Elanders AB Reports Second Quarter Insights and Updates

Elanders AB: An Overview of the First Half of 2025
As we reach the midpoint of 2025, Elanders AB reveals its financial results for the first two quarters, providing insights into the company's performance and strategic direction. This report highlights key figures and significant changes within the leadership structure of the company, illustrating its response to the market's evolving challenges.
Financial Performance Overview
The net sales for the first half of 2025 stood at MSEK 6,277, reflecting a 3 percent drop compared to the previous year's performance of MSEK 6,771. This decrease was adjusted to exclude impacts from acquisitions and discontinued operations, underscoring the organic sales decline amid stable exchange rates. The adjusted EBITA was recorded at MSEK 300, down from MSEK 395 in the prior year, resulting in an adjusted EBITA margin of 4.8 percent.
Challenges and Strategic Measures
Elanders faced notable challenges that impacted its operating profit. One-off items amounted to MSEK -105, significantly higher than the previous year's -73, attributed primarily to structural adjustments the company is implementing to better align with a softer market environment. These adjustments are expected to yield an estimated annual cost savings of around MSEK 151, including MSEK 84 in the current year.
Cash Flow and Debt Management
Despite the drop in net sales, Elanders managed to generate an adjusted operating cash flow of MSEK 1,007, compared to MSEK 1,157 the previous year. Including acquisition-related adjustments, operating cash flow showed a robust figure of MSEK 989. This indicates effective cash management, as reflected in a cash conversion rate consistent at 120 percent.
The company's free cash flow per share also showcased a slight decrease, moving from SEK 22.61 to SEK 19.51. Furthermore, total net debt was reduced by MSEK 888, reaching MSEK 8,224 by mid-2025.
Second Quarter Highlights
Diving deeper into the second quarter, Elanders reported net sales of MSEK 3,044, which represents a 5 percent decrease compared to MSEK 3,503 from the same quarter last year. Adjusted EBITA also fell from MSEK 215 to MSEK 167, revealing a corresponding margin shift from 6.1 percent to 5.5 percent.
Leadership Changes and Future Outlook
A significant change occurred at the executive level during this quarter. Florian Beck has taken over the CEO role at LGI, the company's largest subsidiary, from Bernd Schwenger. Additionally, Charles Ickes steps into a newly formed position as Group COO while continuing to serve as CEO of Bergen Logistics. Such appointments may be indicative of Elanders' commitment to fostering innovative leadership to navigate current market dynamics.
Contact Information and Transparency
For inquiries regarding the report or further details, stakeholders can reach out to:
Magnus Nilsson
President and Group CEO
Phone: +46 31 750 07 50
Åsa Vilsson
Group CFO
Phone: +46 31 750 07 50
Elanders AB (publ)
(Company ID 556008-1621)
Flöjelbergsgatan 1 C
431 37 Mölndal, Sweden
Phone: +46 31 750 00 00
Frequently Asked Questions
What were Elanders AB's net sales for the first half of 2025?
Elanders AB reported net sales of MSEK 6,277 for the first half of 2025.
How did Elanders AB's adjusted EBITA perform in the second quarter?
The adjusted EBITA for the second quarter was MSEK 167, down from MSEK 215 the previous year.
Who is the new CEO of LGI?
Florian Beck has been appointed as the new CEO of LGI, replacing Bernd Schwenger.
What strategic measures is Elanders AB implementing?
Elanders is taking structural measures to enhance its market position and achieve cost savings of approximately MSEK 151 annually.
How can I contact Elanders AB for more information?
You can contact Magnus Nilsson or Åsa Vilsson at their respective phone numbers provided in the report for inquiries.
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