Saab reported strong financial results for the second quarter of 2026, characterized by a significant surge in order bookings and robust organic sales growth. Order bookings amounted to SEK 68,393 million, a substantial increase compared to the previous year, primarily driven by the booking of a SEK 47 billion order for submarines to Poland during the quarter. The company's operating margin strengthened as it continued to expand capacity and focus on technological innovation to meet high market demand.

Sales for the period reached SEK 25,453 million, corresponding to an organic sales growth of 29.8%. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) amounted to SEK 3,774 million, representing an EBITDA margin of 14.8%. Earnings before interest and taxes (EBIT) increased by 41% to SEK 2,794 million, with an EBIT margin of 11.0%.

Financial Performance

Net income increased to SEK 2,170 million, with earnings per share amounting to SEK 3.96. Operational cash flow improved significantly to SEK -62 million from a negative SEK 1,136 million in the prior comparative period. Net liquidity stood at SEK 2,523 million at the end of the quarter, compared to SEK 3,989 million at year-end 2025.

Key Financial Metrics Q2 2026

Organisational Changes

Effective from the second quarter, Saab established a new business area called Naval. Consequently, comparative historical financial information has been restated to reflect this new organisational structure. Micael Johansson, President and CEO of Saab, attributed the strong performance to high demand for the company's product offerings as customers invest in both immediate and long-term needs.

Saab has secured a contract worth approximately SEK 8.7 billion to equip four of the German Navy's new MEKO A-200 DEU class frigates with combat systems, composite structures, and sensors. The agreement was signed with German naval defence company TKMS, which serves as the prime contractor for the frigates to be produced in Germany. Deliveries are scheduled to take place between 2029 and 2032, with the contract also including an option for integrating and equipping additional frigates.

The order encompasses the delivery of composite superstructures and 9LV Combat Systems, including the Fire Control System and Combat Management System. Saab will also provide sensors such as the long-range surveillance radar Sea Giraffe 4A Fixed Face, the lightweight multi-mission surveillance radar Sea Giraffe 1X, and passive sensors. These systems are intended to significantly enhance the Navy's anti-air, anti-submarine, and anti-surface warfare capabilities.

Micael Johansson, CEO and President of Saab, emphasized the strategic importance of the partnership. He stated that the company continues to build on its long-standing relationship with Germany and the Bundeswehr. Johansson noted that the collaboration with TKMS would strengthen the German Navy through the enhanced capabilities provided by these deliveries.

Contract Details