This article first appeared on GuruFocus .
-
EBIT (excluding profit inventory evaluation):SEK2.9 billion, up from last year.
-
EBITDA:SEK5.5 billion.
-
Earnings Per Share (EPS):SEK7.81.
-
CapEx:SEK4 billion, in line with plan.
-
Free Cash Flow:Negative SEK2 billion.
-
Net Debt Increase:SEK5 billion.
-
Gearing:24%.
-
Maintenance Impact:SEK350 million, in line with last year.
-
Production Guidance for Tara:Reduced from 1.8 to 1.6 million tons.
Release Date: July 21, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
-
Boliden AB ( BLIDF ) reported a strong quarter with an EBIT of SEK2.9 billion, significantly up from the previous year.
-
The acquired mines, Zincruvan and Summoncore, are performing better than expected, contributing positively to the company's results.
-
ITIC achieved record-high total volumes mined, indicating improved operational efficiency.
-
The company has successfully restarted production at Garpenberg according to guidance, with infrastructure now operational.
-
Boliden AB ( BLIDF ) has made significant progress in its ESG initiatives, achieving one of the lowest injury frequencies recorded.
Negative Points
-
The company experienced weak cash flow this quarter, attributed to seasonal maintenance stops and timing issues.
-
The ODA ramp-up faced several issues, including IT and control system problems, leading to frequent shutdowns.
-
Garpenberg's earnings were significantly lower compared to previous quarters due to operational challenges.
-
There were ramp-up issues at Odda, with mechanical failures and automation problems causing delays.
-
The company is facing cost inflation pressures, particularly related to oil prices, impacting overall expenses.
Q & A Highlights
Q: Regarding the Rooskar tankhouse ramp-up, considering the delays with Odda, how confident are you about the timeline for Rooskar? A: Mikael Staffas, President and CEO, stated that the Odda tankhouse ramped up according to plan, and they are confident that Rooskar will start on time and quickly reach high utilization.
Q: On grades, several mines have been running below full-year grade guidance. How confident are you in the implied step-up for the second half of the year? A: Mikael Staffas confirmed that the first half was planned to be slower than the second half, and they are operating more or less according to plan regarding grades.
Q: What are the merits of expanding your zinc smelting footprint outside of Europe, and how does this fit into your capital allocation strategy? A: Mikael Staffas explained that they are in discussions with various industry players, including Nexa, due to similar technical challenges and opportunities. They believe they would be good operators of Nexa's assets, but many factors need to align for a deal.
Q: Can you provide an update on the Odda roaster issues and the expected ramp-up timeline? A: Mikael Staffas noted that while there have been stoppages, there are no fundamental design issues. The roaster works at full capacity when operational, and they are addressing automation and mechanical issues to improve running days.
Q: Regarding Garpenberg, what development rates are needed to meet 2026 and 2027 guidance? A: Mikael Staffas mentioned that current production does not require accelerated development, but to reach 200,000 tons per month by 2027, additional development is needed. They are confident in their progress but did not specify exact development rates.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
