Husqvarna Q2 EBIT misses estimates on bad Europe weather, cost pressure

Husqvarna AB

17/07/2026 06:12

Overview
Sweden outdoor equipment maker's Q2 sales and EBIT missed analyst expectations amid European weakness
Adjusted EPS for Q2 declined yr/yr
Company cites weak European demand, unfavorable weather, and inflationary pressures for lower sales

Outlook
Company expects external headwinds, including weak consumer sentiment, to persist
Husqvarna raises cost savings target to SEK 3 bln by end of 2028

Result Drivers
EUROPEAN WEAKNESS - Co said challenging market conditions and unfavorable weather in Europe weighed on demand, particularly in Gardena and Forest & Garden divisions
NORTH AMERICA GROWTH - North America delivered solid growth across most product categories, offsetting some European weakness
INFLATION AND COST PRESSURES - Lower sales volumes, continued inflationary pressure, higher raw material and logistics costs, and negative currency effects impacted earnings

Company press release: ID:nWkr2fhRjd

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Miss
SEK 14.38 bln
SEK 14.59 bln (4 Analysts)
Q2 Adjusted EPS
 
SEK 2.27
 
Q2 EPS
 
SEK 1.80
 
Q2 EBIT
Miss
SEK 1.60 bln
SEK 1.64 bln (4 Analysts)
Q2 Adjusted EBIT
 
SEK 1.95 bln
 
Q2 EBIT Margin
 
11.10%
 
Q2 Organic Growth
 
-4.00%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the appliances, tools & housewares peer group is "buy"
Wall Street's median 12-month price target for Husqvarna AB is SEK42.00, about 12.1% above its July 16 closing price of SEK37.48
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 11 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.)