This article first appeared on GuruFocus .
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Sales:EUR3.743 billion, 1.7% like-for-like growth versus 2025, flat in reported terms.
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Operating Result from Activity (ORfA):EUR172 million, 44% growth compared to 2025.
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Free Cash Flow:Positive EUR53 million, compared to a negative EUR213 million last year.
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Professional Activity Sales:EUR476 million, down 2.8% like-for-like.
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Consumer Business Sales:EUR3,268 million, up 2.3% like-for-like.
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Operating Margin:4.6%, up 140 basis points.
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Net Debt:EUR2.516 billion, down EUR152 million compared to last year.
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Profit Attributable to Shareholders:Minus EUR124 million; excluding Rebound Plan effect: +EUR41 million.
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Working Capital Requirement:EUR1,466 million, reduced from EUR1,540 million last year.
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Dividend Payments:EUR160 million to SEB shareholders, EUR43 million to Supor minority shareholders.
Release Date: July 22, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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SEB SA ( SEBYF ) reported a recovery in operating results for the first half of 2026, driven by internal improvements and the Rebound plan.
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The company confirmed its full-year outlook for 2026, expecting growth and a return to more normative free cash flow generation.
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SEB SA ( SEBYF ) achieved a 44% growth in operating result from activity, reaching EUR172 million.
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The Rebound plan is on track, with initial financial benefits already visible, and aims for EUR200 million in recurring annual savings by the end of 2027.
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The company received further recognition for its ESG commitments, achieving a platinum EcoVadis rating and improved CDP ratings on water and carbon emissions.
Negative Points
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The economic and geopolitical environment remains challenging, with mixed consumption prospects and increasing inflationary pressures.
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Currency effects negatively impacted sales, with significant depreciation of the CNY and US dollar affecting results.
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Professional sales declined by 2.8% on a like-for-like basis, with a persistent wait-and-see attitude from food service clients in the US and Middle East.
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The company faced a higher tax rate due to a non-favorable country mix, increasing from 25% to 30%.
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Retailers in Europe showed increased caution, leading to lower inventory policies and impacting SEB SA ( SEBYF )'s sell-in performance.
Q & A Highlights
Q: Could you provide visibility into Q3 growth, bridging the growth seen in Q1 and Q2 between innovation, volume growth, and easy comps? A: As indicated, the environment remains volatile and complex. The focus is on profit recovery and cash flow generation. Volume growth is driven by innovation and success in categories like Coffee Crush and washers. Cookware remains dynamic, and loyalty programs have contributed to volume growth.
Q: Could you update on cost savings and restructuring costs, and how much will be reinvested? A: There is a positive contribution from purchasing in H1. The Iran crisis will impact H2, particularly in raw materials and transport costs. The total negative impact in H2 is around EUR30 million. However, there will be further positive impacts from the Rebound plan and tariff reimbursements.
Q: Can you provide insights into consumer behavior and spending patterns in Q3 compared to Q2? Also, any thoughts on full-year guidance and Professional pipeline? A: Markets are resilient with positive consumer behavior. Innovations are gaining momentum, and there are potential upsides in North and Latin America. Full-year guidance remains unchanged, and there are promising leads in the Professional segment, though conversion into sales is slower than expected.
Q: Regarding the EUR40 million to EUR60 million savings in ORfA for 2026, is the EUR200 million total savings target still on track? A: The EUR40 million to EUR60 million savings are on a full-year basis, with EUR20 million already contributed in H1. The target of EUR200 million in savings is expected to be achieved by 2027-2028, with most actions locked by the end of 2027.
Q: What is the impact of SKU reduction on sales, and how are retailers' policies affecting inventory? A: SKU reduction is progressing well, with no expected impact on sales but positive effects on inventory and business simplification. Retailers are cautious, with sell-in being lower than sell-out, particularly in Europe.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
