Husqvarna swings to an operating loss in third quarter as European demand weakens

what happened

Net sales at Swedish garden equipment maker Husqvarna Group fell to SEK 9,012m in the third quarter of 2026, from SEK 9,204m a year earlier. Currency effects added 3%, so organic sales dropped 5%. The operating loss reached SEK 334m, compared with a SEK 141m profit a year ago, and the operating margin fell to -3.7%. The figures come from the company's interim report, distributed via PRNewswire.

The Forest & Garden division bore the brunt, with organic sales down 10% amid drought across much of Europe and weak consumer demand in Germany and France. The Gardena division grew organically by 8%. Sales of robotic lawn mowers were also hit, as channel partners in Europe carried higher inventories.

Free operating cash flow held at SEK 2,422m, and net debt declined to SEK 9.4bn from SEK 9.9bn. The company still expects SEK 3bn in gross savings from its cost programme by the end of 2028.

why it matters

For markets, the key points are weak European demand for garden equipment and a difficult quarter for robotic mowers. Strength in Gardena's watering business partly offsets the decline, while steady cash flow and lower debt support the balance sheet.

market impact

Husqvarna (HUSQ-B): the loss and weak European demand weigh on the stock and the garden equipment sector.

tags

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