LUND, Sweden, July 22, 2025 /PRNewswire/ —
Alfa Laval (ALFVY), the Swedish engineering giant, released its Q2 2025 earnings report today, revealing a mixed bag of results amid a dynamic global market. Here’s a breakdown of the key figures:
- Order intake dipped to SEK 16.3 billion, a 14% decrease year-over-year (YoY), with an 8% organic decline. This suggests a softening in demand, potentially reflecting broader macroeconomic headwinds.
- Net sales saw a slight contraction, landing at SEK 16.8 billion, down 4% from the previous year. However, digging deeper reveals a silver lining: organic growth actually increased by 2%, indicating underlying strength in core operations.
- Profitability remained robust, as adjusted EBITA climbed 2% to SEK 3.0 billion. The adjusted EBITA margin expanded impressively to 17.8%, a testament to Alfa Laval’s ability to manage costs and optimize operational efficiency.
- Cash flow from operating activities clocked in at SEK 2.2 billion, a decrease from SEK 2.8 billion YoY.
- Earnings per share (EPS) jumped to SEK 4.87, up from SEK 4.08, signaling improved profitability for shareholders.
- Strategic expansion continues: On July 7, 2025, Alfa Laval finalized its acquisition of the cryogenic business from French conglomerate Fives, a move poised to strengthen its position in the energy sector.
Key Performance Indicators at a Glance:
Second Quarter
Order intake: SEK 16,299 million (vs. SEK 18,916 million last year).
Net sales: SEK 16,819 million (vs. SEK 17,530 million last year).
Adjusted EBITA: SEK 3,001 million (vs. SEK 2,932 million last year).
Adjusted EBITA margin: 17.8% (vs. 16.7% last year).
Result after financial items: SEK 2,709 million (vs. SEK 2,390 million last year).
Net income for the period: SEK 2,025 million (vs. SEK 1,696 million last year).
Earnings per share: SEK 4.87 (vs. SEK 4.08 last year).
Cash flow from operating activities: SEK 2,159 million (vs. SEK 2,755 million last year).
First Six Months
Order intake: SEK 33,106 million (vs. SEK 37,189 million last year).
Net sales: SEK 33,284 million (vs. SEK 32,435 million last year).
Adjusted EBITA: SEK 5,917 million (vs. SEK 5,367 million last year).
Adjusted EBITA margin: 17.8% (vs. 16.5% last year).
Result after financial items: SEK 5,366 million (vs. SEK 4,639 million last year).
Net income for the period: SEK 4,028 million (vs. SEK 3,388 million last year).
Earnings per share: SEK 9.69 (vs. SEK 8.15 last year).
Cash flow from operating activities: SEK 3,564 million (vs. SEK 4,644 million last year).
Return on capital employed (%): 24.4 (vs. 22.1 last year).
Net debt to EBITDA, times: 0.60 (vs. 0.83 last year).
* Organic change. ** Alternative performance measures.
Looking Ahead:
Management’s outlook for the third quarter suggests cautious optimism: “We expect demand in the third quarter to be somewhat higher compared to the second quarter.” Investors will be watching closely to see if this translates into tangible growth given current global economic uncertainties.
This information was released to the public on July 22, 2025, at 07:30 CEST.
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