Arendals Fossekompani reported a 284% surge in second-quarter operating profit as its hydropower business drove earnings growth despite a modest revenue decline.
The Oslo-listed group posted EBIT of NOK 123 million for Q2 2026, up from NOK 32 million in the same period a year earlier, while revenue slipped 2% to NOK 884 million. Operating margin expanded to 14% from 4% year-over-year. Consolidated earnings after tax turned negative at NOK 23 million, compared with a positive NOK 42 million in Q2 2025, reflecting NOK 34 million in impairments linked to restructuring at portfolio company Veyt.
The company’s wholly owned hydropower unit, AFK Vannkraft, delivered NOK 104 million in operating profit on NOK 129 million of revenue, an 80% margin, as output more than doubled to 124.2 GWh. Power prices in the NO2 region rose 65% to EUR 96.5 per MWh.
Year-to-date operating profit reached NOK 278 million, up from NOK 106 million in the first half of 2025. Total available liquidity stood at NOK 2.6 billion, including NOK 2.1 billion in undrawn credit facilities, while net interest-bearing debt was NOK 246 million.
Among other portfolio companies, ENRX reported a 22% increase in order intake to EUR 41.9 million, with operating profit rising to EUR 3.1 million. Tekna’s order intake more than doubled to CAD 19 million, supported by a record CAD 28.5 million backlog. Volue completed the acquisition of FlexPowerHub and reduced its stake in Energy One to 36%, generating EUR 36 million in net proceeds.
Arendals Fossekompani, listed on the Oslo Stock Exchange since 1913, operates across 24 countries with 2,175 employees. Chief Executive Benjamin Golding highlighted the group’s focus on value creation through disciplined capital allocation and active ownership, citing long-term trends such as the energy transition and digitization as key drivers.
The group’s shares were down 2.05% at NOK 191 in pre-market trading, near a 52-week high of NOK 210 and well above the low of NOK 123.5.
