Sandvik Ab · OMXSTO:SAND

Sandvik Ab — Q4 2025 Earnings Presentation

27 slides from Sandvik Ab's earnings presentation, Jan 27, 2026

  1. Slide 1: Interim report fourth quarter 2025

    Interim report fourth quarter 2025

  2. Slide 2: Summary Q4

    Summary Q4 Strong ending to the year with double-digit order intake and revenue growth – Strong demand in mining and infrastructure improving. Mixed demand in cutting tools – strong in aerospace and defense, while automotive remains weak. Strong demand also in both software solutions and powder solu

  3. Slide 3: Key strategic highlights in the quarter

    Key strategic highlights in the quarter Strong momentum for digital solutions Multiple innovations in Intelligent Blueprint Jaw Crusher chamber in Mining Manufacturing - V24 launch platform – Two large automation orders in the – Metrolog Copilot: AI-based assistant – Automated features that improve

  4. Slide 4: YoY market development

    Interim report for the fourth quarter 2025 YoY market development Mining General Engineering Infrastructure Automotive Aerospace Other 51% 19% 9% 5% 4% 12% % of revenue 2025 Percent of revenue Order intake 2025 Y/Y Q4 25 Europe 25% 13% North America 26% 9% Asia 18% 14% Africa and Middle East 12% 5%

  5. Slide 5: Order intake and revenues

    Interim report for the fourth quarter 2025 Order intake and revenues SEK Bn 35 140 Order intake Reported (MSEK) 32,717 30 120 25 100 Revenues 20 80 Reported (MSEK) 15 10 60 40 32,461 Book-to-bill 5 20 0 Q1 Q2 2021 Q3 Q4 Q1 Q2 2022 Q3 Q4 Q1 Q2 2023 Q3 Q4 Q1 Q2 2024 Q3 Q4 Q1 Q2 2025 Q3 Q4 0 101% Order

  6. Slide 6: Growth in order intake and revenues

    Interim report for the fourth quarter 2025 Growth in order intake and revenues Order intake Revenue SEK Bn SEK Bn 50% 140 50% 140 40% 120 40% 120 30% 100 30% 100 20% 80 20% 80 10% 10% 0% 0 0% 0 -10% -20 -10% -20 -20% -40 -20% -40 -30% -60 -30% -60 -40% -80 -40% -80 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q

  7. Slide 7: Adjusted EBITA development

    Interim report for the fourth quarter 2025 Adjusted EBITA development SEK Bn 8 24% Adj. EBITA margin: 19.6% 7 22% +1.4% 6 20% 5 18% 4 16% 3 14% – Adj. EBITA SEK 6,373 M (6,288) 2 4% – Solid leverage on higher volumes, good price execution and savings off-set by negative 1 2% impact from currency 0 Q

  8. Slide 8: Mining

    Interim report for the fourth quarter 2025 Order intake and revenues 52% share of Mining revenues 2025 SEK Bn 20 150% 16 100% Order intake 12 – Positive momentum with strong demand for Sandvik’s underground and 8 50% surface solutions 4 – Double-digit organic growth across all equipment divisions as

  9. Slide 9: Rock Processing

    Interim report for the fourth quarter 2025 Order intake and revenues 9% share of Rock Processing revenues 2025 SEK Bn 4 150% 3 100% Order intake 2 – Order intake in mining declined year on year on tough mining comparables, 50% while underlying demand remained robust 1 – Solid demand in infrastructur

  10. Slide 10: Machining and Intelligent Manufacturing

    Interim report for the fourth quarter 2025 Order intake and revenues 39% share of Machining and Intelligent revenues 2025 SEK Bn Manufacturing 16 150% 12 100% Order intake 8 – Mixed demand for cutting tools between regions and segments. Strong demand in aerospace and defense. Demand in general engin

  11. Slide 11: Cecilia Felton, CFO

    Cecilia Felton CFO 11

  12. Slide 12: Financial summary

    Interim report for the fourth quarter 2025 Financial summary MSEK Dec’24 Dec’25 Growth OI Rev Order intake 31,562 32,717 Organic 15% 12% Revenues 32,151 32,461 Structure 0% 0% Adjusted EBITA 6,288 6,373 Organic + structure 15% 12% Adjusted EBITA margin 19.6% 19.6% Currency -12% -11% Net financial it

  13. Slide 13: Bridge analysis

    Interim report for the fourth quarter 2025 Bridge analysis Q4 Q4 MSEK 2024 Organic Currency Structure 2025 Revenues 32,151 3,944 -3,651 17 32,461 Adjusted EBITA 6,288 1,234 -1,172 23 6,373 Adjusted EBITA margin 19.6% 31% 133.9% 19.6% Accretion/dilution 1.3% -1.3% 0.1% 13

  14. Slide 14: Net financials

    Interim report for the fourth quarter 2025 Net financials MSEK Dec’24 Dec’25 Interest net -309 -151 Pension -26 -21 Bank charges -26 -30 Other financial income and cost 61 -50 Leases IFRS16 -72 -62 Fx and other asset classes 9 -4 Total -364 -319 Total yield cost, R3 4.9% 3.5% Total yield cost, R12 5

  15. Slide 15: Tax rate

    Interim report for the fourth quarter 2025 Tax rate MSEK Dec’24 Dec’25 Reported 20.1% 24.5% Excluding IAC 24.0% 24.4% – Normalized tax: In line with guidance Normalized 24.0% 24.4% for 2025 – 23-25% 15

  16. Slide 16: Net working capital

    Interim report for the fourth quarter 2025 Net working capital Net working capital Per BA, % of revenues, R12 SEK Bn 40 40% 40% 35 35% 35% 30 30% 30% 25 25% 25% 20 15 20% 20% 10 15% 15% 5 0 0% 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3

  17. Slide 17: Free operating cash flow

    Interim report for the fourth quarter 2025 Free operating cash flow SEK Bn 7 140% MSEK Dec’24 Dec’25 6 120% EBITDA 7,736 7,770 5 100% 4 80% Non-cash and other items** -1,084 -482 EBITDA adj for non-cash 3 60% 6,651 7,289 and other items 2 40% Capex -1,366 -1,024 1 20% NWC 1,178 450 0 0% FOCF 6,463 6

  18. Slide 18: Net debt

    Interim report for the fourth quarter 2025 Net debt SEK Bn RATIO 60 1.8 Financial net 50 1.5 debt/R12 EBITDA: 40 1.2 30 20 0.9 0.6 0.9 10 0.3 0 0.0 -10 -0.3 – Financial net debt SEK 27 billion -20 -0.6 – Net debt SEK 34 billion Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2021 2022 20

  19. Slide 19: Outcome versus guidance

    Interim report for the fourth quarter 2025 Outcome versus guidance Outcome Q4 Guidance Q4 Currency YoY effect (MSEK) -1,172 -1,000 Outcome FY25 Guidance FY25 Capex (BSEK) 3.8 4.5 Interest net (BSEK) -0.8 -0.8 Normalized tax rate (%) 24.2% 23-25% 19

  20. Slide 20: Guidance Q1 and FY 2026

    Interim report for the fourth quarter 2025 Guidance Q1 and FY 2026 Currency effect Given currency rates on January 23, 2026 the effect on operating profit from transaction and translation would be SEK -1.4 Bn for Q1 2026 CAPEX (Cash) Estimated to SEK 4.0-4.5 Bn for 2026 Interest net Underlying inter

  21. Slide 21: Conclusion

    Conclusion Strong financial performance for the fourth quarter and 2025 – Fourth quarter with double-digit organic growth in orders and revenues, improved margin and strong cash conversion – Full year organic order intake and revenues increased by 11% and 5%, respectively – Operating profit margin f

  22. Slide 22: Q&A

    Q&A 22

  23. Slide 23: Backup slides

    Backup slides 23

  24. Slide 24: Adjusted EBITA bridge, per BA

    Interim report for the fourth quarter 2025 Adjusted EBITA bridge, per BA Q4 Q4 MSEK Organic Currency Structure 2024 2025 Mining Revenues 17,306 2,462 -2,184 3 17,588 Adjusted EBITA 3,721 779 -714 -2 3,784 Adjusted EBITA margin 21.5% 32% 21.5% Rock Processing Revenues 2,803 191 -313 34 2,715 Adjusted

  25. Slide 25: Loan maturity profile

    Interim report for the fourth quarter 2025 SEK M Loan maturity profile 8.000 Average interest rate: ~2.8% (excluding swap costs) 6.000 4.000 2.000 0.000 2026 2027 2028 2029 2030 2031 2032 2033 25

  26. Slide 26: Loan and duration profile

    Interim report for the fourth quarter 2025 Loan and duration profile Long term: MSEK Amount Duration Bonds MTN 18,931 3.2 years 88% Bank Loans 8,734 5.5 years Short term: Commercial papers 0 0.0 years Bonds MTN Bank Loans 3,780 28 0.5 years 0.5 years 12% Total 31,474 3.5 years Committed Credit facil

  27. Slide 27: Disclaimer statement

    Disclaimer statement Some statements herein are forward-looking, and the actual outcome could be materially different. In addition to the factors explicitly commented upon, the actual outcome could be materially affected by other factors for example, the effect of economic conditions, exchange-rate

Sandvik — Q4 2025 Earnings Presentation on 6ix