Scanfil Q4'25 flash comment: Report unlikely to cause major estimate revisions

Translation: Original published in Finnish on 2/20/2026 at 9:10 am EET.

Source: Inderes

Scanfil released its Q4 report this morning. The year-end figures remained flat year-on-year and fell slightly short of our forecasts. The number of new projects sold remained strong. Scanfil is continuing its trend of increasing dividends with a slight increase that is roughly in line with expectations. Scanfil, of course, reiterated the guidance it had provided ahead of time at the beginning of January. Our preliminary assessment is that the report will not lead to significant revisions to our near-term forecasts for Scanfil.

We estimate volume growth in Q4, even though reported revenue remained soft

In Q4, Scanfil's revenue decreased by 0.6% to 211 MEUR from a relatively good comparison level, which was quite below our forecast. The ADCO acquisition supported growth by about one percentage point, and currencies created a headwind of just under two percentage points for the top line. As a result, organic growth in constant currency remained negative. However, the main reason for this was likely the low-margin consignment sales in the comparison period, which we did not correctly take into account in our forecast either. Therefore, we estimate that Scanfil's organic volumes grew significantly in Q4. Of the regions, the smallest segments, Northern Europe and North America, experienced growth, while the largest regions, APAC and Central Europe, saw a decline in revenues (mainly due to consignment sales) and fell short of estimates. Among the customer segments, Medtech & Life Science contracted, while Industrial and Cleantech & Energy grew significantly towards the end of the year.

No operational earnings growth at the end of the year

Scanfil’s adjusted EBITA remained flat at 15.5 MEUR. Profitability (adj. EBITA-%) settled at quite a solid 7.3%, in line with our estimate, but the earnings also slightly missed our expectations, driven by revenue. Among the regions, Central Europe achieved very strong profitability at the end of the year, clearly exceeding our forecasts. Earnings development in Northern Europe was roughly as good as expected, thanks to growth. In contrast, earnings developments in the distant markets of North America and APAC fell short of our forecasts, although the latter unit did achieve a fairly good level of profitability once again.

In Q4, in addition to the usual PPA amortizations, Scanfil recorded a positive non-recurring item of 10 MEUR for the unrealized contingent consideration of the SRX acquisition on the lower lines, as well as over 7 MEUR in total costs related to impairments, write-downs, and restructuring. Our forecasts only included minor PPA amortization in relation to one-off items.  Although financial expenses were slightly higher than expected, the tax rate was slightly lower than our estimate. As a result, Scanfil's reported EPS in Q4 clearly exceeded the comparison period and our forecast, but this increase is largely attributable to one-off gains, leaving a slightly sour taste overall. In terms of cash flow, the report was as good as expected, since working capital appears to have rolled in seasonally at the end of the year, roughly in line with our expectations.

No surprise elements in guidance this time

Scanfil reiterated its guidance for the current year, issued back in January, in which it expects revenue of 940-1060 MEUR and adjusted EBIT of 64-78 MEUR. Our forecasts (and, in our view, those of other analysts) were roughly in the middle of the range before the report. Overall, we believe that the market situation has developed roughly as positively as expected recently, even though uncertainty remains high (cf. the wide ranges in guidance). Internally, we believe that Scanfil remains fundamentally sound. According to our preliminary assessment, our forecasts for the coming years as a whole are not under significant pressure to change following the publication of this fairly neutral report.