Husqvarna Ab Stock Earnings Reports

Husqvarna reported a mixed Q2 2026: organic sales declined 4% (impacted by weak consumer sentiment, unfavorable weather in Europe and prior strong sell-in), with growth in North America and across the Construction division. Q2 EBITDA was SEK 1.95 billion (13.6% margin), aided by a SEK 240 million tariff refund; however lower volumes, unfavorable mix, raw material and logistics inflation and FX weighed on margins. Management is accelerating its cost-out program — SEK 385 million recognized in Q2 and a SEK 630 million run-rate savings year-to-date — and now targets SEK 3 billion of savings effective by end-2028 (maintaining the SEK 4 billion target by 2030). Strategic portfolio actions include exiting the stone diamond tools business (impacting ~SEK 250m sales through 2027) and moving the Powered Garden BPU into a formal strategic review. Operational moves: consolidation of logistics suppliers and warehouses, manufacturing footprint shifts (Germany to Czech Republic for labor-intensive processes), and the addition of four new group management hires including a new Chief Procurement Officer to drive sourcing savings. Sustainability: Science Based Targets validated (60% CO2 reduction vs 2015 baseline). Financial position strengthened: strong Q2 free operating cash flow (SEK 3.9 billion), reduced borrowings and net debt down to SEK 11.8 billion (net debt/EBITDA ~2.0), inventories slightly elevated (currency-adjusted +4% vs prior year), modest price increases being implemented, and an S&P rating of BBB- (stable). Management emphasizes continued strategic execution, further cost savings and focus on aftermarket growth.