Hexatronic announces performance improvement program and new financial targets to reflect accelerated shift to growth segments

Hexatronic announces performance improvement program within the Fiber Solutions business. This includes plant consolidation and right-sizing in Europe, a shifted focus on selected growth avenues, and operational excellence actions. Following these initiatives, and to better reflect the performance and potential of the group’s different segments, the board of directors has adopted new financial targets for each business area.

Performance improvement program in brief:

• Consolidating and right-sizing of Fiber Solutions in Europe: Planned closure of the Weterings Plastics site in the Netherlands to consolidate volumes in EMEA to the two main sites in Sweden and Austria. The consolidation and right-sizing of Fiber Solutions will result in a total reduction of 120 employees within Fiber Solutions in Europe, impacting production personnel and other staff. Total cost savings estimated to SEK 122m and a net EBITA effect of SEK 110m on an annualized basis, materializing from Q4 2025 and fully realized by the end of Q1 2026. One-off costs estimated to SEK 230m, of which SEK 125m cash effect. Most of the one-off estimated costs will impact the Q3 2025 results.
• Focus on selected growth avenues within Fiber Solutions: Expand the commercial footprint to grow in transport networks and submarine cables. In addition, grow and diversify the customer base in the US and Canada.
• Operational excellence: Procurement program to reduce raw material and component costs and working capital program to optimize inventory. In addition, targeted efficiency and scrap rates improvements. Fiber optic cable manufacturing in the facility in South Carolina has been postponed to 2027 to allow full focus on the core conduit and duct production.

Rikard Fröberg, President and CEO of Hexatronic, comments:
“With these initiatives, we will create a focused Fiber Solutions and a more competitive Hexatronic overall, combining a strengthened EBITA of SEK 110 million annually with a solid potential in attractive growth areas. To reflect these conditions, the board has adopted new financial targets highlighting our ambition to further accelerate the expansion of Harsh Environment and Data Center to reach roughly half of global sales.”

Financial targets
The financial targets have been adopted by the board of directors, replacing the previous group targets:

Business area	2028 Net sales*	EBITA margin (Over a business cycle)
Fiber Solutions	SEK 6bn	10%
Harsh Environment	SEK 2bn	15%
Data Center	SEK 3bn	15%

* Including M&A

Invitation to webcast
Hexatronic will host a webcast today, on September 11, 2025, to present the strategic initiatives, the strategy for each business area, and new financial targets, followed by a Q&A session. The presentation will start at 10:00 CEST and last until 12:00 CEST.

Speakers will include: Rikard Fröberg, President and CEO; Martin Åberg, Deputy CEO and Head of Data Center; Pernilla Lindén, CFO; and Jakob Skov, Head of Harsh Environment.

Participants can register to follow the investor presentation live via this link: https://hexatronic-group.events.inderes.com/investor-update-2025

For more information, please contact:
Rikard Fröberg, CEO
[e-mail]
[phone]

Pernilla Lindén, CFO
[e-mail]
[phone]

About Us
Hexatronic creates sustainable networks all over the world. We partner with customers on four continents – from telecom operators to network owners – and offer leading, high-quality fiber technology for every conceivable application. Hexatronic Group AB (publ.) was founded in Sweden in 1993 and its share is listed on Nasdaq Stockholm. Our global brands include Viper, Stingray, Raptor, InOne, and Wistom®.

This information is information that Hexatronic Group AB (publ) 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 set out above, at 2025-09-11 08:30 CEST.

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Hexatronic announces performance improvement program and new financial targets to reflect accelerated shift to growth segments