Telefonaktiebolaget LM Ericsson Class B (ERIC)
NASDAQ:ERIC
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Earnings Data
Report Date
Jul 10, 2026Before Open (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.14Last Year’s EPS
0.14Same Quarter Last Year
Based on 3 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call presents a constructive operational picture: healthy organic growth (6%), robust gross margins (group 48.1%, Networks 50.4%), improving software margins, strong cash generation (net cash SEK 68.1bn) and a sizable SEK 15bn buyback. These positives are tempered by material FX headwinds (reported sales down 10% and SEK 7.8bn FX impact), an unacceptable Enterprise loss (adjusted EBITA -SEK 1.4bn) and looming input cost pressure from semiconductors/memory that may hit in H2. Management emphasized supply‑chain resilience, margin levers (pricing, product substitution, service efficiencies) and ongoing cost programs, but some cost savings will show with a delay. Overall, operational momentum and financial flexibility outweigh the near‑term headwinds, though risks remain from currency, component inflation and elevated restructuring costs.Company Guidance
Strong Organic Revenue Growth
Net sales totaled SEK 49.3 billion with organic sales growth of 6% year‑on‑year, and all segments contributed to organic growth.
Operationally Robust Gross Margins
Group adjusted gross margin was 48.1%; Networks adjusted gross margin was 50.4%; Cloud Software & Services adjusted gross margin improved to 43.2% (up >300 basis points YoY).
Healthy Adjusted EBITA and Segment Profitability
Adjusted EBITA for the group was SEK 5.6 billion (margin 11.3%). Networks adjusted EBITA was SEK 6.4 billion with a 13.3% margin; Cloud Software & Services adjusted EBITA increased to SEK 0.6 billion (5.3% margin).
Solid Cash Generation and Strong Net Cash Position
Cash flow before M&A was SEK 5.9 billion in Q1; net cash position increased to SEK 68.1 billion (up SEK 6.9 billion sequentially). Rolling 4‑quarter cash-to-net-sales was 13%, above the 9%–12% target.
Capital Return Program Approved
AGM approved an increased dividend and a share buyback program of up to SEK 15 billion, with repurchases set to start shortly.
Broad-based Geographic Strength (India, Japan, Latin America)
Three market areas delivered double-digit organic growth; Networks saw strong organic growth in India and Japan, and Latin America showed strong growth within the Americas region.
Cloud Software & Services Margin Momentum
Rolling 4‑quarter metrics for Cloud Software & Services show gross margin around 44% and adjusted EBITA margin around 12% — described as new high levels and evidence of improving delivery efficiency and favorable mix.
Supply Chain Resilience and Delivery Capability
Management highlighted diversified supply chain and flexible production/distribution (including mitigation during Middle East disruption), enabling delivery continuity despite geopolitical and tariff headwinds.
ERIC Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
ERIC Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 17, 2026 | $12.16 | $11.37 | -6.50% |
Jan 23, 2026 | $9.49 | $10.33 | +8.86% |
Oct 14, 2025 | $8.09 | $9.75 | +20.57% |
Jul 15, 2025 | $7.67 | $7.06 | -7.90% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Telefonaktiebolaget LM Ericsson Class B (ERIC) report earnings?
Telefonaktiebolaget LM Ericsson Class B (ERIC) is schdueled to report earning on Jul 10, 2026, Before Open (Confirmed).
What is Telefonaktiebolaget LM Ericsson Class B (ERIC) earnings time?
Telefonaktiebolaget LM Ericsson Class B (ERIC) earnings time is at Jul 10, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is ERIC EPS forecast?
ERIC EPS forecast for the fiscal quarter 2026 (Q2) is 0.14.
