Sweden's Granges Q1 operating profit beats estimates on improved pricing, productivity

Granges AB

23/04/2026 06:47

Overview

Sweden aluminium products maker's Q1 adjusted operating profit rose 12%, beating analyst expectations

Q1 sales volume increased 5% yr/yr, driven by market share gains in all regions

Operating cash flow turned negative due to higher aluminium prices and seasonal working capital

Outlook

Granges expects Q2 sales volume to grow at a mid-to-high single-digit rate vs last year

Company anticipates continued weak and unpredictable market demand in Q2

Granges expects negative effects from currency, cost increases and price pressure in Asia

Result Drivers

MARKET SHARE GAINS - Co said sales volume and profit growth were driven by significant market share gains in all regions

PRICING AND PRODUCTIVITY - Improved pricing and productivity, especially in the Americas, offset cost increases and negative currency effects

COST PRESSURES OFFSET - Higher input costs, including energy, freight, and aluminium, were offset by pricing and productivity actions

Company press release: ID:nMFN8B8CgG

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
SEK 2.97
Q1 Net Income
SEK 322 mln
Q1 Adjusted Operating profit
Beat
SEK 459 mln
SEK 395.16 mln (5 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the aluminum peer group is "buy"

Wall Street's median 12-month price target for Granges AB is SEK170.00, about 6.1% above its April 22 closing price of SEK160.30

The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 12 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)