<a id="bm-comp-07143e37-93ef-4776-a5bc-f4ca49393d27" name="bm-comp-07143e37-93ef-4776-a5bc-f4ca49393d27" class="BMCustomAnchor"></a><table><tr><td bm-component-id="07143e37-93ef-4776-a5bc-f4ca49393d27" style="vertical-align: top; width:100.000000%;"><ul><li>Q1 sales of SEK 44m (-11% y-o-y), -5% vs. ABGSCe</li><li>EBIT SEK -5.5m (vs. ABGSCe -3.5m)</li><li>Recycling continues to show strength (+89% y-o-y)</li></ul></td></tr></table><a id="bm-comp-3da5ee10-fe29-41bd-b66d-9ff6ba35a8a1" name="bm-comp-3da5ee10-fe29-41bd-b66d-9ff6ba35a8a1" class="BMCustomAnchor"></a><table><tr><td bm-component-id="3da5ee10-fe29-41bd-b66d-9ff6ba35a8a1" style="vertical-align: top; width:100.000000%;"><h3 class="bm-h3">Q1 results</h3><p>Sales came in at SEK 44m (-5% vs. ABGSCe 46m), -11% y-o-y. EBIT adj. came in lower at SEK -5.5m (vs. ABGSCe -3.5m). The company writes that the lower results are due to cautious customers reducing inventories, which has led to low deliveries in the quarter, particularly within Lightweight and High Temperature. Masterbatch sales of SEK 29m, were +19% vs. ABGSCe and -1% y-o-y. Recycling continues to show strength and sales were up +89% y-o-y (albeit from a low base). FCF came in at SEK -8.1m (vs. ABGSCe -8.3m)</p><h3 class="bm-h3">Estimates and outlook</h3><p>On numbers alone, '26e-'28e sales change by -1%, and EBIT adj. changes by -2m. On outlook the company writes that its ambition of doubling Recycling sales in '26 vs '25 remains unchanged. Moreover, the company highlights structural changes such as high raw material prices which is positive for Recyling. Supporting this, the recent 40-80% surge in virgin plastic raw material prices is turning recycled material from an ESG preference into an economic necessity which should be a structural tailwind for Nexam.</p><h3 class="bm-h3">Valuation</h3><p>Prior to today's open, the share had returned +2% L3M (vs. peer median -11% and OMX Stockholm Allshare +6%), traded at 1.1x-0.8x '26e-'28e EV/Sales on our pre-report estimates vs. the peer median of 1.3x-1.0x. The company will host a <a data-bm-trackable="false" href="https://www.youtube.com/live/yaWXA488tZ0?si=vDeq6KPpb0uRG4Ue" target="_blank">presentation</a> of the Q1 results at 12:00 CEST.</p></td></tr></table><a id="bm-comp-6d8768b3-3024-4c65-acdf-2f18656e44c2" name="bm-comp-6d8768b3-3024-4c65-acdf-2f18656e44c2" class="BMCustomAnchor"></a><table><tr><td bm-component-id="6d8768b3-3024-4c65-acdf-2f18656e44c2" style="vertical-align: top; width:100.000000%;"><table id="bm-img-1934d8b4-79f2-4901-adb9-d024cfc21883" class="bm-img-table xslt-img-empty xslt-img-include"><tr><td class="xslt-img-caption">Deviation table</td></tr><tr><td><img bm-img-encrypt="1934d8b4-79f2-4901-adb9-d024cfc21883" bm-img-original-height="610" bm-img-original-width="645" bm-img-svg="image:image_upload/95414_cb9226d7-607a-4c0a-9986-5e0cdc08a7c4.svg" bm-img-width-hint="88.72%" id="bm-id-1934d8b4-79f2-4901-adb9-d024cfc21883" src="https://abgsc.bluematrix.com/images/image_upload/95414_cb9226d7-607a-4c0a-9986-5e0cdc08a7c4_645.png" svg="/nas/web/clients/abgsc/images/image_upload/95414_cb9226d7-607a-4c0a-9986-5e0cdc08a7c4.svg" width="645" alt="" title="" /></td></tr><tr><td class="xslt-img-source">Source: ABG Sundal Collier Estimates, Company Data</td></tr></table></td></tr></table>