Hagar hf: Financial results for Q3 2025/26

Core Viewpoint - Hagar hf. reported strong operational performance and increased guidance for the financial year 2025/26, driven by solid sales growth and strategic initiatives across its business segments [1][8][16]. Financial Performance - Q3 sales reached 49,068 million ISK, marking a 12.4% increase from Q3 2024/25, while sales for the first nine months totaled 149,000 million ISK, reflecting a 10.9% growth [5]. - Gross profit for Q3 was 12,335 million ISK, representing a gross margin of 25.1%, up 2.5 percentage points from the previous year [5][6]. - EBITDA for Q3 was 4,566 million ISK, or 9.3% of sales, with a nine-month EBITDA of 14,097 million ISK, or 9.5% of sales [5]. - Profit for Q3 amounted to 1,692 million ISK (3.4% of sales), with a nine-month profit of 5,413 million ISK (3.6% of sales) [5]. - Basic earnings per share in Q3 were 1.55 ISK, and 4.94 ISK for the nine months, showing an increase from the previous year [5]. Operational Highlights - Customer visits to grocery stores in Iceland increased by nearly 5%, and the number of units sold grew by just under 3% during the quarter [6]. - Fuel sales volume decreased by 10% in Q3, primarily due to lower jet fuel sales [6]. - A new retail center was opened in Runavík, Faroe Islands, expanding Hagar's property portfolio to approximately 65,000 m² [6][11]. - The company launched a new loyalty program, Takk, aimed at enhancing customer value and experience [12]. Strategic Initiatives - Hagar has established a new operating unit, Hagar Media, to leverage its infrastructure for distributing advertising and information, creating a new revenue stream [13]. - A partnership with Wolt was initiated for grocery ordering and home delivery within an hour in Reykjavík and Akureyri [7][10]. - Construction has begun on new facilities for Eldum rétt and Ferskar kjötvörur, expected to enhance production efficiency and expand product offerings [15]. Management Guidance - Management has increased the EBITDA guidance for the financial year 2025/26 to a range of 17,600 to 18,100 million ISK, reflecting confidence in continued operational performance [5][16].