Sweden's Note misses Q4 sales expectations, says no dividend for 2025

Note AB (publ)

26/01/2026 07:09

Overview

Sweden EMS provider's Q4 sales missed analyst expectations

Operating profit for Q4 rose to SEK 113 mln

Company did not declare a dividend for 2025

Outlook

Company expects defense sector challenges to impact early-2026, with gradual improvement later

NOTE's order backlog up 11% at year-end 2025, indicating positive growth outlook

Company investing in expansion and acquisitions to strengthen defense sector position

Result Drivers

DEFENSE SECTOR CHALLENGES - Sales were impacted by delays in the defense sector's ramp-up, affecting Note as an EMS partner

HIGH OPERATING MARGIN - Achieved highest operating margin to date, attributed to efficient operations and strategic investments

STRATEGIC INVESTMENTS - Acquisition of Kasdon and Torsby plant expansion aimed at future growth

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Miss
SEK 1.001 bln
SEK 1.02 bln (3 Analysts)
Q4 EPS
SEK 3.04
Q4 Net Income
SEK 86 mln
Q4 Operating Margin
11.30%
Q4 Operating Profit
SEK 113 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the semiconductors peer group is "buy."

Wall Street's median 12-month price target for Note AB (publ) is SEK185.00, about 10.9% above its January 23 closing price of SEK166.80

The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 16 three months ago

Press Release: ID:nMFN15Qps8

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(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.)