countries. In 2025, the company's revenue was EUR 90.2 million. Lamor's share is listed on the main list of Nasdaq Helsinki under the trading code LAMOR.
More information: www.lamor.com
