Q2
2025
Solar A/S
CVR no. 15 90 84 16
Driven by
our purpose
We improve construction, building operation
and industry processes with a commitment to
sustainability and productivity. For our customers.
With our partners. For a better world.
Driving the
green transition
As a driver of the green transition we are supporting
our customers in achieving their CO
2
emission
reduction targets through our Climate & Energy
products, which generate revenue exceeding DKK
1bn. Our CO
2
reduction targets are approved by the
SBTi, and we operate and report in accordance with
the CSRD.
Empowering
greater productivity
We provide products, technical know-how, and
qualified services to more than 49,000 customers,
supported by valuable market knowledge and
the expertise of approximately 2,900 committed
employees, driving greater productivity.
Enhancing service
through digitalisation
With 65% of order lines made digitally, our digital
engagement has become a key driver of customer
satisfaction, raising our service offering to the next
level and supporting our best in class digital customer
journey.
This is Solar
We are a leading sourcing and
services company. We
combine excellent product
sourcing, superior distribution,
and value-adding services to
support professionals and
businesses in the electrical,
heating & plumbing, and
industrial sectors across five
key European markets.
Products
Markets
75% 16% 9%
% of 2024 revenue
Segments
Installation Industry Trade
55% 35% 10%
% of 2024 revenue
% of 2024 revenue
Electrical Heating &
Plumbing
Climate &
Energy
Denmark
The Netherlands
Sweden
Norway
Poland
Other
33%
23%
17%
15%
3%
9%
Solar A/S Q2 2025
2
Management’s
review
Who we are
Contents
Financial highlights 4
Strategy and business 5
Financial performance 7
Segment performance 9
Guidance 2025 11
Shareholder information 12
Statement of comprehensive income 14
Balance sheet 15
Cash flow statement 16
Statement of changes in equity 17
Notes 19
Section 1 – Basis for preparation 19
Section 2 – Income statement 21
Quarterly information 25
Statements 29
Management review Consolidated financial statements Q2
Solar A/S Q2 2025
3
Management’s
review
Financial highlights
Q2 H1 Year
DKK million 2025 2024 2025 2024 2024
Revenue 3,018 3,100 6,241 6,130 12,223
Earnings before interest, tax, depreciation and amortisation (EBITDA) 112 137 186 225 646
Earnings before interest, tax and amortisation (EBITA) 45 77 55 103 400
Earnings before interest and tax (EBIT) 24 56 13 66 278
Earnings before tax (EBT) 3 34 -30 28 192
Net profit for the period -1 25 -29 19 148
Balance sheet total 6,005 6,219 6,005 6,219 6,108
Total equity 1,754 1,770 1,754 1,770 1,874
Interest-bearing liabilities, net 1,670 1,334 1,670 1,334 1,232
Cash flow from operating activities 4 202 -84 209 538
Net investments in property, plant and equipment -87 -19 -137 -42 -101
Employees
Number of employees (FTEs), end of period 2,913 2,889 2,913 2,889 2,895
Average number of employees (FTE's) 2,902 2,954 2,902 2,954 2,899
Financial ratios (%, unless otherwise stated)
Organic growth adjusted for number of working days -1.2 -7.8 2.6 -11.2 -6.4
Gross profit margin 20.3 20.4 20.3 20.5 20.6
EBITDA margin 3.7 4.4 3.0 3.7 5.3
EBITA margin 1.5 2.5 0.9 1.7 3.3
Net working capital (end of period NWC)/revenue (LTM) 15.1 14.0 15.1 14.0 13.9
Gearing (net interest-bearing liabilities/EBITDA), no. of times 2.8 2.2 2.8 2.2 1.9
Return on equity (ROE) 5.9 8.6 5.9 8.6 8.0
Equity ratio 28.5 27.7 28.5 27.7 29.9
Share ratios (DKK)
Earnings per share outstanding (EPS) -0.14 3.70 -3.83 3.01 20.68
In all material aspects financial ratios are calculated in accordance with the Danish Finance Society’s “Recommendations & Financial Ratios”.
H1 Financial messages
• Strong revenue growth for Solar Polaris in the Trade
segment.
• Disappointing revenue development in other
segments.
• Adjusted for Solar Polaris' deliveries, the underlying
gross profit margin increased to 20.7% from 20.5%.
• Restructuring and transition costs amounted to
DKK 57m.
• Revenue and EBITDA were below our initial
expectations.
Solar A/S Q2 2025
4
Management’s
review
Financial highlights
Strategy execution
●
Rolled out Solar Industrial Solutions across all our
markets to drive sales of industrial heat pumps.
●
SIS established vertically in all countries, with local
anchoring and a central setup.
●
Introduced a new metric, as an alternative to Return
on Investment, which measures the investment
required per ton of CO
2
e displaced, highlighting the
cost for our customers of removing one ton of CO
2
e.
Our target is to maximise the growth potential of
Climate & Energy solutions.
●
Launched a new Solar Light website that provides CO
2
data for each product. This will be expanded to cover
all product categories.
●
Increased conversion rates on our digital platforms by
introducing more digital tools.
●
Established additional strategic partnerships with our
suppliers.
Our objective is to increase overall profitability by
increasing concept share.
●
Continued rise of the proficiency level across markets
with Solar Danmark as the guiding star.
●
With the right expertise now hired, we have
successfully moved closer to the decision-makers and
will continue this effort.
●
Introduced a new add-on service: we take care of the
technical installation, then our customers are only to
connect the installation to the grid.
Our aim is to grow our business by leveraging Solution
Sales.
Share of revenue
Gross profit margin
improvementShare of revenue
Target 2026Target 2026Target 2026Current Current Current
19%10%
*
0.0
>
20%
>
0.5
>
10%
Percentage
points
Percentage
points
*Significantly impacted by Solar Polaris'
deliveries to a major solar park project.
Strategy and business
Climate & Energy Solution SalesConcept Strength
We have launched several initiatives to support our strategic
ambitions. These mark the midpoint of our strategy and
underline our commitment to progress and innovation.
5
Management’s
review
Solar A/S Q2 2025
Sustainability execution
●
We are following our climate change transition plan to
reduce our CO
2
e emissions in our own operation.
●
The main levers are shifting to renewable electricity,
replacing gas boilers with heat pumps and shifting to
an EV fleet.
●
We offer CO
2
e reports to our customers based on
purchase and on transportation from Solar to the
locations requested by our customers.
We work to become carbon neutral in our own operation
and support our customers' decarbonisation journey.
*Calculated according to the Danish
Financial Act previous §99b.
●
We have reached our 2026 target, and we continue to
pre-assess new suppliers based on location and
industry prior to onboarding them.
●
We perform risk assessment of our existing suppliers
on risk level.
●
We have performed on-site audit on selected high-risk
suppliers based on a fixed set of criterias.
We source products complying to the latest standard
from suppliers respecting human and labour rights.
We foster a workplace and culture promoting diversity
and inclusion.
●
We have superseded our 2026 target of 25% women
in senior management.
●
We continue to strengthen fairness in recruitment and
actively work to increase representation of women at
the entry level.
●
With the introduction of the Gender Balance Act, we
will adjust our targets accordingly.
Share of women in
senior management
Share of suppliers undergoing
risk assessment
Reduction in % CO
2
e
since baseline 2020
Target 2026Target 2026Target 2026
(Net-zero by 2030)
Current Current Current
54% 82% 28%
*
65% 82% 25%
Strategy and business
Climate impact Diversity and inclusionSustainable supply chain
We have launched several initiatives to support our three
strategic sustainability ambitions towards 2026.
6
Management’s
review
Solar A/S Q2 2025
H1 EBITDA of DKK 186m impacted by
restructuring and transition costs of DKK 57m
Q2 2025
Revenue
Revenue decreased to DKK 3.0bn (DKK 3.1bn). Adjusted
organic growth amounted to -1.2% (-7.8%). When adjusted
for Solar Polaris’ deliveries to a major solar park project,
organic growth amounted to -3.6%. Revenue in Q2 was
lower than initial anticipated.
In Q1 2025, we saw positive adjusted organic growth in all
main markets and across all main segments. However, in
Q2, an unexpected slowdown resulted in negative growth,
particularly for Industry and, to a lesser extent, for
Installation.
Adjusted organic growth amounted to -2.1% (-11%) for
Installation, -5.7% (-2%) for Industry and 24% (-14%) for
Trade.
Revenue from Climate & Energy, a strategic focus area, also
showed positive adjusted organic growth, which amounted
to 31% (-39%). However, when adjusted for Solar Polaris’
deliveries to a major solar park project, organic growth
amounted to 1.7%.
Gross profit
We saw a loss in gross profit margin across all main
product categories in 2024. Our 2025 guidance reflects our
expectation that this downward trend would taper off in
2025.
As expected, gross profit margin at group level declined to
20.3% (20.4%) in Q2 2025. However, Solar Polaris'
In H1, adjusted organic
growth amounted to 2.6% and
revenue increased to DKK
6.2bn, while Q2 revenue was
below our initial expectations.
Solar Polaris continued to see
strong growth in the trade
segment, but development in
other segments proved
disappointing.
deliveries to a major solar project park diluted the overall
gross profit margin by approx. 0.4 percentage points, which
means that the underlying gross profit margin in Q2
increased.
External operating costs and staff costs
As a result of revenue performance, we initiated additional
measures to optimise our operating model, including cost
containment, process improvements and staff reductions.
Costs in Q2 2025, therefore, include additional restructuring
costs of approx. DKK 5m (DKK 2m), which are expected to
be cost neutral in 2025 but with full-year savings of approx.
DKK 10m.
When adjusted for restructuring costs, external operating
costs and staff costs amounted to 16.4% (15.7%) of
revenue.
EBITDA
EBITDA of DKK 112m (DKK 137m) was below our initial
expectations.
When adjusted for restructuring costs, the underlying
EBITDA margin amounted to 3.9% (4.5%). The results from
the individual markets are given on page 24.
Earnings before tax
Earnings before tax amounted to DKK 3m (DKK 34m),
mainly as revenue was below our expectations.
Net profit
Net profit amounted to DKK -1m (DKK 25m).
EBITDA
DKKm
Gross profit margin
%
Adjusted organic growth
%
Q4
219
Q1
74
88
Q2
112
137
Q3
202
20242025
20242025
Q1
20.4
20.7
Q2
20.3
20.4
Q3
20.7
Q4
20.8
20242025
Q1
6.5
-15.4
Q2
-1.2 -7.8
Q3
-5.3
Q4
3.0
(Data shown in brackets relate to the corresponding period in 2024)
7
Management’s
review
Solar A/S Q2 2025
Financial performance
H1 2025
Revenue
Adjusted organic growth at group level amounted to
2.6% (-11.2%), while revenue increased to DKK 6.2bn
(DKK 6.1bn). Solar Polaris exceeded expectations,
positively impacting organic growth at group level by 2.3
percentage points. However, the rest of the business fell
short of our initial expectations by delivering growth of
0.3%.
Gross profit
Throughout 2024, we saw a loss in gross profit margin
across all main product categories. Our 2025 guidance
reflects our expectation that this downward trend would
taper off in 2025.
As expected, gross profit margin at group level declined
to 20.3% (20.5%) in H1 2025. However, Solar Polaris'
deliveries to a major solar project park diluted the gross
profit margin by approx. 0.4 percentage points, meaning
that when adjusted for Solar Polaris impact, the underlying
gross profit margin improved in H1.
External operating costs and staff costs
The construction of our new logistics centre in Kumla,
Sweden, is ahead of schedule. This has facilitated the
completion of the relocation of the warehouses in Örebro
and Halmstad more efficiently. We moved our inventory
from Halmstad to Örebro, thus vacating the Halmstad
warehouse earlier than expected. In Q1 2025, this led to
approx. DKK 12m in transition costs, which were initially
expected in 2026. Fast-tracking the move to Kumla reduces
risk and frees up cash by reducing net working capital by
approx. DKK 40m.
In H1, we also embarked on a range of measures to
optimise our operating model, including cost containment,
process improvements and staff reductions. Consequently,
costs in H1 2025 include restructuring costs of approx.
DKK 45m (DKK 27m), which are expected to generate
equivalent savings in 2025 and full-year savings of approx.
DKK 70m.
When adjusted for restructuring and transition costs,
external operating costs and staff costs amounted
to 16.4% (16.2%) of revenue.
Loss on trade receivables
By conducting efficient credit management, including
in unpredictable market conditions, our loss on trade
receivables decreased to DKK 6m (DKK 11m).
EBITDA
EBITDA of DKK 186m (DKK 225m) was below our initial
expectations. When adjusted for restructuring and
transition costs, the underlying EBITDA margin amounted
to 3.9% (4.1%). The results of the individual markets are
shown on page 24.
Earnings before tax
A less favourable segment mix resulted in reduced gross
profit margin, which combined with restructuring and
transition costs, resulted in earnings before tax of
DKK -30m (DKK 28m).
Net profit
Net profit amounted to DKK -29m (DKK 19m).
Cash flow
Net working capital as an average of the previous four
quarters decreased to 15.1% (15.8%) of revenue. Net
working capital at the end of H1 2025 amounted to
15.1% (14.0%).
Cash flow from operating activities totalled DKK -84m
(DKK 209m). Nevertheless, we succeeded in reducing
inventories through inventory optimisation, which
generated a cash flow impact of DKK 136m (DKK 107m).
Changes in receivables impacted cash flow by DKK -151m
(DKK -279m) mainly due to normal seasonal factors.
Changes in non-interest-bearing liabilities impacted cash
flow by DKK -204m (DKK 278m) partly due to inventory
reduction.
Total cash flow from investing activities amounted to
DKK -196m (DKK -127m). Purchase of property, plant and
equipment amounted to DKK -213m (DKK -42m), of which
DKK -195m relates to the construction of our new logistics
centre in Kumla, Sweden. Disposal of property, plant and
equipment amounted to DKK 76m, which primarily relates
to the release of the proceeds from the sale of our
warehouse in Duiven in Q4 2024.
Cash flow from financing activities amounted to DKK 25m
(DKK -142m). This was primarily affected by changes in
current interest-bearing liabilities and by dividend
distribution of DKK 110m (DKK 219m).
As a result, total cash flow amounted to DKK -255m
(DKK -60m). Net interest-bearing liabilities amounted
to DKK 1,670m (DKK 1,334m).
By the end of H1 2025, gearing was 2.8 (2.2) times EBITDA.
Our gearing target was 1.0-3.0 times EBITDA. By the end of
H1 2025, Solar had undrawn credit facilities of DKK 718m
(DKK 697m).
Invested capital
Solar Group’s invested capital totalled DKK 3,410m
(DKK 3,085m). ROIC calculated over the past 12 months
amounted to 6.7% (6.6%).
Activities with a Solar equity interest of less than 50% and
activities attributable to non-controlling interests are not
included in the ROIC calculation. Invested capital includes
operating assets and liabilities only.
Key risks and mitigation
The commercial and financial risks in respect of our
activities are detailed in Solar’s 2024 Annual Report. No
additional material risks have been identified. Solar is not
directly exposed to the tariffs imposed by the US or to the
US market, but resulting macroeconomic consequences
may affect Solar's markets. We continue to monitor market
developments closely.
8
Management’s
review
Solar A/S Q2 2025
Financial performance
Installation
Our Installation segment covers the installation of
electrical, heating and plumbing products.
Installation revenue for Q2 amounted to DKK 1,654m (DKK
1,707m), which corresponds to overall adjusted organic
growth of around -2.1% (-11%). Solar Danmark saw positive
growth, while other markets experienced negative growth.
Segment profit amounted to DKK 116m (DKK 138m), which
corresponds to a segment profit margin of 7.0% (8.1%).
Industry
This segment covers the industry, offshore and marine
industries as well as utilities and infrastructure. Industry
also includes MAG45 and Thermonova.
Industry revenue for Q2 amounted to DKK 1,046m (DKK
1,130m). This corresponds to overall adjusted organic
growth of around -5.7% (-2%). Solar Sverige and Solar
Polska posted positive growth, while other markets,
including MAG45, posted negative growth.
Segment profit amounted to DKK 153m (DKK 173m). This
corresponds to a segment profit margin of 14.6% (15.3%).
Trade
Our Trade segment covers special sales and other
specialist areas. It also includes Solar Polaris and Højager.
Revenue from Trade for Q2 amounted to DKK 318m (DKK
263m) corresponding to overall adjusted organic growth of
around 24% (-14%), which was positively affected by Solar
Polaris’ deliveries to a major solar park project. When
adjusted for Solar Polaris’ deliveries, organic growth
amounted to approx. -5%.
Segment profit amounted to DKK 33m (DKK 29m), which
corresponds to a segment profit margin of 10.4% (11%).
Segment revenue
DKKm
Q2 2025 Q2 2025
DKKm
Installation Installation
1,654 116
1,046 153
318 33
Industry Industry
Trade Trade
Segment profit Overview business segments
Q2
Revenue Segment profit Segment margin %
DKK million 2025 2024 2025 2024 2025 2024
Installation 1,654 1,707 116 138 7.0 8.1
Industry 1,046 1,130 153 173 14.6 15.3
Trade 318 263 33 29 10.4 11.0
Solar Group 3,018 3,100 302 340 10.0 11.0
Q2 posted negative growth particularly in
Industry and, to a lesser extent, in Installation
Segment profit includes items that are directly
attributable to the individual segment and items
that can be reliably allocated to it.
Segment profit does not include non-allocated
costs of DKK 190m (DKK 203m) in Q2, which
cover income and costs related to joint group
functions and to costs that cannot be reliably
allocated to it.
Detailed segment information is given on page 22.
9
Management’s
review
Solar A/S Q2 2025
Segment performance Q2
Installation
Installation revenue for H1 amounted to DKK 3,410m
(DKK 3,386m), which corresponds to overall adjusted
organic growth of around 1.3% (-14%). Solar Danmark,
Solar Nederland and Solar Polska saw positive growth,
while other markets saw negative growth.
Segment profit amounted to DKK 260m (DKK 269m), which
corresponds to a segment profit margin of 7.6% (7.9%).
Industry
Industry revenue for H1 amounted to DKK 2,165m
(DKK 2,216m). This corresponds to overall adjusted
organic growth of around -1.3% (-6%). Solar Norge, Solar
Sverige and Thermonova posted positive growth, while
other markets, including MAG45, posted negative growth.
Segment profit amounted to DKK 320m (DKK 337m). This
corresponds to a segment profit margin of 14.8% (15.2%).
Trade
Revenue from Trade for H1 amounted to DKK 666m
(DKK 528m), which corresponds to overall adjusted
organic growth of around 27% (-18%), which was positively
affected by Solar Polaris’ deliveries to a major solar park
project. When adjusted for Solar Polaris’ deliveries, organic
growth amounted to approx. 1%.
Segment profit amounted to DKK 64m (DKK 58m), which
corresponds to a segment profit margin of 9.6% (11%).
Segment profit includes items that are directly
attributable to the individual segment and items
that can be reliably allocated to it.
Segment profit does not include non-allocated
costs of DKK 458m (DKK 439m) in H1, which
cover income and costs related to joint group
functions and to costs that cannot be reliably
allocated to it.
Detailed segment information is given on page 23.
Segment revenue
DKKm
H1 2025 H1 2025
DKKm
Installation Installation
Industry Industry
Trade Trade
Segment profit Overview business segments
H1
Revenue Segment profit Segment margin %
DKK million 2025 2024 2025 2024 2025 2024
Installation 3,410 3,386 260 269 7.6 7.9
Industry 2,165 2,216 320 337 14.8 15.2
Trade 666 528 64 58 9.6 11.0
Solar Group 6,241 6,130 644 664 10.3 10.8
Strong growth in Solar Polaris in H1
3,410 260
2,165 320
666 64
10
Management’s
review
Solar A/S Q2 2025
Segment performance H1
EBITDA guidance ranges between
DKK 450m and 510m
Assumptions
As mentioned on page 7 in our Q1 report, uncertainty
increased substantially at the beginning of Q2 2025.
However, we continue to expect a market improvement in
2025, relative to current level.
Revenue
We expect all markets to post stagnant or negative growth
in 2025, with a slight improvement in the latter months of
H2.
Installation
Overall, we expect to see slightly negative growth in the
new construction sector in 2025, but with minor
improvement in late H2. With the green transition set to
deliver slightly better growth rates.
Industry
The guidance assumes positive growth in Marine/Offshore
whereas we expect negative growth in all other sub-
segments. Overall, we expect the industry market to show
negative trends.
Trade
We expect to see positive growth in 2025, which is driven
by Solar Polaris' deliveries to a major solar park project.
Our 2025 guidance ranges
between DKK 11.75bn and
12.25bn for revenue and
between DKK 450m and
510m for EBITDA.
Gross profit margin
Throughout 2024, we posted a loss in gross profit margin
across all main product categories. However, we continue
to expect that this downward trend will taper off in 2025.
Our outlook for 2025 is for a stagnant gross profit margin,
primarily driven by ongoing price pressure combined with
lower price increases but also a less favourable mix.
Costs
Contrary to our initial expectations, salary inflation
continues to have an impact, in part due to carry-over
effects and in part due to collective labour agreements.
We anticipate this trend to continue throughout 2025.
The implemented restructuring costs of approx. DKK 45m
in H1 are cost neutral in 2025. We will, however, continue to
initiate restructuring measures, albeit on a smaller scale.
This, combined with other actions, including cost
containment and process improvements, will continue to
reduce costs.
Financial outlook 2025
Revenue guidance
We expect revenue to range between DKK 11.75bn and
12.25bn, corresponding to an organic growth of between
approx. -4% and 0%.
EBITDA guidance
We expect EBITDA in the range of between DKK 450m and
510m.
Ambitions for 2026
We continue to strive for our 2026 ambition of an EBITDA
margin >5%.
The impact of the initiatives already implemented in 2025
will, all other things equal, increase EBITDA margin by
approx. 0.7 percentage points compared to the guidance
for 2025.
However, it is anticipated that 2026 will be characterised
by:
●
Average annual GDP growth of at least 1.5%
●
Low cost and salary inflation
●
Pick-up in industry and building activities
●
Continued governmental support for the green transition.
11
Management’s
review
Solar A/S Q2 2025
Guidance 2025
Share and webcast information
Solar’s share capital is divided
into nominal value DKK 90
million A shares and nominal
value DKK 646 million B shares.
Total shareholder return
The total shareholder return of the Solar B share during the
holding period 1 January 2025 - 30 June 2025 was 8.3%
including the DKK 15.00 ordinary dividend that was paid
out in March 2025.
A share B share
Shares 900,000 6,460,000
Nominel value (DKK) 100 100
Votes per share 10 1
Treasury shares - 56,813
Stock Exchange - Nasdaq Copenhagen
Stock Exchange
Ticker symbol Solar B
Share price 30 June (DKK) 309.50 309.50
Market Cap 30 June (DKKm) 279 1,999
The Solar share
Financial calendar 2025
Shareholders with more than 5%
of shares or votes
Quarterly Report Q3 2025
6 Nov
Shareholders according to
section 55 of the Danish
Companies Act
Share
Capital Votes
The Fund of 20th December,
Vejen, Denmark 17.0% 60.5%
Nordea Funds Ltd., Helsinki,
Finland 10.4% 5.0%
12
Management’s
review
Solar A/S Q2 2025
Shareholder information
Q2 H1 Year
DKK million 2025 2024 2025 2024 2024
Revenue 3,018 3,100 6,241 6,130 12,223
Cost of sales -2,405 -2,469 -4,972 -4,873 -9,702
Gross profit 613 631 1,269 1,257 2,521
Other operating income and costs 0 0 2 0 88
External operating costs -91 -91 -207 -198 -369
Staff costs -408 -397 -872 -823 -1,580
Loss on trade receivables -2 -6 -6 -11 -14
Earnings before interest, tax, depreciation and amortisation
(EBITDA) 112 137 186 225 646
Depreciation and write-down on property, plant and equipment -67 -60 -131 -122 -246
Earnings before interest, tax and amortisation (EBITA) 45 77 55 103 400
Amortisation and impairment of intangible assets -21 -21 -42 -37 -122
Earnings before interest and tax (EBIT) 24 56 13 66 278
Share of net profit from associates 0 0 0 0 -1
Financial income 11 10 19 18 63
Financial expenses -32 -32 -62 -56 -148
Earnings before tax (EBT) 3 34 -30 28 192
Income tax -4 -9 1 -9 -44
Net profit for the period -1 25 -29 19 148
Attributable to:
Shareholders of Solar A/S -1 27 -28 22 151
Non-controlling interests 0 -2 -1 -3 -3
Net profit for the period -1 25 -29 19 148
Earnings in DKK per share outstanding (EPS) -0.14 3.70 -3.83 3.01 20.68
Diluted earnings in DKK per share outstanding (EPS-D) -0.14 3.69 -3.83 3.01 20.60
Q2 H1 Year
DKK million 2025 2024 2025 2024 2024
Net profit for the period -1 25 -29 19 148
Other income and costs recognised:
Items that can be reclassified for the income statement
Foreign currency translation adjustment of foreign subsidiaries -32 18 16 -15 -36
Fair value adjustment of hedging instruments before tax 0 2 2 4 0
Tax on fair value adjustments of hedging instruments 0 -1 0 -1 0
Other income and costs recognised after tax -32 19 18 -12 -36
Total comprehensive income for the period -33 44 -11 7 112
Attributable to:
Shareholders of Solar A/S -33 46 -10 10 115
Non-controlling interests 0 -2 -1 -3 -3
Total comprehensive income for the period -33 44 -11 7 112
Statement of comprehensive income
Income statement Other comprehensive income
Solar A/S Q2 2025
Financial statements
14
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
30.06 31.12
DKK million 2025 2024 2024
Assets
Intangible assets 398 386 381
Property, plant and equipment 1,235 1,054 1,070
Right-of-use assets 388 401 408
Deferred tax asset 14 7 11
Investments in associates 3 4 3
Other non-current assets 23 28 27
Non-current assets 2,061 1,880 1,900
Inventories 1,763 1,910 1,888
Trade receivables 1,838 1,896 1,657
Income tax receivable 51 54 20
Contract assets 3 0 4
Other receivables 8 26 107
Prepayments 77 72 73
Cash at bank and in hand 204 381 459
Current assets 3,944 4,339 4,208
Total assets 6,005 6,219 6,108
30.06 31.12
DKK million 2025 2024 2024
Equity and liabilities
Share capital 736 736 736
Reserves -216 -210 -234
Retained earnings 1,189 1,197 1,216
Proposed dividends for the financial year 0 0 110
Equity attributable to shareholders of Solar A/S 1,709 1,723 1,828
Non-controlling interests 45 47 46
Total equity 1,754 1,770 1,874
Interest-bearing liabilities 270 430 425
Lease liabilities 266 290 284
Provision for deferred tax 145 150 157
Other provisions 13 11 12
Non-current liabilities 694 881 878
Interest-bearing liabilities 1,201 871 841
Lease liabilities 137 124 141
Trade payables 1,736 2,086 1,852
Income tax payable 7 6 8
Contract liabilities 14 0 35
Other payables 414 458 462
Prepayments 2 9 8
Other provisions 46 14 9
Current liabilities 3,557 3,568 3,356
Liabilities 4,251 4,449 4,234
Total equity and liabilities 6,005 6,219 6,108
Balance sheet
Consolidated
Solar A/S Q2 2025
Financial statements
15
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
Q2 H1 Year
DKK million 2025 2024 2025 2024 2024
Net profit of continuing operations for the period -1 25 -29 19 148
Depreciation, write-down and amortisation 88 81 173 159 368
Changes to provisions and other adjustments -12 -6 37 -6 -103
Share of net profit from associates 0 0 0 0 1
Financials, net 21 22 43 38 85
Income tax 4 9 -1 9 44
Financial income, received 4 6 7 11 33
Financial expenses, settled -21 -28 -48 -48 -114
Income tax, settled -29 -36 -47 -79 -69
Cash flow before working capital changes 54 73 135 103 393
Working capital changes
Inventory changes 91 -5 136 107 113
Receivables changes 192 -57 -151 -279 -64
Non-interest-bearing liabilities changes -333 191 -204 278 96
Cash flow from operating activities 4 202 -84 209 538
Q2 H1 Year
DKK million 2025 2024 2025 2024 2024
Investing activities
Purchase of intangible assets -31 -41 -57 -75 -154
Purchase of property, plant and equipment -87 -19 -213 -42 -162
Disposal of property, plant and equipment 0 0 76 0 61
Acquisition of subsidaries and activities 0 -10 -2 -10 -10
Cash flow from investing activities -118 -70 -196 -127 -265
Financing activities
Repayment of non-current interest-bearing debt -2 -3 -105 -5 -9
Raising of non-current interest-bearing liabilities 0 0 0 0 100
Change in current interest-bearing debt 13 -47 317 151 11
Instalment on lease liabilities -37 -35 -77 -69 -137
Dividends paid to shareholders of Solar A/S 0 0 -110 -219 -219
Dividends paid to non-controlling interests 0 0 0 0 -1
Cash flow from financing activities -26 -85 25 -142 -255
Total cash flow -140 47 -255 -60 18
Cash at bank and in hand at the beginning of period 344 334 459 441 441
Cash at bank and in hand at the end of period 204 381 204 381 459
Cash flow statement
Consolidated
Solar A/S Q2 2025
Financial statements
16
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
DKK million
Share
capital
Reserves
for hedging
transactions
1
Reserves
for foreign
currency
translation
adjustments
1
Retained
earnings
Proposed
dividends
Equity
attributable to
Shareholders of
Solar A/S
Non-controlling
interests Total equity
2025
Equity as at 1 January 736 -13 -221 1,216 110 1,828 46 1,874
Foreign currency translation adjustments of foreign subsidiaries 16 16 16
Fair value adjustments of hedging instruments before tax 2 2 2
Tax on fair value adjustments 0 0 0
Net income recognised in equity via other comprehensive income in the statement
of comprehensive income 0 2 16 0 0 18 0 18
Net profit or loss for the period -28 -28 -1 -29
Comprehensive income 0 2 16 -28 0 -10 -1 -11
Distribution of dividends (DKK 15.00 per share) -110 -110 -110
Share-based payments 1 1 1
Transactions with the owners 0 0 0 1 -110 -109 0 -109
Equity as at 30 June 736 -11 -205 1,189 0 1,709 45 1,754
1. Reserves for hedging transactions and reserves for foreign currency translation adjustments are recognised in the balance sheet as a total amount under reserves.
Statement of changes in equity
Consolidated
Solar A/S Q2 2025
Financial statements
17
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
DKK million
Share
capital
Reserves
for hedging
transactions
1
Reserves
for foreign
currency
translation
adjustments
1
Retained
earnings
Proposed
dividends
Equity
attributable to
Shareholders of
Solar A/S
Non-controlling
interests Total equity
2024
Equity as at 1 January 736 -13 -185 1,175 219 1,932 50 1,982
Foreign currency translation adjustments of foreign subsidiaries -15 -15 -15
Fair value adjustments of hedging instruments before tax 4 4 4
Tax on fair value adjustments -1 -1 -1
Net income recognised in equity via other comprehensive income in the statement
of comprehensive income 0 3 -15 0 0 -12 0 -12
Net profit or loss for the period 22 22 -3 19
Comprehensive income 0 3 -15 22 0 10 -3 7
Distribution of dividends (DKK 30.00 per share) -219 -219 -219
Transactions with the owners 0 0 0 0 -219 -219 0 -219
Equity as at 30 June 736 -10 -200 1,197 0 1,723 47 1,770
1. Reserves for hedging transactions and reserves for foreign currency translation adjustments are recognised in the balance sheet as a total amount under reserves.
Statement of changes in equity
– Continued
Solar A/S Q2 2025
Financial statements
18
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
Section 1
Basis for preparation
Solar A/S Q2 2025
Financial statements
19
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
Section 1 – Basis for preparation
1.1 Accounting policies
The financial report for Solar A/S has been
prepared in accordance with IAS 34 “Presentation
of interim reports” as approved by the EU and
additional Danish disclosure requirements for
quarterly reports of listed companies.
The accounting policies remain unchanged from
the Annual Report 2024, which contains a full
description of these on pages 104-106 as well as
of relevant, supplementary notes.
In the financial report, income tax has been
calculated on the basis of pre-tax profits at the
expected average tax rate.
New accounting standards implemented during
the period
No additional standards have become effective in
the period, only amendments and improvements
to existing standards. These changes have no
impact on Solar’s accounting policies.
New accounting standards to be implemented
in coming accounting periods
In Annual Report 2024, note 5.5, page 145, new
or amended standards to be implemented in the
coming accounting periods are described.
Financial statements
20
Solar A/S Q2 2025
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
Section 2 – Income statement
2.1 Revenue
2.2 Segment information
Solar’s business segments are Installation, Industry and Trade and are based on the customers’
affiliation with the segments. Installation covers installation of electrical, and heating and plumbing
products, while Industry covers industry, offshore and marine, and utility and infrastructure. Trade
covers special sales and other small areas. The three main segments have been identified without
aggregation of operating segments. Segment income and costs include any items that are
directly attributable to the individual segment and any items that can be reliably allocated to the
Q2 H1
DKK million 2025 2024 2025 2024
Sales of goods and services 2,929 3,082 6,077 6,104
Revenue from construction contracts 89 18 164 26
Total 3,018 3,100 6,241 6,130
DKK million Installation Industry Trade Total
Q2 2025
Revenue 1,654 1,046 318 3,018
Cost of sales -1,350 -794 -261 -2,405
Gross profit 304 252 57 613
Direct costs -73 -44 -11 -128
Earnings before indirect costs 231 208 46 485
Indirect costs -115 -55 -13 -183
Segment profit 116 153 33 302
Non-allocated costs -190
Earnings before interest, tax, depreciation and amortisation
(EBITDA) 112
Depreciation and amortisation -88
Earnings before interst and tax (EBIT) 24
Financials, net incl. share of net profit from associates and
impairment on associates -21
Earnings before tax (EBT) 3
DKK million Installation Industry Trade Total
Q2 2024
Revenue 1,707 1,130 263 3,100
Cost of sales -1,394 -862 -213 -2,469
Gross profit 313 268 50 631
Direct costs -69 -39 -10 -118
Earnings before indirect costs 244 229 40 513
Indirect costs -106 -56 -11 -173
Segment profit 138 173 29 340
Non-allocated costs -203
Earnings before interest, tax, depreciation and amortisation
(EBITDA) 137
Depreciation and amortisation -81
Earnings before interst and tax (EBIT) 56
Financials, net incl. share of net profit from associates and
impairment on associates -22
Earnings before tax (EBT) 34
individual segment. Non-allocated costs refer to income and costs related to joint group functions
and costs, which can not be reliably allocated to the individual segment. Assets and liabilities are not
included in segment reporting.
Revenue and costs in the amount of DKK 89m (Q2 2024: DKK 18m) and DKK 81m (Q2 2024: DKK 13m)
respectively, from construction contracts recognised over time are fully allocated to the Trade segment.
Financial statements
22
Solar A/S Q2 2025
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
2.2 Segment information – continued
DKK million Installation Industry Trade Total
H1 2025
Revenue 3,410 2,165 666 6,241
Cost of sales -2,771 -1,646 -555 -4,972
Gross profit 639 519 111 1,269
Direct costs -146 -88 -22 -256
Earnings before indirect costs 493 431 89 1,013
Indirect costs -233 -111 -25 -369
Segment profit 260 320 64 644
Non-allocated costs -458
Earnings before interest, tax, depreciation and amortisation
(EBITDA) 186
Depreciation and amortisation -173
Earnings before interst and tax (EBIT) 13
Financials, net -43
Earnings before tax (EBT) -30
DKK million Installation Industry Trade Total
H1 2024
Revenue 3,386 2,216 528 6,130
Cost of sales -2,762 -1,682 -429 -4,873
Gross profit 624 534 99 1,257
Direct costs -136 -80 -18 -234
Earnings before indirect costs 488 454 81 1,023
Indirect costs -219 -117 -23 -359
Segment profit 269 337 58 664
Non-allocated costs -439
Earnings before interest, tax, depreciation and amortisation
(EBITDA) 225
Depreciation and amortisation -159
Earnings before interst and tax (EBIT) 66
Financials, net -38
Earnings before tax (EBT) 28
Revenue and costs in the amount of DKK 164m (H1 2024: DKK 26m) and DKK 151m (H1 2024: DKK 19m)
respectively, from construction contracts recognised over time are fully allocated to the Trade segment.
Financial statements
23
Solar A/S Q2 2025
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
2.2 Segment information – continued
DKK million Revenue
Adjusted
organic growth EBITDA
EBITDA
margin
Non-current
assets
Q2 2025
Denmark
1,071 5.8 61 5.7 808
Sweden 540 -0.9 11 2.0 478
Norway 426 -8.4 12 2.8 205
The Netherlands 656 -2.9 24 3.7 383
Poland 107 5.1 -2 -1.9 49
Other markets 218 -15.1 6 2.8 138
Solar Group 3,018 -1.2 112 3.7 2,061
DKK million Revenue
Adjusted
organic growth EBITDA
EBITDA
margin
Non-current
assets
H1 2025
Denmark
2,195 9.7 106 4.8 808
Sweden 1,087 0.9 13 1.2 478
Norway 905 0.4 11 1.2 205
The Netherlands 1,381 -0.7 42 3.0 383
Poland 212 5.2 -2 -0.9 49
Other markets 461 -10.1 16 3.5 138
Solar Group 6,241 2.6 186 3.0 2,061
DKK million Revenue
Adjusted
organic growth EBITDA
EBITDA
margin
Non-current
assets
Q2 2024
Denmark
1,046 -1.5 75 7.2 903
Sweden 527 -14.3 15 2.8 207
Norway 477 -8.8 18 3.8 211
The Netherlands 687 -15.0 18 2.6 414
Poland 101 -7.3 -1 -1.0 49
Other markets 262 8.3 12 4.6 96
Solar Group 3,100 -7.8 137 4.4 1,880
DKK million Revenue
Adjusted
organic growth EBITDA
EBITDA
margin
Non-current
assets
H1 2024
Denmark
2,017 -6.2 110 5.5 903
Sweden 1,066 -16.9 32 3.0 207
Norway 914 -13.3 29 3.2 211
The Netherlands 1,413 -17.9 28 2.0 414
Poland 199 -5.2 -1 -0.5 49
Other markets 521 8.5 27 5.2 96
Solar Group 6,130 -11.2 225 3.7 1,880
Geographical information
Solar A/S primarily operates on the Danish, Swedish, Norwegian and Dutch markets. In the below
table, Other markets covers the remaining markets, which can be seen in the group companies overview
available on page 184 of Annual Report 2024 or on www.solar.eu. The below allocation has been made
based on the products’ place of sale.
Financial statements
24
Solar A/S Q2 2025
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
Consolidated
Q1 Q2 Q3 Q4
Income statement (DKK million) 2025 2024 2025 2024 2024 2023 2024 2023
Revenue
3,223 3,030 3,018 3,100 2,860 2,965 3,233 3,160
Earnings before interest, tax, depreciation and amortisation (EBITDA) 74 88 112 137 202 187 219 190
Earnings before interest, tax and amortisation (EBITA) 10 26 45 77 143 132 154 131
Earnings before interest and tax (EBIT) -11 10 24 56 125 114 87 114
Financials, net -22 -16 -21 -22 -24 -21 -23 -29
Earnings before tax (EBT) -33 -6 3 34 101 93 63 85
Net profit or loss for the quarter -28 -6 -1 25 78 71 51 55
Balance sheet (DKK million)
Non-current assets 2,015 1,877 2,061 1,880 1,879 1,809 1,900 1,893
Current assets 4,385 4,205 3,944 4,339 4,385 4,456 4,208 4,219
Balance sheet total 6,400 6,082 6,005 6,219 6,264 6,265 6,108 6,112
Total equity 1,786 1,726 1,754 1,770 1,831 1,910 1,874 1,982
Non-current liabilities 863 891 694 881 871 877 878 908
Current liabilities 3,751 3,465 3,557 3,568 3,562 3,478 3,356 3,222
Interest-bearing liabilities, net 1,519 1,450 1,670 1,334 1,646 1,480 1,232 1,157
Invested capital 3,289 3,157 3,410 3,085 3,460 3,366 3,089 3,120
Net working capital, end of period 1,867 1,876 1,865 1,720 2,036 2,253 1,693 1,907
Net working capital, average 1,829 2,075 1,865 1,939 1,885 2,268 1,831 2,193
Quarterly figures
Financial statements
26
Solar A/S Q2 2025
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
Consolidated – continued
Q1 Q2 Q3 Q4
Cash flows (DKK million) 2025 2024 2025 2024 2024 2023 2024 2023
Cash flow from operating activities
-88 7 4 202 -196 190 525 486
Cash flow from investing activities -78 -57 -118 -70 -82 -102 -56 -87
Cash flow from financing activities 51 -57 -26 -85 165 -109 -278 -199
Net investments in intangible assets -26 -34 -31 -41 -38 -26 -41 -31
Net investments in property, plant and equipment -50 -23 -87 -19 -44 -76 -15 -34
Acquisition and divestment of subsidiaries and operations, net -2 0 0 -10 0 0 0 -22
Financial ratios (% unless otherwise stated)
Revenue growth 6.4 -17.1 -2.6 -4.6 -3.5 -9.2 2.3 -14.2
Organic growth 6.5 -17.1 -3.4 -5.0 -3.8 -6.2 2.3 -12.5
Organic growth adjusted for number of working days 6.5 -15.4 -1.2 -7.8 -5.3 -4.7 3.0 -11.1
Gross profit margin 20.4 20.7 20.3 20.4 20.7 21.5 20.8 22.4
EBITDA margin 2.3 2.9 3.7 4.4 7.1 6.3 6.8 6.0
EBITA margin 0.3 0.9 1.5 2.5 5.0 4.5 4.8 4.1
EBIT margin -0.3 0.3 0.8 1.8 4.4 3.8 2.7 3.6
Net working capital (end of period NWC)/revenue (LTM) 15.0 15.1 15.1 14.0 16.8 16.6 13.9 14.6
Net working capital (average NWC )/revenue (LTM) 14.7 16.7 15.1 15.8 15.5 16.7 15.0 16.8
Gearing (net interest-bearing liabilities/EBITDA), no. of times 2.4 2.1 2.8 2.2 2.7 1.5 1.9 1.3
Return on equity (ROE) 7.2 10.9 5.9 8.6 8.8 25.5 8.4 18.3
Return on invested capital (ROIC) 7.7 8.5 6.7 6.6 6.8 16.9 8.3 13.2
Enterprise value/earnings before interest, tax and amortisation (EV/EBITA) 8.4 8.6 11.1 10.0 11.1 6.2 8.4 7.0
Equity ratio 27.2 27.6 28.5 27.7 28.5 29.7 29.9 31.6
Financial statements
27
Solar A/S Q2 2025
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
Consolidated – continued
Q1 Q2 Q3 Q4
Share ratios (DKK unless otherwise stated) 2025 2024 2025 2024 2024 2023 2024 2023
Earnings per share outstanding (EPS)
-3.70 -0.68 - 0.14 3.70 10.68 9.72 6.98 7.39
Intrinsic value per share outstanding 238.39 229.63 234.01 235.92 244.28 254.82 250.30 264.54
Share price 241.44 331.37 310.17 325.27 354.55 476.27 299.27 465.71
Share price/intrinsic value 1.01 1.44 1.33 1.38 1.45 1.87 1.20 1.76
Employees
Number of employees (FTE's), end of period 2,919 2,932 2,913 2,889 2,880 3,005 2,895 2,990
Average number of employees (FTE's) 2,896 2,997 2,902 2,954 2,923 3,049 2,899 3,036
Definitions
Organic growth Revenue growth adjusted for enterprises acquired and sold off and any exchange rate changes. No adjustments have been made for number of working days.
Organic growth adjusted for number of working days Revenue growth adjusted for enterprises acquired and sold off and any exchange rate changes and number of working days.
Net working capital Inventories and trade receivables less trade payables.
Return on invested capital (ROIC) Return on invested capital calculated on the basis of EBIT exclusive impairment on goodwill less tax" calculated using the effective tax rate adjusted for one-off effects, if any.
In all material aspects financial ratios are calculated in accordance with the Danish Finance Society’s “Recommendations & Financial Ratios”.
Financial statements
28
Solar A/S Q2 2025
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
Executive Board
Board of Directors
Financial statements
30
Solar A/S Q2 2025
Consolidated financial statements Q2
Statement of comprehensive income
Balance sheet
Cash flow statement
Statement of changes in equity
Notes
Section 1 – Basis for preparation
Section 2 – Income statement
Q2 Quarterly information
Statements
Solar A/S
Industrivej Vest 43
Denmark
Tel. +45 79 30 00 00
CVR no. 15908416
LEI 21380031XTLI9X5MTY92
www.linkedin.com/company/solar-as
ESEF data
Name of reporting entity or other means of identification Solar A/S
Domicile of entity Denmark
Legal form of entity A/S
Country of incorporation Denmark
Address of entity's registered office Industrivej Vest 43 6600 Vejen
Principal place of business Europe
Description of nature of entity's operations and principal business Sourcing and services company
Name of parent entity Solar A/S
Name of ultimate parent of group Fonden af 20. December