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Lagercrantz lifts profitability, steps up margin targets on back of strong quarter and acquisition-led growth

Story Highlights
  • Lagercrantz delivered double-digit revenue and profit growth, with margins, cash flow and returns strengthening across the latest quarter and nine-month period.
  • Buoyed by 12 niche acquisitions and a revenue run rate above SEK 10 billion, the group raised its EBITA margin targets, signalling continued acquisition-led expansion and operational improvement.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Lagercrantz lifts profitability, steps up margin targets on back of strong quarter and acquisition-led growth

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The latest update is out from Lagercrantz Group AB Class B ( ($SE:LAGR.B) ).

Lagercrantz Group reported a strong third quarter and nine-month period for its 2025/26 financial year, with net revenue up 16% in the quarter to SEK 2.85 billion and EBITA up 20%, lifting the margin to 18.0%. Over the first nine months, revenue climbed 13% and EBITA rose 16%, while earnings per share over the last 12 months increased to SEK 5.53, return on equity reached 29% and operating cash flow improved, underscoring robust profitability, capital efficiency and a solid balance sheet.
The group’s acquisitive growth strategy continued at high pace, with 12 acquisitions since January 2025 adding annual sales of about SEK 1.44 billion, just over 15% of starting revenues, including recent deals in forestry and construction machinery parts and pharmaceutical tablet compression tools that broaden its exposure to attractive niches. On the back of sustained earnings momentum and a net revenue run rate now above SEK 10 billion, management has raised its financial ambitions, targeting an EBITA margin of 20% within 2–3 years and consistently higher profit relative to working capital, reinforcing Lagercrantz’s positioning as a consolidator in specialised technology segments and signalling continued deal-making and operational improvements despite a still-weak construction market and geopolitical uncertainty.

The most recent analyst rating on ($SE:LAGR.B) stock is a Hold with a SEK213.00 price target. To see the full list of analyst forecasts on Lagercrantz Group AB Class B stock, see the SE:LAGR.B Stock Forecast page.

More about Lagercrantz Group AB Class B

Lagercrantz Group AB is a Sweden-based technology group that acquires, develops and operates niche B2B technology companies, with a focus on electrification, infrastructure, security and safety solutions, and other specialised industrial segments, primarily in northern Europe. The group pursues a decentralised, “buy and build” model, targeting highly profitable, niche technology businesses that can deliver strong value creation and resilient earnings across economic cycles.

Average Trading Volume: 395,567

Technical Sentiment Signal: Hold

Current Market Cap: SEK41.49B

See more insights into LAGR.B stock on TipRanks’ Stock Analysis page.

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