#Sweden #Stockholm #Q3 2025 #Hexagon #financial report

Hexagon Q3 2025 Interim Report Summary

On October 24, 2025, Hexagon AB released its third quarter interim report, revealing a 4% organic growth in revenue under fixed exchange rates, demonstrating robust performance amid fluctuating market conditions. The company reported net sales at 1,303.8 million EUR, a slight increase from the previous year's 1,299.8 million EUR.

This quarter highlighted several key financial metrics. The adjusted gross margin stood at 66.9%, an almost negligible dip from 67.1% last year. However, adjusted operating earnings (EBIT) saw a 7% decline, resulting in 349.3 million EUR, down from 376.6 million EUR in the prior year. Consequently, the adjusted operating margin also fell, reaching 26.8% compared to 29.0% previously.

Earnings per share (EPS) have varied, with non-adjusted EPS averaging at 9.6 Euro cents, down from 10.1 Euro cents. Moreover, including adjustments, EPS showed a stark decline, standing at -1.3 Euro cents, a drop from 8.8 Euro cents.

Despite these challenges, Hexagon experienced an increase in operating cash flow before non-recurring items, which surged to 177.8 million EUR, up from 165.9 million EUR. This reflects a strong cash conversion rate of 77%, improved from 70% in the previous year. Recurring revenue also displayed resilience, growing 6% organically, with reported figures of 564.2 million EUR, just slightly lower than last year's 564.9 million EUR.

The company attributed its stable sales and organic growth to strategic initiatives focusing on innovation and enhanced operational efficiency. Hexagon continues to adapt to various market dynamics, positioning itself as a leader in its industry. The sustained investment in core operations and a commitment to customer satisfaction seem to underline its current resilience and forward strategy.

Analysts and stakeholders are encouraged by Hexagon's ongoing performance, especially in light of the next steps aimed at addressing the decline in adjusted EBIT and further operational enhancements. The emphasis on increased cash flow and recurring revenue growth reflects a sound approach to sustainability and financial health.

For detailed inquiries or further information about Hexagon's performance, stakeholders can reach out to:

• - Tom Hull, Head of Investor Relations, at +44 (0) 7442 678 437
• - Anton Heikenström, Investor Relations Manager, at +46 (0) 73 82 66 390.

Hexagon remains steadfast in its mission to innovate and deliver superior technological solutions while navigating the complexities of the current economic landscape, aiming for improved performance in the upcoming quarters.