Good morning, and a warm welcome to AFRY's presentation of our Q3 results. I am Linda Pålsson, President and CEO, and I will together with Bo Sandström present our numbers.

After the presentation, we will open up for Q&As. AFRY delivered stable results for the third quarter, with improvement in several of our key metrics.

The order backlog remained strong and amounted to 22.1 billion SEK. Total sales growth was 1.9%, with positive contribution from the company AMC that we acquired in the second quarter.

Organic sales declined 1.5%, marking a lower rate of decline that we have seen in recent quarters. We continue to build on the operational improvements we have achieved over the past year.

Our EBITA margin improved to 6.8%, supported by the utilization rate, which increased to 72.9%. As we said in Q2, our focus has shifted to organic growth across the organization.

This will be key to translating the improvements into a sustainable profitability uplift. Let me now walk through the performance of each global division, starting with Energy.

Here we continue to see strong demand across all segments. Long-term market trends are favorable; they're supported by electrification, grid expansion, and fossil-free energy production.

In August, AFRY Management Consulting was recognized by Forbes as one of the world's best management consulting firms, and that was for the fifth year in a row. Increasing the share of advisory services remains a key priority in our Unlocking AFRY strategy.

Our strong reputation and position in the market is an important enabler for continued growth in this area. Energy reports solid sales growth in the quarter, driven by strong demand across our segments, and was supported by a high level of material sales.

With stronger order backlog, we see good opportunities for growth in this division. Moving over to Industry.

In the industrial sector, market conditions remained mixed, with strong growth opportunities in some areas and softer demands in other. In the Life Science segment, we continue to strengthen our position.

In Germany, which is one of our growth markets, we have established a local team and hired dedicated senior leadership within the life science sector. Because Germany is one of Europe's largest life science markets, and we see strong growth opportunities driven by the need for modernization, capacity expansion, and a more sustainable and digitalized production.

By strengthening our local presence, we can better leverage AFRY's broad engineering capabilities to support clients across the full lifecycle and capture this market potential. During the quarter, total sales growth was 5.5% for the division, while organic growth was slightly negative.

The EBITA margin was higher than last year, and the AMC acquisition and the project closings contributing positively to both sales and profitability in the quarter. From that, moving on to Transportation & Places.

Here the market for transportation was stable. At the same time, opportunities within the real estate market were mainly driven by defense-related investments, healthcare, and data centers.

During the quarter, we also established Architecture as a separate segment in the division. This builds on the launch of AFRY Architects that we did in the beginning of the year, which brought our architecture and design expertise together under one brand.

It strengthens our ability to engage earlier in projects, to support clients across the full lifecycle, and to simplify collaboration across segments. If we look at the results for the quarter, the performance in the transportation business was solid.

This was, however, offset by continued weak results in the real estate business. Turning to some of our new client projects in the quarter.

All these assignments reflect long-term trends that underpinned our strategy and drive demand for our services, including electrification, the energy transition, and modernization of critical infrastructure. In Switzerland, we have been awarded a contract by Swissgrid to support the modernization of the transmission grid.

This type of project is an example of the strong investment activity we see in power network and grid resilience across Europe, areas where we have a leading expertise. A second example is NorthStarH2, where we have been selected by Uniper to lead engineering for one of Sweden's most promising power-to-X projects.

This project aligns closely with our focus on supporting the energy transition, while also strengthening Europe's domestic e-fuel production. Finally, the ongoing need to modernize and maintain critical infrastructure remains an important driver in our Transportation & Places business.

In Stockholm, we will deliver detailed design for the renovation of the Liljeholmen bridges, a vital transport link in the city. Recruitment is a key priority as we focus on driving organic growth.

Our efforts spans engineering, advisory, and project management disciplines, aligned with areas where we see strong growth opportunities. In addition to growing capacity in core markets, we are also scaling capacity in our global delivery centers to further improve access to skilled resources.

We also have dedicated programs for onboarding and capacity development. Examples include our Future Energy Program for recent graduates and our Nuclear Academy, enabling employees to develop expertise in a growing sector.

We are also harmonizing our employer brand to create a more consistent presence globally in our markets. Building on our strong employer reputation, evidenced by external rankings, this makes us well-positioned to continue to attract and retain talent.

Together, these efforts support our growth ambitions and long-term capability needs. Let me give you a brief update on our work with AI.

As shown before, this picture summarize our approach to AI at a high level. We are gradually building the capabilities, tools, and governance needed to integrate AI in both internal process and in client deliveries.

In this work, we prioritize use cases with the potential to create value across multiple segments. To bring this a bit more to life, I would like to share a practical example with you.

We have started applying AI in conceptual design. This is the early stage where engineers develop and shape solutions.

In this case, the AI-powered solution reviews contents as we create it, checking hundreds of documents and flag questions for our engineers to address early in the process. Deep sector expertise and judgment remains critical, but AI can significantly reduce the time spent on manual reviews.

This opportunity goes beyond productivity gains, because by freeing up time, it enables our engineers to explore more alternatives, to develop new ideas, and to solve client challenges that goes beyond today's project scope. This example comes from our Life Science segment.

It's a good example of a scalable AI solution developed by our own teams that has the potential to create value across AFRY. With that introduction, I would like to hand over to Bo for the financials.

Thank you, Linda, and good morning, everyone. I will, as usual, cover the financials for Q3 2026.

Quarter 3 showed net sales of 5.8 billion and EBITA including IAC of 392 million. Adjusted organic growth remains in negative territory at -1.5%, but a step less negative than seen in previous quarters.

With positive total growth in Q3, we are now on rolling 12 months at 25.3 billion on net sales. With a quarterly EBITA higher than last year, rolling 12-month EBITA margin increased marginally to 7.4%.

The order backlog continued to develop favorably and is reported at 22.1 billion, an improvement of 8% to last year, the same level of improvement as reported in Q2. As in last quarter, all divisions improved their respective backlog year-over-year, with relatively small movements sequentially.

In Q3, with a net sales of 5.8 billion, we report total growth of +1.9% and adjusted organic growth of -1.5%. Whereas the organic growth continues to be pressured by the restructuring agenda from past quarters, we see a first step of improvement in the quarter.

Total growth, that turned the trend already last quarter, has now moved into positive territory, mainly driven by the AMC acquisition. The market price pressure in some segments seen since the latter part of 2025 is still visible in Q3.

This is particularly evident for some segments within Industry and Transportation & Places. Structural effects in Q3 relate largely to the acquisition of AMC completed in Q2 2026, in combination with 2 months related to the acquisition of Caretta in Q3 2025, net of smaller non-core divestments completed in the beginning of this year.

The negative adjusted organic growth in Q3 was the least negative since Q1 2025, with positive sequential movements in global divisions Energy and Industry. Global division Energy improved the organic growth step-by-step from the low levels during the end of last year.

The organic growth in Q3 was supported by high level of material sales. Global division Industry, that since the beginning of last year has been in significant negative growth, stepped up materially in Q3, supported by continued positive trending on utilization and several positive project closings.

As the effects of the restructuring efforts will completely phase out in the beginning of next year, we aim at moving into positive territory for the division. Transportation & Places remained at a similar level as in Q2 as a consequence of capacity adjustments in the end of 2025, combined with a continued weak real estate market.

As seen throughout this year, we will face pre-restructuring comparisons also in the fourth quarter. We report a utilization of 72.9% for Q3, as in last quarter, close to a percentage point higher than last year.

Again, we see improved year-over-year utilizations for all divisions. This is the fourth consecutive quarter where we report an improvement to last year, and it is a continued important step for our strategic efforts to improve operational efficiency in AFRY.

We will continue our focus on improving this metric to be one of the main drivers of profitability improvement over time. Since the low mark of 72% of rolling 12 a year ago, we're now close to 73% and well on our way to 74% being the set ambition in the 2028 roadmap.

EBITA is reported at 392 million, with only marginal positive calendar effects and no items affecting comparability. The EBITA margin was at 6.8%, an increase of 0.4 percentage points to last year, also when considering calendar effects.

Group costs were in line with last year as we are continuing to balance driving a large change agenda with driving efficiency gains related to support functions. Continuing with EBITA margin development by global division.

Global division Energy, supported by improved utilization and a positive backlog development, continued to report a strong EBITA margin at around 10%. Industry has a strong quarter and a margin more than a percentage point better than last year.

The margin uplift is supported by the high-margin AMC acquisition, but also by positive project closings in the quarter. The margin in Transportation & Places remained pressured from restructuring effects and a soft real estate market.

The year-over-year decline remains, but clearly a smaller decline than we saw in Q1. Following a very strong operational cash flow in Q2, the third quarter showed a more modest operational cash flow.

While Q2 was 500 million better than last year, Q3 was 350 million lower than last year. Part of it related to phasing effects from last quarter, while the remainder was related to a lower level of advance payments.

Available liquidity decreased to 3.9 billion, and net debt increased to 4.8 billion. As stated last quarter, we remained on leverage at 3 times for Q3, and we continue to expect to close the year at or below our financial target of 2.5 times at end of year, as significant restructuring costs are phased out of the EBITDA component in Q4.

With that, I leave back to Linda.

Thank you so much, Bo. To summarize the quarter, we delivered stable results with improvement in key metrics.

Looking ahead, our priorities are clear. We will drive profitable growth by continuing to win new projects, build a strong order backlog, and most importantly, deliver to our clients every day.

To support delivery and organic growth, we will increase recruitment and scale capacity in our global delivery centers, while maintaining our cost discipline and strong focus on efficiency. We will also continue to advance our digital and AI initiatives.

With a strong platform for growth in place, these priorities support our ambition to deliver profitable growth to achieve our targets for 2028. With that, I would like to open up for Q&A.

Thank you, Linda and Bo. Now we will open up for questions.

If you have a question, please raise your hand in the Teams chat, and we will pass the word around. Today, we're going to start with Julia Sundvall from ABG.

Please go ahead.

Yes, hi, and good morning, Bo and Linda. A few questions from my side, and I would like to start with the group EBITA margin that was mostly driven by the Industry improvements.

You say it's because of the AMC acquisition and several project closings. Are you able to quantify is it some one-off effect with the project closing, or what's the margin on the AMC acquisition, and so on?

Just to get some more flavor on the margin.

Good morning. I'll comment on those.

The AMC acquisition is a high-margin acquisition for us. The details are actually disclosed in the report, Julia, you can look at the details.

To give you a view, it is an entity that is typically operating on between 10% and 15% EBITA margin. That typically comes on top, also providing some support for the overall margin for the group.

In relation to the positive project closings, like you imply, it is more of a one-off characteristics in the specific quarters. When we don't disclose the exact amount, but we still point at it, then we're typically talking about kind of between 10 and 20 million in effects.

That is an effect both then supporting the top line and the EBITA in the specific quarter.

Thank you. Then I have a question on the hourly rate.

You comment that you have some weak pricing development in Transportation & Places and Industry. Is it Energy that's driving the pricing improvements, or can you give somewhere flavor what you see in the market?

We have very different, in that sense, theoretical price development in the different divisions. Energy has a good price development, but then if you actually dive into it, you can find some mixed effects depending on our improvements in the Asian market with a different pricing profile.

Energy, in general, holding very stable ground on pricing, as do parts of the Industry segments and the transportation part of Transportation & Places. Just like we said in Q2, when we talk about pricing pressure, we typically talk about automotive, specifically on the industrial side, where we continue to see a quite tough market, and we talk about places on Transportation & Places side, just like we pointed at in Q2.

Yes, perfect, thank you. Then one last question from my side on the operating cash flow.

You talk about it's due to the lower advanced payments. Is this a timing effect that will reverse in Q4, or is it more of a permanent trend?

No, it's a very specific item for us. When we have typically, large projects, they sometimes have advanced payment structures.

The advance payment perspective is more related to a quite high level of advance payments in Q3 last year. That's part of the explanation part.

We shouldn't consider that to be a negative phasing effect going into next year, or next quarter, or a positive one on that sake, either.

Perfect. That was all for my side.

Thank you.

Thank you, Julia. Then we have the next question from Jesper Stugemo from Handelsbanken.

Yes, good morning, and hi, Linda and Bo. A few questions from me, if I may.

First on net recruitment here. When do you believe you can turn to a positive net recruitment?

Is it more in two to three quarters, and how do you balance growth ambitions versus margin protection going forward?

Yes, good question. No, everything that we do aim to be in the right place in the end of our strategy period, meaning in the end of 2028.

We are now gradually ramping up our ambition. It goes actually, as we said in the beginning, across advisory, engineering, and project management.

We see it actually across the divisions and several of our geographies. It is a wide competence need that we stand before until the end of 2028.

Of course, we do that to protect the margin, but the margin start actually with the projects that we sell and that we include in the order backlog. Now it's to meet those as-sold levels with the expertise and competence that we need to execute on those projects.

It's a gradual ramp-up, and we say that we will have a net growth of 2,000 to 3,000 employees by the end of 2028.

I see. Thank you for that.

Coming back to price and price pressure, do you still see that you have a positive yield between price and salary increases?

I think we discussed that quite a bit, kind of last couple of quarters, and when we closed Q2, we were not actually in the point where we had a clear positive spread on that yield. I would say that nothing has changed from a Q3 perspective on that end.

We have some segments really supporting our price development, but we also have some segments where we're experiencing clear and still are expecting clear price pressure, and are reasonably upholding the yield that you're referring to, but not particularly moving in the right direction yet on that.

I see. Thank you for that.

Could you give some more flavor, perhaps, on the utilization rate in Energy and Transportation & Places, given the slightly softer margin development there?

I think what we are experiencing is a very stable development for all divisions on utilization. From a year-over-year, as you're well aware, we don't report utilization development by division externally, but we typically comment on it.

We can, for different quarters, it can be a bit different in which division that are taking the biggest step forward for different reasons. I would not particularly link the margin development that we see in a specific division to the utilization development that we experience in Q3.

It is quite stable all across the divisions in Q3, and there are other reasons why EBITA margin is behaving as it does, rather than utilization development.

I see. Thank you for that color, and yeah, that's all for me.

Good luck in Q4 here.

Thank you, Jesper. Just a reminder that if you have a question, use the raise your hand function in the chat.

Then we have the next question from Dan Heimer from SEB.

Hi, Linda, Bo. Thanks for taking my questions.

Maybe circling back a little bit to that comment on the 2,000 to 3,000 additional employees by 2028. That's close to 15% more employees compared to what you have today, to me at least, it sounds you're quite confident on demand, your order book, and your ability to deliver on that.

You had a little bit of a step change in organic growth compared to Q2, where you took a step back. Would you say that you're more confident now on your ability to deliver organic growth compared to where you were 3 months ago?

As we said, we're working all the way towards the end of 2028, but we have so many supporting KPIs now driving in the right direction. Yes, this is why we now increase the ambition.

Then maybe on Transportation & Places, you've taken out 500 employees there compared to last year, and despite that, you're losing almost 50 bps on the margin. Organic growth also deteriorates a little bit further compared to previous quarters.

I'm being mindful that it's a small quarter and it's a lot of vacation, of course, but do you plan to implement further measures here, or do you see signs of a market that's getting better, or how do you address that weakness, which I guess is particularly in the real estate part?

As we said, the story for this division is really twofolded, where we see the stable demand from transportation that we have seen, yeah, for a long time now. We actually see that that is supported by governmental investments and so on.

Actually, the projects within that sector could be 10 to 15 years, it's a really sort of slow-moving part of our business, but stable on the transportation side. If we then look at the places side, the facility side, we do see some positive signals.

It has not yet fully materialized, but the signals we see are very much linked to what we also started talking about last quarter. They are linked to data centers, to hospitals, to defense-related buildings, and so on.

We see more and more positive signs in that direction.

Sounds good. Then maybe a final one for me, if I may, looking at your leverage.

You expect that typical deleveraging to occur here in Q4, and yeah, just how you think about the leverage situation as we leave this year. You did the acquisition of AMC.

Could you give some thoughts on your M&A pipeline and also your willingness to execute on M&A, given that acquisitions will likely be needed to reach your sales target?

I won't say much about our M&A pipeline, but just reiterating that we are in a phase where we're still quite conservative in relation to M&A, although we're nurturing situations that come across if they are from a strategic perspective important enough to do so. Then linking to the leverage development, we were quite confident following Q2 that we would deleverage in Q4 to the extent that we will be at or below our financial target at the end of year.

We practically reiterate that. We expect normal seasonality in Q4, which normally implies a strong operational cash flow in Q4, and that is then also supported by significant restructuring costs from Q4 last year leaving the EBITDA component rolling 12.

Quite comfortable that to end the year at or below our financial target of 2.5.

Yep, thanks for confirming. I think that was all from my side for now, thank you very much for that.

Thank you, Dan. That was all the questions we had today.

Thank you so much for joining us here today, and see you again in Q4.