Swedish industrial conglomerate Idun Industrier AB saw its shares decline 8.24% to $312 on August 18, 2026, after reporting weak organic growth in its second-quarter results. The company, which operates 22 industrial firms with combined net sales of SEK 2.5 billion, posted a 1% year-over-year increase in organic sales for Q2 2026, falling short of expectations.
Net sales rose 12.7% to SEK 668 million, driven primarily by acquisitions, while EBITA increased 7.4% to SEK 96 million. Earnings per share climbed to SEK 4.4 from SEK 4.2 a year earlier. However, organic EBITA declined 7.7%, equating to a SEK 7 million reduction, reflecting challenges in the service and maintenance segment.
The manufacturing segment, accounting for two-thirds of sales, reported a 15.3% revenue increase to SEK 435 million, with an EBITA margin of 16.8%. In contrast, the service and maintenance segment saw an 8.1% sales rise but a double-digit drop in organic EBITA, pushing its rolling 12-month EBITA margin down to 14.1% from 16.5% in 2024.
Cash flow totaled SEK 74 million, slightly above the prior-year period, with a cash conversion ratio of 58% over the past 12 months. Net debt increased by SEK 131 million to SEK 1.07 billion, primarily due to acquisitions, though pro forma leverage remained at 2.8 times EBITA, down from a projected 3.5 times target.
CEO Henrik Mella acknowledged the disappointing organic performance, stating the group’s organic sales growth of 1% and negative organic EBITA growth were "not something we were very happy with." CFO Oskar Samuelsson noted the company’s cash conversion rate of 58% while highlighting the SEK 220 million bond redemption in June, which is expected to save nearly SEK 8 million in interest over the next 12 months.
Idun Industrier maintained its long-term EBITA growth target of 15%, composed of 5% organic growth and 10% from acquisitions. Management indicated a temporary slowdown in acquisition activity in the coming quarters while reiterating its preference for maintaining net debt to EBITA below 3 times.
The company’s market capitalization stood at $410 million, with a P/E ratio of 60.57 and a beta of 0.62. Shares had traded between $285 and $388 over the past 52 weeks.
