Pierce Group reported a 6% increase in adjusted EBIT to SEK 34 million for Q2 2026, despite SEK 6 million in technology transition costs tied to its new warehouse management system. Net revenue rose 3% year-over-year to SEK 537 million, with a 2% increase in local currencies, reflecting modest growth amid ongoing operational adjustments.
The Swedish motorcycle and parts retailer’s gross profit totaled SEK 231 million, with a gross margin of 43.1%, down 60 basis points from the prior year. Adjusted EBIT margin expanded to 6.4% from 6.2%, while overhead costs remained stable at SEK 75 million, representing 14.0% of sales compared with 14.1% previously. Variable costs rose to 21.1% of net revenue, up from 20.9%.
The company’s transformation program, Pierce 2.0, has driven steady profitability improvements since its launch in Q3 2023. Adjusted EBIT excluding transition costs and trademark amortization reached SEK 41 million, translating to a 7.7% margin. Last-twelve-months revenue grew 6% to SEK 1.85 billion, while adjusted EBIT for the period rose to SEK 61 million, despite SEK 24 million in temporary transition expenses.
Pierce Group’s active customer base increased 7.7% year-over-year to 1.17 million, with average order value up 3% to SEK 1,704. Net working capital improved to SEK 140 million, or 7.6% of LTM revenue, from SEK 210 million (12.0%) previously. Cash and cash equivalents rose to SEK 319 million at quarter-end, supported by SEK 40 million in operating cash flow, up from SEK 13 million a year earlier. Inventory levels declined slightly to SEK 505 million.
The company’s white-collar workforce has been reduced by approximately 40% since Q2 2023, with sales per white-collar employee increasing by roughly 90%. Private brand revenue accounted for 35% of total sales, down from 37% previously, while absolute private brand revenue remained flat at SEK 638 million. Geographic revenue distribution remained stable, with 69% derived from Central and Southern Europe and 31% from Northern Europe.
Pierce Group’s shares fell 11.5% to SEK 9.08, trading near the lower end of its 52-week range of SEK 8 to SEK 15. The decline followed the release of its Q2 2026 results and presentation, which outlined progress toward the final stages of its technology overhaul. The company expects the warehouse system to be fully normalized by the end of Q3 2026, with the e-commerce platform rollout extending into Q1 2027 to safeguard Black Friday sales. Full completion of the Pierce 2.0 transformation is targeted for Q1 2027.
