This article first appeared on GuruFocus .
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Revenue Decrease:Year-over-year net decrease of SEK450 million due to divestment of Finnish elderly care and currency exchange rates.
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Adjusted EBIT:SEK108 million, same level as last year, with temporary costs impacting the quarter by SEK7 million.
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Margin Improvement:Increased from 4.3% to 4.6% due to higher occupancy and efficiency programs.
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Share Buybacks:SEK37 million in the quarter, SEK135 million over the last 12 months.
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New Contracts:Signed contracts for new units adding approximately SEK140 million in yearly revenues.
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Norway Operating Margin:Stable at 5.2% in Q1, with a small increase when accounting for currency effects.
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Organic Growth:Minus 0.5% for the quarter, plus 0.7% excluding personal assistance.
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Leverage Ratio:Below target of 3.0.
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Release Date: April 24, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Humana AB ( FRA:47H ) has seen improved occupancy rates in its adult, elderly, and child and youth care segments in Sweden.
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The company completed the acquisition of Familiehjelpgruppen in Norway, adding NOK120 million in annual revenue.
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Humana AB has been recognized for the fourth time as the most sustainable brand within the care and healthcare sector in Sweden.
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The efficiency program in Sweden is beginning to show positive effects on margins, with an increase from 4.3% to 4.6%.
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The company has signed new contracts for elderly care and LSS group homes, expected to add SEK140 million in yearly revenues.
Negative Points
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There was a year-over-year net revenue decrease of SEK450 million, primarily due to the divestment of the Finnish elderly care segment and currency exchange headwinds.
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The company is facing legal proceedings in Norway concerning overtime compensation, which could potentially impact financials.
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Organic growth for the quarter was negative at minus 0.5%, indicating challenges in expanding the customer base.
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Temporary costs impacted the quarter's EBIT, amounting to SEK7 million, affecting profitability.
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The Finnish segment experienced a decline in margins due to startup costs and depreciation harmonization, impacting overall financial performance.
Q & A Highlights
Q: On the overtime compensation dispute in Norway, could you give us any indication on how we should calculate this on a back of an envelope basis? A: We're not quite ready to calculate it yet. We just received the verdict. We're now going back and retrieving the data that then will be negotiated with the unions. But we do currently assume that it will not be material. And if the data would show otherwise, and we will know that shortly, we will communicate that. - Nathalie Nilsson, President, Chief Executive Officer
Q: On the IVO case, could you give us any sort of timeline on how you expect things to proceed, given that you plan to take it to a higher instance as well? A: This part of the trial will end on Wednesday and then traditionally take somewhere between four to six weeks to get a verdict. After that, if we win, we are fairly certain that the state will appeal. So, then it will take another year, I'm sure, at least. If we lose, then of course we will have to look at the verdict and see if we want to appeal or if we will hold at that point. - Nathalie Nilsson, President, Chief Executive Officer
Q: On the occupancy trend in I&F, do you expect the efficiency programs to add further margin improvements, or can we expect the improvements to be sort of taken home by now? A: No, we do expect further margin improvements already this year. - Nathalie Nilsson, President, Chief Executive Officer
Q: Could you give us an update on how you expect the volumes to develop in personal assistance and when we could expect a zero net outflow of patients? A: We are expecting it to come already this year, towards the end of the year. We did see a positive trend in Q1 this year compared to Q1 last year. We've been talking previously about that we've halved the outflow every time we've had a reporting, and we continue with that trend. - Nathalie Nilsson, President, Chief Executive Officer
Q: Is there any specific areas where you see the most unused capacity that is either sort of weighing or can give more potential? A: The unused capacity is primarily not within elderly care. We have very full units within elderly care. We have more potential in the child and youth segment in general in all of the countries, although in Finland now we have a very high occupancy. We can increase a couple of percentage more and then we're pretty full at that capacity. - Nathalie Nilsson, President, Chief Executive Officer
Q: When do you think you will reach the financial targets, specifically the 7% margin? A: Definitely not five years, faster than that, so two, three years, something like that. - Nathalie Nilsson, President, Chief Executive Officer
Q: Could you say something about what efforts you will do in strengthening sales and marketing capacity? A: In Finland, we introduced a new sales organization at the very beginning of the year. We centralized sales, which means that we are following up on a different level. In Sweden, we have started up a marketing effort as well where we haven't had before. - Nathalie Nilsson, President, Chief Executive Officer
Q: Is it possible to quantify the run rate savings achieved so far from the efficiency program and perhaps also versus the total program target? A: We are on good track with the efficiency program. Not all measures have come into the LTM figures yet, and we expect it to do so at the end of this year, beginning of next year. - Christoffer Herou, Chief Financial Officer
Q: Do you think the recovery in occupancy in child and youth is sustainable? A: It's always very hard to predict the market movements, but we do see an increase, which gives us a bit of comfort. We have adjusted some of the profiles of our units to fit with the new type of demand. - Nathalie Nilsson, President, Chief Executive Officer
Q: Could you say anything about the margins in Familia Yelk Groupben and Homesan? A: We usually don't go out with the margins when we make acquisitions. But all the bolt-on acquisitions that we are targeting and that we have now completed are in higher margin areas. - Nathalie Nilsson, President, Chief Executive Officer
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
