Hexagon (HEXAb.ST): Strong quarter should exceed expectation bar comfortably

Research evidence excerpt

Hexagon (HEXAb.ST): Strong quarter should exceed expectation bar comfortably

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29 Jul 2026 03:29:50 ET │ 10 pages

Hexagon (HEXAb.ST)

Strong quarter should exceed expectation bar comfortably

CITI'S TAKE

Neutral Hexagon reported strong operating performance in 2Q26 with double digit

organic revenue growth coming in ~5ppt ahead of expectation. Growth Price (28 Jul 26 17:30) SKr85.54

was driven by robust demand in segments like aerospace & defence and Target price SKr82.00

general manufacturing & electronics - where looking ahead, management Expected share price return -4.1%

sees momentum sustaining. With investor sentiment more balanced into Expected dividend yield 1.2%

the print, we expect the stock to trade ahead into the conference call at Expected total return -3.0%

9am UK – key topics in sustainability of quarter's growth drivers, demand

Market Cap SKr221,996M visibility amidst uncertain macro, and evolution for robotics investments

US$22,827M and commercialization strategy, .

C2Q26 results — Revenues of €1050m with organic revenue growth of 11.5%

(Consensus / Citi ~6.2%). Adjusted EBIT of €272m with adj. EBIT margin of 25.9% Balajee Tirupati, CFAAC

(Consensus 25.5% / Citi 26.2%), and adj. EPS of €0.078 (Citi 0.071). FCF conversion +44-20-7500-6682

in in Q2 was 149% vs Citi 104% – benefitting from better working capital (increase in balajee.tirupati@citi.com

current liabilities).

Pavan Daswani, CFA

Trends by division & region — Manufacturing Intelligence +13% driven pavan.daswani@citi.com

by aerospace & defence, general manufacturing and electronics, while automotive

remained weak. Bookings growth was in-line with sales. Infra & Geo 4% coming out

of de-stocking in recent quarters in challenged Asian market, while western Europe

remained weak.