AQ Group AB (publ), interim report January-June, 2026

Second quarter, April-June 2026 in brief

• Net sales increased by 10% to SEK 2,577 m (2,344) 
• Operating profit (EBIT) increased by 17% to SEK 255 m (218) 
• Profit before tax (EBT) increased by 13% to SEK 256 m (228) 
• Profit margin before tax (EBT %) was 9.9% (9.7) 
• Profit after tax amounted to SEK 202 m (189)
• Cash flow from operating activities amounted to SEK 23 m (232)
• Earnings per share before dilution amounted to SEK 2.20 (2.06)

Six months, January-June 2026 in brief

• Net sales increased by 6% to SEK 4,934 m (4,634) 
• Operating profit (EBIT) increased by 11% to SEK 480 m (433) 
• Profit before tax (EBT) increased by 11% to SEK 479 m (432) 
• Profit margin before tax (EBT %) was 9.7% (9.3) 
• Profit after tax amounted to SEK 382 m (355)
• Cash flow from operating activities amounted to SEK 362 m (477)
• Earnings per share before dilution amounted to SEK 4.16 (3.87)
• Equity ratio was 67% (65)

Significant events after the end of the period

• Updated financial target, profit margin before tax 10% (8%)

A word from the CEO    
 
Good net sales and earnings
In the second quarter, we had the highest net sales and profit in a single quarter in the company's history. We increase net sales by 10% and had organic growth of 9%. It is as planned. A large proportion of deliveries and invoicing took place at the end of the quarter. During the quarter, we invested in more capacity for the production of inductive components for data centers. During the quarter, complete systems were delivered from Hungary, Finland and the US. At the same time, our transformer factories in China are growing towards the same market segment at a rapid pace. Inductive components for data centers alone accounted for 6% of AQ's total sales in the quarter. We are also continuing our expansion into the defense industry. We are investing SEK 60 m in additional production equipment and premises in northern Sweden to meet current and future demand. Finally, we acquired Time 24 in the quarter. There, we have integrated the company at rocket speed to get components and systems out to Time 24's demanding customers, and in the quarter, sales amounted to SEK 20 m.

Acquisition
Our growth through acquisitions during the quarter was 1% through the acquisition of Time 24. Time 24 manufactures systems for demanding industrial customers in the UK. Their customers operate primarily in the semiconductor and railway industries. We continue to have a strong balance sheet and are continuing to work on several potential acquisitions to reach our target for 2026 of acquired growth above 5%. We have seen improvements in the profitability of several newly acquired companies compared to the corresponding quarter last year. 

Market and investments
Our deliveries increased to the defense industry in Europe and to data centers in the US. Several of our factories in China, Europe and the US are running at full speed. We have therefore continued to invest in new winding machines, vacuum impregnation and test equipment for inductive components to increase our manufacturing capacity of transformers. We have also invested in machinery and premises to meet the high demand for mechanics and electrical systems from the defense industry and electrification customers. We are prepared for growth and can invest more if necessary. 

Cash flow, balance sheet, margin and increased financial target 
For 13 quarters, our profit margin before tax was above our target of 8%. In recent years, we have increased the complexity and technology content of our delivery and therefore the Board of Directors has decided to raise the target to a profit margin above 10%. This is reasonable as we today take greater responsibility for design, especially in our business area inductive components. Our profit margin before tax (EBT) in the quarter was 9.9%. Our cash flow from operating activities in the quarter was SEK 23 m (232), impacted by increased inventories and trade receivables due to growth. However, we can continue to be opportunistic and grow organically and through acquisitions as we have a net cash position.

Thank you
I am grateful that I have the opportunity to work with so many fantastic employees, customers and suppliers. During the quarter and year, we won orders in exciting growth segments. It may sound simple. But as difficult as it is to win new customer contracts, it is to deliver them at the required pace. I am incredibly impressed by the dedication and tenacity we show to make our customers and ultimately their customers happy. It is with pride that we close the second quarter with the highest sales and earnings in the company's history. Thank you!

James Ahrgren
CEO 

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This disclosure contains information that AQ Group is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014) and the Swedish Securities Markets Act (2007:528). The information was released for publication by James Ahrgren on 14-07-2026 08:00 CEST.

For further information, please contact:
James Ahrgren, CEO and IR, telephone +46 76 052 58 88  or
CFO, Christina Hegg, telephone +46 70 318 92 48
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AQ is a global manufacturer of components and systems to demanding industrial customers and is listed on Nasdaq Stockholm's main market. The Group consists mainly of operating companies each of which develop their special skills, and in cooperation with other companies, striving to provide cost effective solutions in close cooperation with the customer.

The Group headquarter is in Västerås, Sweden. AQ has 8,000 employees in Bulgaria, Poland, Lithuania, Sweden, China, Estonia, Hungary, Mexico, Finland, India, Canada, USA, Germany, Italy, Brazil, Great Britain and Czech Republic. In 2025 AQ had net sales of SEK 9 billion, and the Group has since its start in 1994 shown profit every quarter.

www.aqgroup.com