Netel Holding AB (NETEL) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to our presentation of our Q4 results. My name is Jeanette Reuterskuld and with me I have Fredrik Helenius, our CFO. During today's presentation, I will start by running through the key developments in the fourth quarter, as well as a recap of the development for the full year 2025 and our measures to improve our profitability. Fredrik will then go through the financials in more detail before I make a short summary and we open up for your questions. In the quarter, we have charged the result with additional costs to terminate identified loss-making projects, while net sales were slightly lower than expected. We took robust measures to strengthen our operational base and increase predictability in our operations. We carried out comprehensive efforts to streamline our organization and strengthen the parts of the operations that have a negative impact. 2025 was a challenging year with lower volumes and the large write downs in projects that had a negative impact on our earnings. During the fourth quarter, we continue to win attractive contracts and we are entering 26 with a high order backlog, more than 4 billion. Around half of the order backlog is for products that had already underway this year, creating a strong foundation for profitable growth. Agreements were signed at levels that offer good potential for profitability and will help to stabilize the business going forward. The growth in order backlog was primarily driven by power and new framework agreements in telecom. We have, for example, signed new big contracts, one in infraservices for civil engineering works at a new logistics center in Ludvika, worth about 110 million SEK, and an agreement signed with Power Sweden with Elevio for the reconstruction and refurbishment of distribution...