Equity research Enrad, Q1 2026: Positive EBITDA in sight, but the real story starts in H2

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Enrad is due to publish its Q1 report on 24 April 2026. The key focus is revenues, and whether EBITDA can remain positive into the print.

As shown in the table below, we forecast net sales of SEK 15.1m in Q1 2026, representing a 7.0% decline YoY versus SEK 16.2m in Q1 2025. The decline reflects a sluggish market environment. On profitability, we expect a gross margin of a touch above 50%. At the EBITDA line, we look for a positive result of SEK 0.2m MSEK, corresponding to a 1.1% margin, down from 5.3% in the corresponding quarter last year.

The Sales Manager appointed in March for Sweden, alongside an additional salesperson, is the key operational initiative for H2 2026. The Benelux expansion is another initiative, but it is still not expected to contribute meaningfully to revenues in either the past quarter or the coming one. We like the strategic direction but note that revenue volumes remain modest in absolute terms, and that the route to sustainable profitability requires the Sweden push to start showing through in order intake during the second half of the year.

On capacity, the current site supports production equivalent to around SEK 80m, and the planned move to a new factory is expected to lift the ceiling to above SEK 100m. Weland Stal AB continues to secure working capital by lending against inventories and trade receivables, which caps financial downside risk in the ongoing expansion phase.

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