Auroora Group Plc − Interim Report for January 1–March 31, 2026: Strong and profitable growth continued

Auroora Group Plc, Stock Exchange Release, May 22, 2026, at 9:00 a.m. EEST

STRONG AND PROFITABLE GROWTH CONTINUED

This release is a summary of Auroora Group Plc’s Interim Report January–March 2026. The complete report is attached to this release as a PDF file and is also available on the company website at www.auroora.com.

January–March 2026 in short

• Net sales amounted to EUR 51.3 (36.2) million, an increase of 41.7%
• LTM (last twelve months)* net sales amounted to EUR 239.8 (185.8) million, an increase of 29.1%
• Adjusted EBITA amounted to EUR 1.7 (1.1) million, corresponding to 3.2% of net sales, an increase of 53.8%
• LTM* adjusted EBITA amounted to EUR 17.4 (11.6) million, corresponding to 7.3% of LTM* net sales
• Adjusted operating profit amounted to EUR -0.2 (-0.1) million, corresponding to -0.4% of net sales, a decrease of 29.7%
• Cash flow from operating activities amounted to EUR 1.7 million (2.4)
• Order backlog amounted to EUR 162.7 million
• Earnings per share amounted to EUR -0.16 (-0.14)
• The company acquired a 70% shareholding in Rasmix Oy
• The company has applied for its shares to be listed on the Nasdaq Helsinki Main Market on March 25, 2026

Key figures

* LTM = Acquired businesses as if they had been owned for 12 months at the reporting date
** Earnings per share have been adjusted retrospectively as if the 1:19 share split carried out in connection with the share issue on March 9, 2026, had occurred on January 1, 2025
*** The number of employees is reported converted into full-time equivalents (FTE)

In this report, the reporting period refers to January 1–March 31, 2026. The corresponding figures for 2025 are shown in parentheses. All figures presented are in euros. Percentages have been calculated from amounts in thousands of euros.

BUSINESS MODEL AND LONG-TERM TARGETS (2025-2028)

Auroora is a Finnish compounder and growth company whose strategy is based on permanent ownership and a diversified business model. Growth is achieved through organic growth and continuous acquisitions, which are a key part of the company’s strategy.

Auroora’s entrepreneurially managed companies are given significant independence in operational management and local decision-making. Shareholder value is created over the long term through disciplined acquisitions that support Auroora’s strategy and diversify risks, combined with continuous development of leadership, governance, performance, and technology utilization across the companies. The companies in our segments promote environmental responsibility and socially sustainable development through their operations.

Our long-term targets for 2028 are:

• Adjusted LTM* EBITA margin at least 10%
• LTM* net sales at least EUR 400 million
• Return on capital employed at least 15%
• Interest-bearing net debt to adjusted LTM* EBITDA ratio 2.0x

Long-term target performance

* LTM = Acquired businesses as if they had been owned for 12 months at the reporting date

Auroora does not provide separate financial guidance for the financial year 2026.

CEO’s REVIEW

Net sales and profitability growth continued in line with the plan

“During January–March, our net sales increased by 41.7% from the corresponding period to EUR 51.3 million (36.2), and net sales increased in all three business segments. We are pleased with the continued strong organic growth, which amounted to 12.7%. Net sales and profitability continued to grow in line with our plans and also reflected the typical seasonality between quarters. Demand remained at a good level, and in several of our companies the market environment developed favorably. Our LTM net sales amounted to EUR 239.8 million. LTM key figures (last twelve months) reflect the long-term development of our business, and we will continue to report them regularly as part of our financial reporting going forward.

Profitability improved compared to the corresponding period in all three business segments. Adjusted EBITA amounted to EUR 1.7 million (1.1), representing growth of 53.8% from the corresponding period. LTM adjusted EBITA amounted to EUR 17.4 million (11.6), corresponding to 7.3% of LTM net sales. Profitability during the reporting period was burdened by Group costs related to the IPO project and the building of listing readiness. We see clear potential for improving profitability and capital efficiency further.

The acquisition window was closed for most of the reporting period due to the IPO project. During the reporting period, we completed one acquisition, when Rasmix Oy joined the Clean Water and Environmental Technology segment. Circular economy company Rasmix specializes in the collection and further processing of biodegradable and oil-based materials. During the reporting period, the pipeline of potential acquisition targets developed well, and we see increasing activity and attractive new opportunities in the M&A market to execute our growth strategy.

Strongly increased order backlog improves visibility

At the end of the reporting period, the order backlog amounted to EUR 162.7 million and increased by EUR 25.2 million during the reporting period. The development of the order backlog supports visibility for growth during the current year. In particular, growth was seen in the Electrification and Automation segment, where the order backlog increased by EUR 13.4 million and amounted to EUR 110.2 million at the end of the reporting period. Growth was supported by projects related to electricity grid investments, energy efficiency, data centers and industrial electrification. The order backlog in the Clean Water and Environmental Technology segment also developed positively, supported by new operating agreements and the Rasmix acquisition. The order backlog in the Industrial Products and Services segment increased during the reporting period. Due to the nature of the segment's business, the order backlog is lower than in the other segments.

Auroora’s diversified business model and broad customer base balance market fluctuations between industries. The operations of several Group companies are supported by long-term customer contracts and strong visibility through order backlogs, which improves predictability also in an uncertain market environment.

IPO completed as planned – strong balance sheet supports strategy execution

After the reporting period, the Group significantly strengthened its financial position by completing a EUR 40.3 million IPO. Trading in Auroora’s shares commenced on the Nasdaq Helsinki Main Market on April 2, 2026. The listing enables the acceleration of growth in line with our strategy, supported by a strong balance sheet, while also increasing our visibility in the M&A market, among customers and as an employer. In addition, we entered into a new financing agreement after the reporting period. Together, these arrangements will reduce the Group's financing costs and improve its cash flow and liquidity position. Cash and cash equivalents and available credit facilities provide a good financing reserve for business needs and enable strategic acquisitions. The improved financing structure and decreasing financing costs support our goal of maintaining a stable and predictable financial position also in the coming years.

Cash flow from operating activities was EUR 1.7 million (2.4) in the reporting period, which was affected by costs related to the IPO project and seasonally tied up working capital in several business operations. Interest-bearing net debt at the end of the reporting period was EUR 56.2 million (26.8), and the ratio of interest-bearing net debt to adjusted LTM EBITDA was 2.4. Taking into account the gross proceeds from the IPO, interest-bearing net debt would have been EUR 16.1 million and the net debt ratio would therefore have been 0.7.

Long-term ownership, a diversified business model and disciplined capital allocation create a strong foundation for achieving our strategic targets, also in a changing market environment.”

Antti Rauhala
CEO

GROUP PERFORMANCE

Net sales by segment

Auroora’s net sales increased by 41.7% compared to the corresponding period. Organic growth amounted to 12.7% and acquisition-driven growth to 29.0%. The Industrial Products and Services segment’s net sales increased by 62.4%, primarily due to newly acquired companies. In the Electrification and Automation segment, net sales increased by 32.9%, mainly driven by the new companies in the segment. The Clean Water and Environmental Technology segment’s net sales increased by 62.4% both organically and through the acquisition of Rasmix Oy completed in January.

Adjusted EBITA by segment

Auroora’s profitability developed positively during the reporting period compared to the corresponding period. Typically, the first quarter is the weakest quarter in terms of profitability due to seasonality affecting several Group businesses. In addition, profitability was impacted by the IPO project. In the Industrial Products and Services segment, profitability improved from the corresponding period especially due to acquisitions. In the Electrification and Automation segment, profitability in euro terms increased by 8.9 percent due to improved sales margins. In the Clean Water and Environmental Technology segment, profitability improved by 17.4 percent from the corresponding period, which was helped by the acquisition of Rasmix at the beginning of the corresponding period. The Group’s adjusted EBITA for January–March amounted to EUR 1.7 (1.1) million, corresponding to 3.2% (3.0%) of net sales. Adjusted EBITA for the last twelve months (LTM) amounted to EUR 17.4 (11.6) million.

The Group’s adjusted operating profit decreased by 29.7% year-on-year and amounted to EUR -0.2 (‑0.1) million, corresponding to -0.4% (-0.4%) of net sales. Adjusted operating profit weakened particularly due to increased depreciation, amortization, and impairment losses. Items related to the IPO project affecting comparability amounted to EUR 0.5 (0.3) million in total.

The Group’s net financial expenses during the reporting period amounted to EUR -3.0 million (-0.5). The increase compared to the corresponding period was due to higher interest expenses and the remeasurement of contingent consideration liabilities based on improved forecasts. The contingent consideration liabilities are based on the performance targets for future financial periods defined at the time of the transaction and the probability of payment of the contingent consideration liability is assessed against forecasts. The impact of the reassessment was EUR -1.7 million and had no cash flow impact.

CASH FLOW AND FINANCIAL POSITION

Cash flow from operating activities during the reporting period amounted to EUR 1.7 (2.4) million. Cash flow was negatively affected by costs related to the IPO project that are not recorded directly as IPO costs in the cash flow statement. Due to the seasonality of several businesses, net working capital was at a high level at the end of the reporting period and tied up significant capital. Cash flow released from working capital was EUR 0.5 (1.2) million. Income taxes paid were higher than in the corresponding period and totaled EUR 1.3 (0.4) million. Cash flow from investing activities was EUR -5.9 million, mainly consisting of the acquisition of Rasmix. Capital expenditures were EUR -0.9 million. Cash flow from financing activities was EUR 6.3 million, mainly consisting of the use of a credit limit to finance the acquisition of Rasmix. The Group's cash and cash equivalents at the end of the reporting period were EUR 5.1 (3.1) million.

The Group’s interest-bearing net debt at the end of the reporting period amounted to EUR 56.2 (26.8) million. Interest-bearing net debt excluding IFRS 16 lease liabilities amounted to EUR 46.8 (18.7) million, while lease liabilities amounted to EUR 9.3 (8.1) million. The Group’s equity ratio was 34.0% (47.6).

SEGMENTS

Electrification and Automation

The segment’s net sales increased by 32.9% compared to the corresponding period. Growth was positively impacted by the segment’s new companies BTB Transformers and WestimQpower. EBITA profitability improved by 8.9%, supported in particular by ARNON’s strong performance. The segment's order backlog increased by EUR 13.4 million during the quarter and was EUR 110.2 million at the end of the reporting period.

Industrial Products and Services

The segment’s net sales increased by 66.9% compared to the corresponding period, mainly supported by acquisitions. Net sales were evenly split between product and service companies, with product companies showing slightly higher profitability. Profitability improved by 212.1%, particularly supported by the segment’s new companies. Due to the nature of the businesses, the segment’s order backlog is relatively lower than other segments’ but grew by EUR 3.1 million during the reporting period and was EUR 15.6 million at the end of the reporting period.

Clean Water and Environmental Technology

The segment’s net sales increased by 62.4% compared to the corresponding period both organically and through the acquisition of Rasmix Oy completed in January. EBITA profitability improved by 17.4% compared to the corresponding period. Profitability was supported by the positive impact of acquisitions and growth in business volume, but the development was burdened above all by higher energy and fuel prices. The segment's order backlog increased by EUR 7.8 million during the quarter and was EUR 36.7 million at the end of the reporting period.

CHANGES IN GROUP STRUCTURE

During the reporting period, Auroora Group Plc completed one acquisition. In early January, the acquisition of a 70% shareholding in Rasmix Oy for the Clean Water and Environmental Technology segment was completed.

Results webcast on financial results

CEO Antti Rauhala and CFO Ville Peltonen will present the key highlights of the report to analysts, investors, and media representatives in a live webcast on May 22, 2026, at 11:00 a.m. EEST. The webcast will be held in Finnish and can be viewed live starting at 11:00 a.m. EEST at https://auroora.events.inderes.com/q1-2026.
A recording of the event and the presentation materials will be made available on the company’s website at www.auroora.com.

Financial reporting

The Half-Year Report for H1 2026 will be published on August 20, 2026.

For further information:

Antti Rauhala, CEO, Auroora Group Plc, +358 40 549 0080, antti.rauhala@auroora.com
Ville Peltonen, CFO, Auroora Group Plc, +358 40 759 9142, ville.peltonen@auroora.com

Auroora Group Plc

Auroora Group Plc is a Finnish compounder and industrial owner that builds long-term, profitable growth through acquisitions and operational development. Auroora acts as a permanent owner and develops its Group companies as part of a decentralized and entrepreneurial group structure.

Auroora operates in three segments: Electrification and Automation, Industrial Products and Services, and Clean Water and Environmental Technology. The Group executes a repeatable acquisition strategy in selected markets and allocates capital to growth that supports sustainable value creation.

The Group comprises more than 20 SMEs employing over 850 people. In 2025, Auroora’s net sales amounted to EUR 205.2 million and adjusted EBITA to EUR 13.5 million. Auroora operates in Finland, and its companies conduct international business, with subsidiaries in Finland, Sweden, and Poland.

Auroora Group Plc’s shares are listed on Nasdaq Helsinki.

www.auroora.com