Studsvik earnings for the third quarter of 2026 showed growth across all three business areas, but lower reported operating profit and negative free cash flow. Results discussed on October 23 put net sales at SEK 227.4 million, up 10.7% in local currencies, while operating profit fell to SEK 7.2 million from SEK 13.2 million a year earlier.
Key Takeaways
- Quarterly operating profit was broadly unchanged after excluding a SEK 6 million benefit in the prior year.
- ScandPower delivered strong sales growth, while decommissioning services more than doubled operating profit.
- Working-capital outflows weighed on cash generation; the Norway fuel agreement is not expected to contribute materially in 2026 or 2027.
Table of Contents
- Studsvik earnings separate sales growth from reported profit
- ScandPower growth and service margins lead the businesses
- Customer advances explain much of the cash outflow
- Norway agreement adds long-term work, not immediate earnings
- Conclusion
Studsvik earnings separate sales growth from reported profit
Studsvik’s Q3 2026 business update highlighted 10.7% local-currency sales growth and milestones across its operations. For the first nine months, net sales reached SEK 700.8 million, with local-currency growth of 7.9%, above the company’s 6% financial target.
The quarterly operating margin was 3.2%. However, the year-earlier operating profit included a SEK 6 million one-off benefit. Excluding that benefit, operating profit was in line with the third quarter of 2025, making the reported decline a different picture from the underlying comparison.
| Item | Details |
|---|---|
| Decommissioning & Radiation Protection Services | Q3 sales: SEK 92.8 million; operating profit: SEK 9.2 million versus SEK 4.4 million a year earlier. |
| Fuel Materials & Waste Technology | Q3 sales: SEK 83.1 million versus SEK 79.5 million; operating profit: SEK 4.4 million. |
| ScandPower | Q3 sales: SEK 54.8 million versus SEK 38.7 million; operating profit: SEK 9.2 million versus SEK 7.8 million. |
ScandPower growth and service margins lead the businesses
ScandPower’s local-currency sales rose 42.3%, supported by software deliveries and new customer agreements. BlackStar Tech contributed nearly 20% of the division’s sales, but Chief Executive Officer Karl Thedeen cautioned against extrapolating that share: its hardware deliveries can vary substantially between quarters.
Decommissioning & Radiation Protection Services benefited from demand, project mix and efficiency improvements. Its operating margin reached 9.9%. Fuel Materials & Waste Technology generated higher sales but slightly lower operating profit, reflecting seasonality and a less favorable product mix.
ScandPower’s quarterly strength also contrasted with its nine-month results. Operating profit for that period fell to SEK 12.4 million from SEK 21.4 million, with the prior year benefiting from the one-off gain and foreign-exchange gains. Management said product-development spending would continue but did not quantify it.
Customer advances explain much of the cash outflow
Third-quarter free cash flow was negative SEK 35.3 million. Operating cash flow before working-capital changes was positive SEK 16.4 million, but working capital absorbed SEK 41.5 million as customer advances declined on prepaid projects.
The distinction matters because cash received before project delivery can support one period and then unwind as work progresses. Trade receivables were also almost SEK 19 million higher than a year earlier; management expected collections to benefit in the following months, although that remained an expectation rather than cash already received.
For the first nine months, free cash flow was negative SEK 107.3 million, including SEK 34.1 million for the KNXT acquisition. Third-quarter investments totaled SEK 10.1 million, covering site investments and minor acquisition investments.
Norway agreement adds long-term work, not immediate earnings
The agreement with Norway’s NND runs through 2055 and includes a fixed annual fee. Thedeen described it as committed revenue rather than a framework agreement, but said it would not materially affect revenue or profit in 2026 or 2027.
A pre-study during 2027 is intended to define the project in detail. Management identified a Norwegian parliamentary decision expected in December 2026 on a return guarantee as a key step enabling Swedish permit work for fuel imports.
Thedeen expects volumes to become material around 2029–2031, with a sustained high level of activity roughly from 2030 to 2045, followed by about a decade focused on intermediate storage. Those timings are management expectations, not current earnings contributions.
Conclusion
The fourth quarter will test whether Studsvik converts its stronger sales and FMWT backlog into profit and cash collections. Management expects a seasonally strong quarter for the software business but declined to forecast FMWT’s full-year result; the next identified Norway project milestone is the parliamentary decision expected in December 2026.
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