Driven by improved gross margins and disciplined cost management, we have continued to reinforce our underlying profitability and operating cash flow in the quarter. In addition, the inauguration of Nobia Park, our new production site in Sweden, represents an important milestone in advancing our strategic agenda. 

Organic net sales for the Group declined by -3% in the quarter, with the Nordic region at +1% and UK at -7%. On a like-for-like store basis, sales in the UK declined -4%. Retail sales continue to perform well as a result of improved market sentiment and a strong increase in store visits and design appointments. On the other hand, the continued low number of housing completions impacted project volumes negatively across all regions, particularly in the UK. 

Gross margin for the Group increased to 38.6% (37.4) despite higher depreciation incurred in the new factory and volume under absorption in both regions. The gross margin was positively impacted by a favourable product and customer mix, reflecting strong growth in high-value retail segments in line with strategic ambitions. 

SG&A savings totalled approximately SEK 70m, driven by cost reduction programs and a sustained strong cost discipline across all areas. The accumulated savings from the cost out programs now exceed SEK 650m. 

Group adjusted operating profit increased to SEK 71m (19). Items affecting comparability amounted to SEK -1,953m (-56), referring to a non-cash, non-recurring impairment of the UK operations, largely related to intangible assets. Operating cash flow improved to SEK 102m (-154).  

In the Nordics, organic growth was +1% with an adjusted operating profit of SEK 99m (104) and an EBIT margin of 7.8% (8.1). Volumes in the Nordic project market declined by double digits on the back of a low number of housing completions in the quarter. However, consumer sales continue to show positive momentum, supporting improved average order values and gross margin enhancement.  

In the UK, organic growth declined by -7%, and the adjusted operating profit was SEK 2m (-49). Net sales declined due to the ongoing challenges in the project market and fewer stores. The gross margin improved to 40.8% (38.0), strengthened by growing retail sales and improvements in average order values. In addition, SG&A savings were achieved in the quarter as a result of the continued transition toward an asset-light business model. 

Following prolonged weak market conditions resulting in a slow financial recovery, Nobia announced a non-cash impairment of the UK operations of SEK 1.9bn, largely related to intangible assets. As the transformation to an asset-light model continues, Nobia is conducting further strategic reviews of the UK business.  

During the quarter, we closed the Nastola factory in Finland and successfully transferred production to the Ølgod factory in Denmark, marking another significant milestone on our consolidation roadmap. The relocation was implemented ahead of our long-term plan and Finland's kitchen range is now entirely produced in Denmark. 

In October, we inaugurated Nobia Park, which will enable efficiency gains and an improved customer offering. The ramp-up of assembled kitchen production at Nobia Park continues to progress and remains a key priority for the Group. Nobia Park has also established its role as a central hub for component supply across the Nordic network, providing more than 30% of all components during the quarter.  

Although we anticipate continued softness in project market volumes, especially in the UK, we are encouraged by strengthening consumer sentiments. We will continue to capitalise on our strong brands and capture share in the growing consumer market, while executing on our strategy by ramping up Nobia Park, improving gross margins through sales of higher-value products, and maintaining strict cost discipline. 

Kristoffer Ljungfelt 
President & CEO 

This information is information that Nobia is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons above, at 08:30 CET on 4 November 2025.