J.M. AB

Latest Results (30.09.2026):

J.M. AB — Q2 2026 (April–June 2026): J.M. AB reported stronger revenue and materially improved cash flow in Q2 2026 while reported operating profit fell versus the year-ago quarter. Segment-reporting revenue was SEK 2,815m (Q2 2025: 2,540), operating profit SEK 70m (116) and an operating margin of 2.5% (4.6). Cash flow from operating activities improved to SEK 707m (–204) and net interest-bearing liabilities (segment) fell to SEK 2.9bn. Residential sales rose sharply (784 units in Q2) and inventories of repurchased/unsold units decreased, supporting liquidity. IFRS reporting shows weaker quarterly earnings (IFRS operating profit –27 and IFRS EPS –1.37 SEK for Q2). Overall the underlying residential development business improved but reported profit was affected by lower‑margin completions and some non‑recurring costs.

Headline Q2 2026 numbers

Segment reporting (Q2 Apr–Jun 2026): Revenue SEK 2,815m (2,540), Operating profit SEK 70m (116), Operating margin 2.5% (4.6), Profit before tax SEK 16m (69), Profit after tax SEK –5m (38), EPS SEK –0.08 (0.58). Cash flow from operating activities SEK 707m (–204).

IFRS picture (contrast)

IFRS (Q2 Apr–Jun 2026): Revenue SEK 2,348m (3,248), Operating profit SEK –27m (173), IFRS EPS SEK –1.37 (1.18). For H1 2026 IFRS revenue SEK 4,443m and IFRS EPS SEK –0.87. (Differences reflect accounting/recognition and project‑financing treatments versus JM’s segment reporting.)

Cash flow and balance sheet strength

Operating cash flow materially improved (Q2 SEK 707m; H1 SEK 728m) driven by lower inventories of repurchased/unsold units and higher production sales. Net interest‑bearing liabilities (segment) were SEK 2,923m at 30 June. Available liquidity (segment) was about SEK 4,268m (including cash SEK 864m and undrawn facilities).

Sales, production and inventories

Residential units sold: 784 in Q2 2026 (433 in Q2 2025) and 1,704 in H1 2026 (988). Residential units in production total 5,116. Percentage sold/reserved in production rose to 64% (51%). Unsold residential units recognized in the balance sheet (segment) fell to 234 (509), supporting the cash‑flow improvement.

Margins and segment performance

Group operating margin (segment) Q2 2026: 2.5% (H1 2026: 4.9%). By segment (Apr–Jun): JM Stockholm 3.5%, JM Sweden 4.1%, JM Norway 6.9%, JM Finland 0.7%. Management reports the underlying residential development margin improved, but reported profit was weighed down by a mix of low‑completion sales and ~SEK 25m of non‑recurring costs (and the prior year included ~SEK 80m of non‑recurring items).

Profitability and per‑share metrics

Return on equity (12‑month, segment) 1.4%; return on capital employed 2.9%. Earnings per share (segment) Q2 –0.08 SEK; H1 2.20 SEK. IFRS EPS Q2 –1.37 SEK; H1 –0.87 SEK.

Outlook and drivers

JM notes an improving Swedish housing market, higher consumer sales and plans to start more residential production in 2026 than in the prior year. Near‑term demand is weaker in Norway and Finland and global uncertainty remains a risk. The stronger cash flow and reduced inventory position the company to benefit if market conditions continue to normalize.