Arendals Fossekompani ASA

Latest Results (10.11.2025):

Arendals Fossekompani ASA reported its financial results for the first quarter of 2025, demonstrating a mixed performance amid challenging market conditions. The group recorded revenue of NOK 969 million, an operating profit (EBIT) of NOK 75 million, and an ordinary profit after tax (but before non-controlling interests) of NOK -3 million. The report notes pressure from a weaker European market and declining margins in key portfolio companies while highlighting strong segments such as Volue’s SaaS performance and robust hydropower production.

Overall Financial Performance

The first quarter of 2025 saw Arendals Fossekompani ASA’s revenue at NOK 969 million and EBIT at NOK 75 million, down from NOK 1,027 million and NOK 115 million respectively in the prior year’s quarter. Challenges included reduced revenue contributions from ENRX and margin declines at NSSLGlobal, resulting in an ordinary profit before non-controlling interests of NOK -3 million.

Portfolio Highlights

Within the portfolio, Volue delivered strong results with a 13% year-on-year revenue growth to NOK 406 million, marked by a cash EBITDA margin expansion to 16%. Meanwhile, ENRX experienced a 19% decline in revenue due to subdued performance in European and Asian markets, and NSSLGlobal registered slightly lower revenue and operating profit compared to Q1 2024. Tekna reported a revenue dip in the Systems segment despite a 7% growth in its Materials segment, coupled with an enhanced order intake.

Hydropower and Financial Position

AFK Vannkraft maintained stable performance with hydropower revenue of NOK 127 million and operating profit of NOK 93 million, closely tracking last year’s results. Overall, the report emphasizes a solid financial position, with available cash of NOK 911 million, undrawn credit facilities amounting to NOK 2,002 million, and a net cash position indicated by a net debt (excluding shareholder loans) of NOK -59 million.

Dividend Announcement

The company declared a dividend of 1 NOK per share for the quarter, noting that this quarter represents the last quarterly dividend payout as Arendals Fossekompani ASA transitions to annual dividend announcements.