Elekta AB We have a top line problem

Research evidence excerpt

Elekta AB We have a top line problem

J P M O R G A N Europe Equity Research

29 May 2026

Elekta AB Underweight

EKTAb.ST, EKTAB SS

We have a top line problem Price (28 May 26):Skr53.40

Price Target (Jun-27):Skr52.00

Q4 revenues declined 1% CER (8% reported), to leave annual revenue growth of European Medical Technologies &

+1%. Order growth in Q4 was worse, -15% CER, -22% reported, in a quarter where Services

there should have been pent up demand in the US following January’s EVO David Adlington AC

approval. A lower base and lower orders means we expect revenue expectations to (44-20) 7134-5828

come down. The new CEO is offsetting this with aggressive cost savings that are david.adlington@jpmorgan.com

now expected to exceed SEK500m (more colour at the CMD), but as we set out Anchal Verma

here, cost savings aren’t a path to sustained growth. Bulls will point to more colour (44-20) 3493-6144

on the cost savings at the CMD. Bears will point to ongoing top line challenges that anchal.verma@jpmorgan.com

are likely to take some time to turn around and the potential competitive threat from Philip S Omnou

(44-20) 3493-5648

the new Varian launch in September. We remain Underweight. philip.omnou@jpmorgan.com

• Sales and orders under pressure. Q4 sales growth of -1% was 5% below J.P. Morgan Securities plc

expectations. Management pointed to some missed installations in the Middle Specialist Sales contact details:

East, without which sales would have been +1-2%. Order growth was Marjan Daeipour - Specialist Sales -

substantially worse, down 15% CER and 21% reported. Management pointed European Healthcare

to some impact of more stringent order-recognition requirements as well as (44 20) 7134-1329

some softness in some markets (notably Japan which is expected to improve).