Swedish heating technology firm NIBE Industrier reported a nearly 25% rise in third-quarter operating profit, signaling a continued market recovery driven by higher sales and cost controls.
The company's operating profit for the quarter increased to 1.14 billion Swedish kronor, up from the corresponding period in 2024.
Sales grew 1.5% to 10.09 billion Swedish kronor, though a stronger Swedish krona had a negative impact; organic growth was 6.1%, the company said.
"The improvement in the market that we have seen since the end of the previous year was once again confirmed in the third quarter," NIBE said in a statement, while also noting challenges from political turbulence and trade tariffs.
The Climate Solutions division, which makes heat pumps, saw continued demand improvement in Europe, while the Stoves business remained the weakest performer due to market caution.
For the full year, NIBE said it expects a "clear return to organic growth and a sharp increase in operating profit."
The company stated its Climate Solutions and Element divisions were close to their historical operating margin targets, but the Stoves business would require "a few more quarters" to recover.
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