Tomra Systems ASA

Latest Results (28.06.2026):

Tomra Systems ASA — Q1 2026: The company reported Q1 2026 results showing reported revenues of EUR 208 million and EBITA of EUR 33 million. Collection delivered record quarterly revenues driven by new-market installations (notably Poland and Portugal) while Recycling saw weak commercial activity and negative adjusted EBITA. Food grew revenues with continued strong commercial activity but experienced short‑term margin pressure from third‑party peripheral equipment sales.

Key reported numbers

Group revenues: EUR 208m; Group EBITA: EUR 33m. Cash flow from operations: EUR 60m; cash flow from investments: EUR -25m. Order intake highlights: Food EUR 80m, Recycling EUR 41m.

Collection (record quarter)

Collection reported record quarterly revenues with existing‑market growth ~5% (constant currency). Poland exceeded a 4,000 RVM installed base at end‑Q1 and Portugal passed >1,000 RVMs after a launch on 10 April 2026; Singapore launched 1 April. Product mix (higher RVM sales and Poland product margin) lowered gross margin this quarter. Company reiterates mid‑single‑digit growth in existing markets and a FY26 gross‑margin target >40%.

Recycling (weak demand, cost program)

Recycling revenues: EUR 37m. Adjusted EBITA: EUR -5m. Order intake: EUR 41m. The segment faces low volumes and weak order flow (notably North American waste recovery and European plastics), recorded EUR 13m restructuring costs as special items, and is executing a EUR 16m cost‑reduction program with full effect targeted for 2027.

Food (growth, margin mix effects)

Food revenues: EUR 79m; EBITA: EUR 4m; order intake: EUR 80m. Revenue growth was broad‑based across main markets (citrus growth, some potato decline). Short‑term margins were reduced by a larger‑than‑normal share of third‑party peripheral equipment in large packhouse deliveries; backlog conversion ~70% expected in Q2 and mid‑to‑high single‑digit growth is estimated for FY26.

Horizon & Group items, capex

Horizon activities (c‑trace, Områ feedstock) are scaling revenues with Områ aiming for 2/3 utilization by year‑end; Områ shows positive EBITDA in production. Group expects total capex ~EUR 100m for 2026 (primarily Collection, Recycling, Food) and Horizon capex ~EUR 10m; short‑term Horizon operating expenses estimated EUR 30–35m.

Working capital, financing and liquidity

Working capital increased due to high activity in new DRS markets and large Food projects. Liquidity: EUR 150m RCF (running to Dec 2028) and an undrawn liquidity buffer of EUR 103m. Weighted average debt maturity 4.2 years; Scope rating A‑/Stable. Financial covenant: minimum equity ratio 30% (company expects covenant to remain intact).

Near‑term outlook

Collection: continued momentum in Poland, slower pace in Portugal/Romania; UK retailer deliveries expected from 2027. Recycling: no growth expected in 2026 given current sentiment, but backlog conversion and product‑mix improvements may help in Q2. Food: positive demand with backlog conversion and mid‑to‑high single‑digit growth prospects for FY26. Management expects cost‑savings and recent investments to gradually improve profitability and ROCE.