Sandvik AB (publ) (SAND) Q2 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

A warm welcome to Sandvik's presentation of the second quarter results 2025. My name is Louise Cheddar, Head of Investor Relations. And of course, beside me, I have our CEO Stefan Widing and CFO Cecilia Felton. We will, as we usually do, start with the presentation, present the quarterly highlights, and after that, we will move on to the Q&A session. And with this short introduction, I will hand over to you, Stefan. Thank you, Louise. And also from me, welcome to the second quarter report of 2025. If we summarize the quarter, of course, we have to start with the order intake, which is at an all time high level. We see a strong momentum in mining and also in powder solutions. We see a positive development in the software business, aerospace and some of the smaller segments. I'll come back to that. While, of course, demand in general engineering, automotive and infrastructure continues to be soft. Order intake was stable year on year, but organically it grew by 10%. Total revenue decreased by 5%, but organically it grew by 3%. We consider this to be a solid quarter from a profitability point of view, with an adjusted EBITDA of 5.6 billion, corresponding to a margin of 19% versus 19.6% last year, and a rolling 12 of 19.4, which is the same as we had a year ago. And considering the significant currency headwinds and the fact that we have fully mitigated the tariffs in the quarter, we consider this to be a solid result. We also have savings from our restructuring programs with a positive bridge effect of over 200 million in the quarter. Adjusted profit for the period was 3.7 billion versus 3.9 last year. And we had a strong cash flow of 5.1 billion versus 4.2 in the same period last year. We also continue to make progress in our strategic priority areas. We see strong rev...