AFRY AB Class B (AFRY) AI Stock Analysis

• Market Cap: kr16.36B
• Dividend Yield: 4.13%
• Average Volume (3M): 228.53K
• Price to Earnings (P/E): 17.7
• Beta (1Y): 0.88
• Revenue Growth: -3.73%
• EPS Growth: -22.34%
• Country: SE
• Employees: 18,091
• Sector: Industrials
• Sector Strength: 72
• Industry: Engineering & Construction
• EPS (TTM): 1.40
• Shares Outstanding: 108,961,400
• 10 Day Avg. Volume: 124,467
• 30 Day Avg. Volume: 228,528
• PEG Ratio: 1.21
• Price to Book (P/B): 1.33
• Price to Sales (P/S): 0.64
• P/FCF Ratio: 9.35
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: kr210.71
• Price Target Upside: 44.92% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: kr168.00 ▲(15.54% Upside)

AFRY AB Class B's overall stock score reflects a stable financial position and reasonable valuation, offset by technical indicators suggesting bearish momentum and challenges highlighted in the earnings call, such as declining net sales and restructuring costs.

Positive Factors

Cash Flow and Liquidity

Strong cash flow and liquidity indicate AFRY's ability to fund operations and investments, providing resilience and flexibility in financial planning.

Order Backlog Increase

An increasing order backlog suggests sustained demand for AFRY's services, supporting future revenue stability and growth.

Strategic Framework Agreement

The agreement with Svenska Kraftnät strengthens AFRY's market position in energy consultancy, potentially leading to more projects and revenue.

Negative Factors

Decline in Net Sales

A decline in net sales, exacerbated by currency impacts, could weaken AFRY's revenue base, affecting long-term profitability and growth.

Industry Segment Challenges

Challenges in the Industry segment due to global uncertainty may hinder AFRY's ability to secure new projects, impacting future revenue streams.

Restructuring Costs

High restructuring costs could strain AFRY's financial resources, reducing profitability and potentially impacting operational efficiency.

AFRY AB Class B Business Overview & Revenue Model

Company Description

Afry AB provides engineering, design, and advisory services for the infrastructure, industry, energy, and digitalization sectors in Sweden, Finland, Norway, Switzerland, Denmark, Germany, and internationally. The company operates through five divisions: Infrastructure, Industrial & Digital Solutions, Process Industries, Energy, and Management Consulting. The company offers architecture and design services; automation and manufacturing solutions; automotive and mobility services; building solutions for airports, culture and sports facilities, high security facilities, hospitals, healthcare and research, hotels and restaurants, and housing facilities; defense technology systems; digital solutions, and information and communication technology services; and engineering and consulting services for energy and power applications. It also offers environmental and sustainability solutions; services for food, life science, and pharmaceutical industries; management consulting services; solutions for processing industries, including mining and metals, food and beverage, pulp and paper, chemical, and forest industries; product development services; project management services; transport infrastructure services; and solutions for water management. The company was formerly known as ÅF Pöyry AB (publ) and changed its name to Afry AB in June 2021. Afry AB was founded in 1895 and is headquartered in Stockholm, Sweden.

How the Company Makes Money

AFRY generates revenue through a diversified model primarily based on consulting services, engineering solutions, and project management fees. The company's key revenue streams include contracts with public and private sector clients for infrastructure projects, energy consulting, and industrial engineering services. Additionally, AFRY benefits from long-term partnerships with various stakeholders in the energy and infrastructure sectors, which facilitate ongoing projects and recurring revenue. The company's emphasis on sustainability and innovation also attracts clients seeking to meet regulatory requirements and improve operational efficiency, further bolstering its earnings.

AFRY AB Class B Financial Statement Overview

Summary

AFRY AB Class B demonstrates a stable financial position with strengths in operational efficiency and a balanced leverage profile. However, challenges in revenue growth and cash flow generation could impact future profitability and liquidity.

Income Statement

AFRY AB Class B has shown a mixed performance in its income statement. The TTM data indicates a slight decline in revenue growth at -1.91%, which is a concern. However, the company maintains a reasonable gross profit margin of 60.38% and an EBIT margin of 7.15%, indicating operational efficiency. The net profit margin is relatively low at 3.55%, suggesting room for improvement in profitability.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.58, which is manageable and indicates a balanced approach to leveraging. The return on equity (ROE) is moderate at 7.34%, showing decent returns for shareholders. The equity ratio stands at 45.73%, suggesting a solid equity base relative to total assets.

Cash Flow

Cash flow analysis reveals some challenges, with a negative free cash flow growth rate of -2.42% in the TTM, indicating potential cash flow constraints. The operating cash flow to net income ratio is 0.24, suggesting that cash generation from operations is not as strong as it could be. However, the free cash flow to net income ratio is healthy at 0.98, indicating efficient conversion of profits into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	26.20B	27.16B	26.98B	23.55B	20.10B	18.99B
Gross Profit	16.01B	21.46B	5.08B	18.66B	16.19B	15.18B
EBITDA	2.69B	2.92B	2.79B	2.26B	2.37B	2.23B
Net Income	928.00M	1.23B	1.10B	974.00M	1.13B	933.00M
Balance Sheet
Total Assets	27.05B	28.30B	28.17B	28.00B	25.91B	23.61B
Cash, Cash Equivalents and Short-Term Investments	756.00M	1.27B	1.17B	1.09B	2.11B	1.93B
Total Debt	7.03B	7.25B	7.86B	7.80B	7.65B	6.80B
Total Liabilities	14.43B	15.15B	15.72B	15.82B	14.92B	13.51B
Stockholders Equity	12.60B	13.13B	12.45B	12.18B	10.99B	10.10B
Cash Flow
Free Cash Flow	2.13B	1.86B	1.62B	891.00M	1.38B	1.90B
Operating Cash Flow	2.19B	1.99B	1.79B	1.04B	1.50B	2.08B
Investing Cash Flow	-380.00M	-383.00M	-756.00M	-873.00M	-1.21B	-345.00M
Financing Cash Flow	-1.79B	-1.47B	-942.00M	-1.01B	-12.00M	-987.00M

AFRY AB Class B Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 145.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:AFRY, the sentiment is Negative. The current price of 145.4 is below the 20-day moving average (MA) of 152.00, below the 50-day MA of 158.36, and below the 200-day MA of 162.27, indicating a bearish trend. The MACD of -2.95 indicates Positive momentum. The RSI at 36.65 is Neutral, neither overbought nor oversold. The STOCH value of 13.47 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:AFRY.

AFRY AB Class B Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NCC.B	75 Outperform	kr19.10B	13.11	20.30%	4.23%	5.68%	27.52%
PEAB.B	70 Outperform	kr24.39B	14.46	10.55%	3.33%	-4.93%	10.91%
AFRY	69 Neutral	kr16.36B	17.74	6.97%	4.13%	-3.73%	-22.34%
SKA.B	67 Neutral	kr102.88B	16.64	10.45%	3.19%	6.02%	26.26%
SWEC.B	66 Neutral	kr54.21B	25.06	18.65%	2.20%	2.79%	14.00%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
BRAV	62 Neutral	kr17.89B	15.40	―	4.29%	-4.21%	10.63%

AFRY AB Class B Corporate Events

AFRY AB Unveils ‘Unlocking AFRY’ Strategy with 2028 Financial Targets

AFRY AB, a company specializing in engineering and advisory services, has unveiled its new strategy ‘Unlocking AFRY’ aimed at driving profitable growth and operational efficiency by 2028. The strategy focuses on expanding globally, partnering with leading clients, and enhancing project delivery across the lifecycle, with financial targets set to achieve 35 billion SEK in net sales and a 10% EBITA margin by 2028.

AFRY AB Appoints Nomination Committee for 2026 AGM

AFRY AB has announced the appointment of its Nomination Committee, which includes representatives from various investment and pension funds, and is chaired by Viveka Beckeman. This committee is responsible for preparing proposals for the upcoming Annual General Meeting scheduled for April 2026, which could influence the company’s strategic direction and governance.

AFRY AB Announces Q3 2025 Report Presentation

AFRY AB has announced an invitation for investors, analysts, and media to attend a presentation of its Q3 2025 report on October 24. The event, led by CEO Linda Pålsson and CFO Bo Sandström, will be available via Teams and webcast, with the report and related materials accessible on the company’s website. This announcement reflects AFRY’s commitment to transparency and engagement with stakeholders, potentially impacting its market perception and investor relations.

AFRY Aligns Financial Reporting with New Group Structure

AFRY has published restated comparative figures to align with its new Group structure, which was implemented on July 1, 2025. The restructuring reduces its divisions from five to three global divisions: Energy, Industry, and Transportation & Places, as part of its strategic efforts to drive profitable growth and optimize its operating model. These changes are structural and do not impact the company’s total financial results for the respective periods.