Epiroc AB (publ) (EPI_A) Q1 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Hello and a warm welcome to the Epiroc Q1 results presentation. My name is Karin Larsson, Head of IARN Media here at Epiroc and by my side I have our CEO Helena Hedblom and our CFO Håkan Folin. As always, they will briefly present the results before we do a Q&A session. You know the drill. Helena, please. Thank you, Karin. EPROC delivered a strong start to the year with solid operational performance and record high orders received in the first quarter. Organically, orders increased 23% to 18.3 billion. This is a record which is meaningfully higher than both the previous year as well as previous peaks. The demand was supported by historically high mineral prices in segments to which we have a large exposure, such as copper and gold. The equipment orders increased 44% organically and the service orders increased 12% organically. We also noted double-digit growth in exploration and tools. The infrastructure demand improved somewhat, although geopolitical instability creates uncertainty. Revenues grew organically by 2% and the adjusted operating margin increased to 20%, supported by organic measures such as disciplined execution and cost-saving initiatives. As we had currency headwinds, tariffs and higher input costs for tungsten in the quarter, the improvement is particularly pleasing to see. Looking deeper into orders, in total orders increased 11% year on year. Currency was still a headwind and impacted negatively by 12%. The organic increase was 23% driven by strong demand from mining customers and was supported by several large mining equipment orders. The large orders amounted to 1.3 billion compared to roughly 300 million in the previous year. And please note, as from this quarter, we say that large orders are 150 million and above compared to 100 million previous...