Flügger Group

Flügger will publish its Q2 2025/26 results on Friday, December 12. We maintain our forecasts, which were updated following the solid Q1 performance, where strong growth in Poland continued, and Sweden also saw a growth acceleration, while Danish revenues remained flat. For Q2, we continue to expect a balanced performance with modest group revenue growth supported by strong International momentum and favourable FX tailwinds, while Denmark executes its shift of production output from builders’ merchants back towards Flügger’s (higher margin) own brands.

Flügger delivered 3% revenue growth in Q1 2025/26 to MDKK 653, led by continued strong growth in Poland +12% y/y in local currency. Professional painter activity in the Nordics also showed signs of recovery, particularly in Sweden, from low levels. In Denmark, revenue was stable as sales growth to professional painters and retail customers offset the downscaling of private-label/low-price products. Despite stable revenue, we expect a positive margin impact from the shift in sales mix towards core customer groups. We continue to see a sustained recovery with moderate topline growth and EBIT margin expansion driving a favourable risk-reward, and reiterate our “Accumulate” recommendation and price target of DKK 370 per share.

Flügger took a solid step forward in 2024/25 in the recovery from a cyclical downturn, following the Covid-19 demand surge and resulting inflationary period. Management’s greater focus on the core professional painter segment in combination with controlled organic growth in the higher margin International market, can support continuing moderate revenue growth and sustained margin and EPS growth. We see a favourable risk/reward based on absolute and relative valuation and initiate our coverage of Flügger with an ”Accumulate” recommendation and price target of DKK 370.

Read the latest Flügger One-pager following its FY 2024/25 annual results, which includes a brief description of Flügger, valuation perspectives relative to a peer group, and several key investment risks and key investment reasons.

Read the latest Flügger One-pager following its Q3'2024/25 trading update, which includes a brief description of Flügger, valuation perspectives relative to a peer group, and several key investment risks and key investment reasons.

Dagens aktienyheder 4. Juli 2023

Dagens aktienyheder 3. Juli 2023

HCA Market Close 12.12.22 – Photocat announces its first order in the middle east with a contract in Dubai, while Flugger reports its H1 earnings.