Tomra Recycling Cuts Costs to Restore Profitability Amid Market Slowdown

Tomra Systems ASA ( (GB:0KV7) ) has provided an announcement.

Tomra Systems’ recycling division is launching a cost reduction program after a year of weaker customer investments in the recycling industry. The initiative is designed to restore the unit’s profitability to an EBITA margin above 20%, in line with previously communicated financial ambitions.

The program targets annual gross savings of EUR 16 million, mainly through rightsizing the organization and optimizing its global footprint, including about 175 FTE reductions. One-off restructuring costs are estimated at roughly EUR 15 million, with the full financial effect expected in 2027, signaling a period of near-term restructuring to protect long-term margins.

Further details on the measures and their financial implications will be outlined with Tomra’s fourth-quarter results in February 2026. The move underscores management’s focus on maintaining profitability amid cyclical headwinds in recycling markets, with implications for employees as well as investors monitoring margin recovery.

The most recent analyst rating on (GB:0KV7) stock is a Buy with a NOK155.00 price target. To see the full list of analyst forecasts on Tomra Systems ASA stock, see the GB:0KV7 Stock Forecast page.

More about Tomra Systems ASA

Tomra Systems ASA is a Norway-based technology group that develops automated solutions for identification, collection, grading, and sorting of resources to enable circular economies and improve resource productivity. The company focuses on turning waste into valuable resources and operates over 113,700 installations in more than 100 markets, generating EUR 1,348 million in 2024 revenues and employing about 5,300 people.

Average Trading Volume: 346,903

Current Market Cap: NOK37.29B

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