Earnings Overview#

NCC Group has released its earnings report for the first quarter of 2026, revealing an earnings per share (EPS) of -1.9 SEK. This figure fell short of the expected -1.74 SEK, marking a 9.2% miss. Additionally, the company's revenue stood at 9.65 billion SEK, which was below the forecast of 10.93 billion SEK, resulting in an 11.71% shortfall. Following this announcement, NCC's stock price dropped by 1.06% to 199.85 SEK, reflecting disappointment among investors.

Key Financial Metrics#

  • Revenue: 9.65 billion SEK, down from the forecast of 10.93 billion SEK.
  • Earnings per Share: -1.9 SEK, compared to the forecast of -1.74 SEK.
  • Order Intake: SEK 14.8 billion, a 5% increase from Q1 2025.
  • Contracting Operating Profit: SEK 177 million, unchanged year-over-year.

Performance Challenges#

The first quarter of 2026 was mixed for NCC Group. While the company saw a strong order intake and maintained its operating profit levels in contracting, it faced significant revenue declines. These declines were attributed to strategic project eliminations and adverse weather conditions that impacted performance in the industry segment. Additionally, currency fluctuations posed challenges for the company's Nordic operations.

Market Reaction and Future Outlook#

In response to the earnings miss, NCC's stock decreased by 1.06%. This decline reflects broader market pressures, as the stock is closer to its 52-week low than its high. Despite recent volatility, NCC Group has maintained a consistent dividend yield of 5.49% over the past 32 years, which may provide some reassurance for long-term investors. Looking ahead, the company remains cautiously optimistic, supported by strong order intake and a strategic shift towards higher-margin projects. Analysts expect profitability to improve this year, with net income projected to grow.