SKF AB

Latest Results (31.03.2026):

SKF AB's Q4 2025 results: net sales MSEK 21,969 (24,725), down 11.1% y/y with organic growth 0.0% (−3.1%) and currency headwinds of −10.6%. Adjusted operating profit was MSEK 2,588 (2,735) with an adjusted operating margin of 11.8% (11.1%). Reported operating profit was MSEK 1,563 (2,331) after items affecting comparability of MSEK −1,025 (−404). Net profit for Q4 was MSEK 591 (1,591); basic EPS SEK 1.25 (3.31) and adjusted EPS SEK 3.50 (4.20). Net cash flow from operating activities in Q4 was MSEK 2,758 (3,283) and net debt declined to MSEK 12,052 at 31 Dec 2025.

Revenue and growth

Q4 net sales MSEK 21,969 vs MSEK 24,725 a year earlier (−11.1%). Organic sales were flat (0.0%), with Industrial up and Automotive down; currency translation trimmed ~−10.6% of sales.

Profitability (reported vs adjusted)

Adjusted operating profit MSEK 2,588 (2,735) and adjusted margin 11.8% (11.1%). Reported operating profit MSEK 1,563 (2,331) after IAC of MSEK −1,025 (−404), largely related to Automotive separation and footprint actions.

Net income and EPS

Q4 net profit MSEK 591 (1,591). Basic EPS SEK 1.25 (3.31); adjusted EPS SEK 3.50 (4.20).

Cash flow and balance sheet

Q4 operating cash flow MSEK 2,758 (3,283). Net cash flow after investments weaker for the year; net debt decreased to MSEK 12,052 (vs MSEK 16,472 at 1 Jan 2025). Net debt/Adjusted EBITDA ~0.8 at year-end.

Segment performance

Industrial: Q4 net sales MSEK 15,938 (17,508), organic +2.3%; adjusted operating profit MSEK 2,484 and margin 15.6%. Automotive: Q4 net sales MSEK 6,031 (7,217), organic −5.8%; adjusted operating profit MSEK 104 (margin 1.7%) and reported operating loss −391 due to separation-related effects and weak markets.

Items affecting comparability & strategic progress

Higher IAC in Q4 linked to Automotive separation and footprint optimization (Q4 IAC MSEK −1,025). Full‑year IAC ~MSEK −3,918 (includes restructuring, impairments and separation costs). Management reports rightsizing savings and continued separation work, with Automotive listing targeted for Q4 2026.

Outlook & shareholder returns

Company expects Q1 2026 market demand broadly similar to Q4 with organic sales to strengthen somewhat versus Q4 (favourable comparables). Currency headwinds remain a notable risk. Board proposes a dividend of SEK 7.75 per share (to be decided at AGM).

Notable sustainability/other items

SKF continues decarbonization progress (additional factories achieved decarbonized status) and reiterates medium/long‑term targets for revenue growth, margins and decarbonization commitments. Summarized from source with an LLMView Source