Atlas Copco AB (publ)

Headline performance (Q3 2026): strong demand + record scale - Orders received: SEK 52.3bn (record) with +25% organic growth; currency helped and acquisitions added ~+3% structural. - Revenues: SEK 47.9bn with +11% organic growth (notably strong ramp-up). - Activity & mix: management emphasized strong order intake across most divisions/BAs, including double-digit organic growth in 3 of 4 business areas; Vacuum Technique stood out as the key growth engine. - Cash flow: delivered solid operating cash flow; working capital impact was better than expected (cash flow only ~SEK -87m from working capital effects despite growth/ramp).

Profitability: sequential improvement, but margins constrained by costs, FX and restructuring - Operating profit: SEK 9.95bn (~close to SEK 10bn) and net profit for the period: SEK 7.7bn (vs SEK 6.7bn prior year). - Profitability rate: Group margins ~20.8%, but with items affecting comparability. - Key positives: sequential margin improvement and restructuring benefits coming back into margins in Vacuum/Industrial. - Key negatives/challenges: - Restructuring cost in Industrial Technique (onetime SEK 132m) affected comparability. - Supply chain cost pressure (electronics components, aluminum castings, desiccants, etc.) and inflationary environment. - FX headwinds: operating exchange differences; Korean won strengthening was singled out as a significant drag.

Business area highlights (growth leaders + margin pressure where relevant) - Vacuum Technique (VT): +82% organic orders/revenues growth; VT service revenues +28% organic; profit margin ~22.2% with continued ramp-up costs (and some FX impact). Management expects continued margin expansion but with caution due to ramp economics and pricing dynamics. - Compressor Technique (CT): +6% organic growth; margin ~23.6% (still highest in the group) but down vs last year due to supply chain cost pressure, FX, mix/geography and longer order lead times limiting quick pass-through. - Industrial Technique (IT): +12% organic growth; profit margin improved, but affected by industrial/Europe automotive-related restructuring adjustment in Germany (one-off nature). - Power Technique (PT): +13% organic growth; profitability improved to ~18.3% with benefit from volume/mix and restructuring actions; also supported by acquisitions (e.g., NTE, Klimat/Euroklimat mentioned).