Swedencare AB (publ) (SWDCF) Q2 2026 Earnings Call Transcript

Welcome to the presentation of Swedencare's half year report, led by our CEO, Hakan Lagerberg, and CFO, Jenny Graflind. And we are pleased to have NaturVet's CEO, Geoff Granger, joining us with the presentation during today's webinar. And as usual, we will have a Q&A after the presentation. So please raise your hand if you have any questions. Over to you, Jenny and Hakan.

Good morning, and welcome to the Q2 presentation of Swedencare. Jenny and I are in Malmö, Sweden, a bit cloudy today, and Geoff is out in California joining us later. Q2, we had a solid quarter that showed resilient growth and strong cash generation despite a volatile market. Europe and Production segments delivered standout organic growth, while North America was disappointing, but is expected to, as previously communicated, strengthen in H2 and as delayed launches, online and big box initiatives scale up. Organic growth was 7% under our goal and as we communicated, what we expected, but still better than market. Operational EBITDA, same as ordinary EBITDA, was SEK 129.4 million with a 19.3% margin and operating cash flow improved to SEK 78 million. Looking at our 3 segments, the growth profile is clearly mixed. Europe and production were really strong with organic growth of 19% and 25%, respectively, while North America was down 3% organically due mainly to delayed FDMC or big box launch deliveries and temporary effects in the U.S. veterinary channel. However, the North American segment