{"success":true,"data":{"pressRelease":{"id":"169795","rtpr_id":"nPNAndZ8Ma-20261015","ticker":"ERICB","exchange":"Nasdaq Stockholm","all_tickers":["ERICB"],"title":"Ericsson reports third quarter results 2026","author":"PR Newswire","published_at":"2026-10-15T06:15:16.092Z","article_body":"Ericsson reports third quarter results 2026\nPR Newswire\n\nSTOCKHOLM, Oct. 15, 2026\n\nSTOCKHOLM, Oct. 15, 2026 /PRNewswire/ --\n\nStrategic highlights – executing well in a challenging environment\n* Solid customer demand in strategic markets, combined with near-term\ncommercial actions, supported organic growth of 7%*.\n* Customer wins and deployments across network modernization, differentiated\nconnectivity and mission-critical networks.\n* Driving portfolio optimization, pricing and efficiency measures to help\noffset higher component costs and to strengthen competitiveness.\nFinancial highlights – sales growth and cost discipline\n* Reported sales were SEK 59.5 (56.2) b. Organic* sales increased by 7%* YoY\nprimarily driven by higher sales in Networks. Organic* sales grew in three out\nof four market areas.\n* Adjusted [1] gross income increased to SEK 28.4 (27.0) b., driven by Mobile\nNetworks. Reported gross income was SEK 28.0 (26.8) b.\n* Adjusted [1] gross margin was 47.7% (48.1%). Networks margin increased,\nsupported by retroactive IPR revenues. Enterprise margin was lower, due to the\ndivestment of iconectiv. Cloud Software and Services margin was stable.\nReported gross margin was 47.1% (47.6%).\n* Adjusted [1] EBITA was SEK 10.1 (15.8) b. with a 17.0% (28.1%) margin.\nExcluding the prior-year period capital gain of SEK 7.6 b., adjusted EBITA\nincreased. Operating expenses decreased YoY. Reported EBITA was SEK 9.2 (15.5)\nb., with a 15.5% (27.6%) margin.\n* Net income was SEK 5.8 (11.3) b. and diluted EPS was SEK 1.77 (3.33).\nPrior-year EPS included a SEK 1.72 per share divestment gain.\n* Free cash flow before M&A was SEK 4.9 (6.6) b.\n* Capital returns to shareholders were SEK 4.8 b. of share repurchases.\nComment from Per Narvinger, President and CEO: \"We delivered strong\nthird-quarter results, supported by focused execution, the strength of our\nportfolio, and the trust customers place in Ericsson. During the quarter, I\nmet with many of our customers. A consistent theme was the need for more\nintelligent and autonomous networks to improve performance, efficiency,\nrobustness and resilience. Ericsson is well positioned, and we are already\nseeing the efficiency gains from AI-enabled features in our portfolio being\ndeployed in customer networks.\n\nToday, we also announced a simplification of our operating structure that will\nstrengthen our customer focus and drive further efficiencies over time. It\nwill enable us to move faster, improve accountability and better support our\ncustomers in a changing market. Ericsson has a proud history of shaping global\nconnectivity, and I am excited to lead the company in this period of rapid\ntechnology change.\n\nLooking ahead, the RAN market is flat, geopolitical uncertainty remains\nelevated and component costs are a headwind to gross margin next year. We will\nstay close to our customers, continue to prioritize technology leadership and\ntake disciplined actions to strengthen competitiveness. Ericsson remains well\npositioned to navigate these challenges and deliver profitable long-term\ngrowth, with all segments contributing.\"\n\n SEK b.                             Q3      Q3      YoY      Q2      QoQ      Jan-Sep   Jan-Sep   YoY        \n                                    2026    2025    change   2026    change   2026      2025      change     \n                                            \n Net sales                          59.478  56.239  6 %      52.691  13 %     161.500   167.396   -4 %       \n Organic sales growth*[2]           -       -       7 %      -       -        -         -         4 %        \n Gross income                       27.990  26.777  5 %      24.122  16 %     75.411    79.963    -6 %       \n Gross margin[2]                    47.1 %  47.6 %  -        45.8 %  -        46.7 %    47.8 %    -          \n EBIT                               8.864   15.151  -41 %    5.919   50 %     16.226    27.473    -41 %      \n EBIT margin[2]                     14.9 %  26.9 %  -        11.2 %  -        10.0 %    16.4 %    -          \n EBITA[2]                           9.228   15.516  -41 %    6.277   47 %     17.292    28.931    -40 %      \n EBITA margin[2]                    15.5 %  27.6 %  -        11.9 %  -        10.7 %    17.3 %    -          \n Net income                         5.797   11.300  -49 %    4.076   42 %     10.760    20.143    -47 %      \n EPS diluted, SEK                   1.770   3.330   -47 %    1.220   45 %     3.240     5.940     -45 %      \n Free cash flow before M&A[2]       4.902   6.631   -26 %    0.385   -        11.207    11.916    -6 %       \n Net cash, end of period[2]         60.687  51.858  17 %     59.839  1 %      60.687    51.858    17 %       \n Adjusted financial measures[1][2]                                                                           \n Adjusted gross income              28.351  27.047  5 %      25.481  11 %     77.567    80.703    -4 %       \n Adjusted gross margin              47.7 %  48.1 %  -        48.4 %  -        48.0 %    48.2 %    -          \n Adjusted EBIT                      9.757   15.454  -37 %    6.520   50 %     21.488    28.713    -25 %      \n Adjusted EBIT margin               16.4 %  27.5 %  -        12.4 %  -        13.3 %    17.2 %    -          \n Adjusted EBITA                     10.121  15.819  -36 %    6.878   47 %     22.554    30.171    -25 %      \n Adjusted EBITA margin              17.0 %  28.1 %  -        13.1 %  -        14.0 %    18.0 %    -          \n\n*Sales adjusted for the impact of acquisitions and divestments and effects of\nforeign currency fluctuations.\n[1] Adjusted metrics are adjusted to exclude restructuring charges.\n[2] Non-IFRS financial measures are reconciled at the end of this report to\nthe most directly reconcilable line items in the financial statement.\n\nNOTES TO EDITORS\n\nYou find the complete report with tables in the attached PDF or\non https://www.ericsson.com/en/investors/financial-reports/interim-reports\n\nVideo webcast for analysts, investors and journalists\n\nPresident and CEO Per Narvinger and CFO Lars Sandström will comment on the\nreport and take questions at a video webcast at 9:00 AM CEST (8:00 AM BST\nLondon, 3:00 AM EDT New York).\n\nJoin the webcast\n(https://edge.prnewswire.com/c/link/?t=0&l=en&o=4798704-1&h=3134003717&u=https%3A%2F%2Fedge.media-server.com%2Fmmc%2Fp%2Fx9wm6h6u%2F&a=Join+the+webcast) or\nplease go to www.ericsson.com/investors\n\nTo ask a question: Access dial-in information here\n(https://edge.prnewswire.com/c/link/?t=0&l=en&o=4798704-1&h=503324253&u=https%3A%2F%2Fregister-conf.media-server.com%2Fregister%2FBI2ad0a8d87ec447e1a07473d562fa427d&a=Access+dial-in+information+here)\n\nThe webcast will be available on-demand after the event and can be viewed at\nwww.ericsson.com/investors.\n\nFOR FURTHER INFORMATION, PLEASE CONTACT\n\nInvestors\n\nDaniel Morris, Head of Investor Relations\nPhone: +44 7386657217\nE-mail: investor.relations@ericsson.com\n\nLena Häggblom, Director, Investor Relations\nPhone: +46 72 593 27 78\nE-mail: lena.haggblom@ericsson.com\n\nMedia\nRalf Bagner, Head of Media Relations\nPhone: +46 76 128 47 89\nE-mail: ralf.bagner@ericsson.com\n\nMedia relations \nPhone: +46 10 719 69 92\nE-mail: media.relations@ericsson.com\n\nThis is information that Telefonaktiebolaget LM Ericsson is obliged to make\npublic pursuant to the EU Market Abuse Regulation. The information was\nsubmitted for publication, through the agency of the contact person set out\nabove, at 07:00 CEST on October 15, 2026.\n\nThis information was brought to you by Cision http://news.cision.com\n\nhttps://news.cision.com/ericsson/r/ericsson-reports-third-quarter-results-2026,c4409101\n\nThe following files are available for download:\n\n https://mb.cision.com/Main/15448/4409101/4319119.pdf              Ericsson Q3 2026 ENG      \n https://mb.cision.com/Public/15448/4409101/a2ce6f0c7987fd03.xlsx  2026 Q3 Financial tables  \n\n \n\nView original\ncontent:https://www.prnewswire.com/apac/news-releases/ericsson-reports-third-quarter-results-2026-302909624.html\n\nSOURCE Ericsson\n\n\n\nCopyright (c) 2026 PR Newswire Association,LLC. All Rights Reserved.","article_body_html":"","raw_payload":{"data":{"id":"nPNAndZ8Ma-20261015","title":"Ericsson reports third quarter results 2026","author":"PR Newswire","ticker":"ERICB","created":"2026-10-15T06:15:16.092Z","tickers":["ERICB"],"exchange":"Nasdaq Stockholm","article_body":"Ericsson reports third quarter results 2026\nPR Newswire\n\nSTOCKHOLM, Oct. 15, 2026\n\nSTOCKHOLM, Oct. 15, 2026 /PRNewswire/ --\n\nStrategic highlights – executing well in a challenging environment\n* Solid customer demand in strategic markets, combined with near-term\ncommercial actions, supported organic growth of 7%*.\n* Customer wins and deployments across network modernization, differentiated\nconnectivity and mission-critical networks.\n* Driving portfolio optimization, pricing and efficiency measures to help\noffset higher component costs and to strengthen competitiveness.\nFinancial highlights – sales growth and cost discipline\n* Reported sales were SEK 59.5 (56.2) b. Organic* sales increased by 7%* YoY\nprimarily driven by higher sales in Networks. Organic* sales grew in three out\nof four market areas.\n* Adjusted [1] gross income increased to SEK 28.4 (27.0) b., driven by Mobile\nNetworks. Reported gross income was SEK 28.0 (26.8) b.\n* Adjusted [1] gross margin was 47.7% (48.1%). Networks margin increased,\nsupported by retroactive IPR revenues. Enterprise margin was lower, due to the\ndivestment of iconectiv. Cloud Software and Services margin was stable.\nReported gross margin was 47.1% (47.6%).\n* Adjusted [1] EBITA was SEK 10.1 (15.8) b. with a 17.0% (28.1%) margin.\nExcluding the prior-year period capital gain of SEK 7.6 b., adjusted EBITA\nincreased. Operating expenses decreased YoY. Reported EBITA was SEK 9.2 (15.5)\nb., with a 15.5% (27.6%) margin.\n* Net income was SEK 5.8 (11.3) b. and diluted EPS was SEK 1.77 (3.33).\nPrior-year EPS included a SEK 1.72 per share divestment gain.\n* Free cash flow before M&A was SEK 4.9 (6.6) b.\n* Capital returns to shareholders were SEK 4.8 b. of share repurchases.\nComment from Per Narvinger, President and CEO: \"We delivered strong\nthird-quarter results, supported by focused execution, the strength of our\nportfolio, and the trust customers place in Ericsson. During the quarter, I\nmet with many of our customers. A consistent theme was the need for more\nintelligent and autonomous networks to improve performance, efficiency,\nrobustness and resilience. Ericsson is well positioned, and we are already\nseeing the efficiency gains from AI-enabled features in our portfolio being\ndeployed in customer networks.\n\nToday, we also announced a simplification of our operating structure that will\nstrengthen our customer focus and drive further efficiencies over time. It\nwill enable us to move faster, improve accountability and better support our\ncustomers in a changing market. Ericsson has a proud history of shaping global\nconnectivity, and I am excited to lead the company in this period of rapid\ntechnology change.\n\nLooking ahead, the RAN market is flat, geopolitical uncertainty remains\nelevated and component costs are a headwind to gross margin next year. We will\nstay close to our customers, continue to prioritize technology leadership and\ntake disciplined actions to strengthen competitiveness. Ericsson remains well\npositioned to navigate these challenges and deliver profitable long-term\ngrowth, with all segments contributing.\"\n\n SEK b.                             Q3      Q3      YoY      Q2      QoQ      Jan-Sep   Jan-Sep   YoY        \n                                    2026    2025    change   2026    change   2026      2025      change     \n                                            \n Net sales                          59.478  56.239  6 %      52.691  13 %     161.500   167.396   -4 %       \n Organic sales growth*[2]           -       -       7 %      -       -        -         -         4 %        \n Gross income                       27.990  26.777  5 %      24.122  16 %     75.411    79.963    -6 %       \n Gross margin[2]                    47.1 %  47.6 %  -        45.8 %  -        46.7 %    47.8 %    -          \n EBIT                               8.864   15.151  -41 %    5.919   50 %     16.226    27.473    -41 %      \n EBIT margin[2]                     14.9 %  26.9 %  -        11.2 %  -        10.0 %    16.4 %    -          \n EBITA[2]                           9.228   15.516  -41 %    6.277   47 %     17.292    28.931    -40 %      \n EBITA margin[2]                    15.5 %  27.6 %  -        11.9 %  -        10.7 %    17.3 %    -          \n Net income                         5.797   11.300  -49 %    4.076   42 %     10.760    20.143    -47 %      \n EPS diluted, SEK                   1.770   3.330   -47 %    1.220   45 %     3.240     5.940     -45 %      \n Free cash flow before M&A[2]       4.902   6.631   -26 %    0.385   -        11.207    11.916    -6 %       \n Net cash, end of period[2]         60.687  51.858  17 %     59.839  1 %      60.687    51.858    17 %       \n Adjusted financial measures[1][2]                                                                           \n Adjusted gross income              28.351  27.047  5 %      25.481  11 %     77.567    80.703    -4 %       \n Adjusted gross margin              47.7 %  48.1 %  -        48.4 %  -        48.0 %    48.2 %    -          \n Adjusted EBIT                      9.757   15.454  -37 %    6.520   50 %     21.488    28.713    -25 %      \n Adjusted EBIT margin               16.4 %  27.5 %  -        12.4 %  -        13.3 %    17.2 %    -          \n Adjusted EBITA                     10.121  15.819  -36 %    6.878   47 %     22.554    30.171    -25 %      \n Adjusted EBITA margin              17.0 %  28.1 %  -        13.1 %  -        14.0 %    18.0 %    -          \n\n*Sales adjusted for the impact of acquisitions and divestments and effects of\nforeign currency fluctuations.\n[1] Adjusted metrics are adjusted to exclude restructuring charges.\n[2] Non-IFRS financial measures are reconciled at the end of this report to\nthe most directly reconcilable line items in the financial statement.\n\nNOTES TO EDITORS\n\nYou find the complete report with tables in the attached PDF or\non https://www.ericsson.com/en/investors/financial-reports/interim-reports\n\nVideo webcast for analysts, investors and journalists\n\nPresident and CEO Per Narvinger and CFO Lars Sandström will comment on the\nreport and take questions at a video webcast at 9:00 AM CEST (8:00 AM BST\nLondon, 3:00 AM EDT New York).\n\nJoin the webcast\n(https://edge.prnewswire.com/c/link/?t=0&l=en&o=4798704-1&h=3134003717&u=https%3A%2F%2Fedge.media-server.com%2Fmmc%2Fp%2Fx9wm6h6u%2F&a=Join+the+webcast) or\nplease go to www.ericsson.com/investors\n\nTo ask a question: Access dial-in information here\n(https://edge.prnewswire.com/c/link/?t=0&l=en&o=4798704-1&h=503324253&u=https%3A%2F%2Fregister-conf.media-server.com%2Fregister%2FBI2ad0a8d87ec447e1a07473d562fa427d&a=Access+dial-in+information+here)\n\nThe webcast will be available on-demand after the event and can be viewed at\nwww.ericsson.com/investors.\n\nFOR FURTHER INFORMATION, PLEASE CONTACT\n\nInvestors\n\nDaniel Morris, Head of Investor Relations\nPhone: +44 7386657217\nE-mail: investor.relations@ericsson.com\n\nLena Häggblom, Director, Investor Relations\nPhone: +46 72 593 27 78\nE-mail: lena.haggblom@ericsson.com\n\nMedia\nRalf Bagner, Head of Media Relations\nPhone: +46 76 128 47 89\nE-mail: ralf.bagner@ericsson.com\n\nMedia relations \nPhone: +46 10 719 69 92\nE-mail: media.relations@ericsson.com\n\nThis is information that Telefonaktiebolaget LM Ericsson is obliged to make\npublic pursuant to the EU Market Abuse Regulation. The information was\nsubmitted for publication, through the agency of the contact person set out\nabove, at 07:00 CEST on October 15, 2026.\n\nThis information was brought to you by Cision http://news.cision.com\n\nhttps://news.cision.com/ericsson/r/ericsson-reports-third-quarter-results-2026,c4409101\n\nThe following files are available for download:\n\n https://mb.cision.com/Main/15448/4409101/4319119.pdf              Ericsson Q3 2026 ENG      \n https://mb.cision.com/Public/15448/4409101/a2ce6f0c7987fd03.xlsx  2026 Q3 Financial tables  \n\n \n\nView original\ncontent:https://www.prnewswire.com/apac/news-releases/ericsson-reports-third-quarter-results-2026-302909624.html\n\nSOURCE Ericsson\n\n\n\nCopyright (c) 2026 PR Newswire Association,LLC. All Rights Reserved."},"type":"article","timestamp":"2026-10-15T06:15:16.133217094Z","server_sent_at_ms":1792044916133},"received_at":"2026-10-15T06:15:16.184Z","source_url":null},"analysis":{"id":"158017","press_release_id":"169795","analysis_json":{"industry":{"label":"Communications Equipment","sector":"Information Technology"},"redFlags":["net income down 49% YoY on reported basis","component costs flagged as gross-margin headwind for next year","operating structure simplification announced, execution risk ahead"],"eventType":"earnings","narrative":"Ericsson reported Q3 2026 sales of SEK 59.5 billion, up 6% reported and 7% organically, led by Networks and supported by retroactive IPR revenues.\n\nReported profitability fell sharply against an inflated prior-year base: net income dropped 49% to SEK 5.8 billion and diluted EPS to SEK 1.77, though adjusted EBITA rose once the prior-year SEK 7.6 billion capital gain is excluded.\n\nManagement announced a simplification of the operating structure and warned that a flat RAN market, geopolitical uncertainty, and higher component costs will pressure gross margin next year.\n\nCapital returns continued with SEK 4.8 billion of buybacks in the quarter and net cash of SEK 60.7 billion, up 17% YoY.","sentiment":"mixed","agentHooks":{"shouldPost":true,"suggestedAngle":"Ericsson grows sales 7% organically but headline profit halves on prior-year divestment gain; margin headwinds flagged for next year alongside a structural reorganization."},"keyFigures":{"eps":"SEK 1.77 diluted (vs SEK 3.33 prior year)","guidance":"RAN market flat; component costs a gross-margin headwind next year; no formal numeric guidance","revenueYoy":"6%","customDimensions":{"net_income":5797000000,"fcf_before_ma":4902000000,"ebita_adjusted":10121000000,"share_repurchases":"SEK 4.8 b","organic_sales_growth":"7%","ebita_margin_adjusted":"17.0%","gross_margin_adjusted":"47.7%","gross_margin_reported":"47.1%"}},"quotedText":"Looking ahead, the RAN market is flat, geopolitical uncertainty remains elevated and component costs are a headwind to gross margin next year.","namedEntities":{"people":[{"name":"Per Narvinger","role":"President and CEO"},{"name":"Lars Sandström","role":"CFO"},{"name":"Daniel Morris","role":"Head of Investor Relations"}],"products":["Networks","Cloud Software and Services","Enterprise"],"companies":[{"name":"Telefonaktiebolaget LM Ericsson","ticker":"ERICB","relationship":"filer"},{"name":"iconectiv","relationship":"divested asset"}],"dollarAmounts":[{"amount":"SEK 59.5 (56.2) b.","context":"Q3 2026 vs Q3 2025 reported sales"},{"amount":"SEK 5.8 (11.3) b.","context":"Q3 net income"},{"amount":"SEK 7.6 b.","context":"prior-year capital gain excluded from adjusted EBITA"},{"amount":"SEK 4.8 b.","context":"share repurchases in the quarter"}]},"materialImpact":{"score":4,"reasoning":"Quarterly earnings report for a mega-cap: organic sales grew 7% YoY but net income fell 49% and EPS fell 47% YoY (prior year inflated by a SEK 7.6b divestment gain). CEO also announced an operating-structure simplification and flagged component-cost headwinds to 2027 gross margin."},"tickerRelevance":{"others":[],"primary":"ERICB"},"globalImportance":55,"audienceRelevance":50,"eventTypeSecondary":["restructuring"],"importanceComponents":{"tickerTier":"mega-cap European large-cap","eventGravity":"quarterly earnings with mixed optics","sectorWeight":"telecom equipment cycle","householdBrandBoost":"moderate"}},"event_type":"earnings","event_type_secondary":["restructuring"],"sentiment":"mixed","material_impact_score":4,"narrative":"Ericsson reported Q3 2026 sales of SEK 59.5 billion, up 6% reported and 7% organically, led by Networks and supported by retroactive IPR revenues.\n\nReported profitability fell sharply against an inflated prior-year base: net income dropped 49% to SEK 5.8 billion and diluted EPS to SEK 1.77, though adjusted EBITA rose once the prior-year SEK 7.6 billion capital gain is excluded.\n\nManagement announced a simplification of the operating structure and warned that a flat RAN market, geopolitical uncertainty, and higher component costs will pressure gross margin next year.\n\nCapital returns continued with SEK 4.8 billion of buybacks in the quarter and net cash of SEK 60.7 billion, up 17% YoY.","key_figures":{"eps":"SEK 1.77 diluted (vs SEK 3.33 prior year)","guidance":"RAN market flat; component costs a gross-margin headwind next year; no formal numeric guidance","revenueYoy":"6%","customDimensions":{"net_income":5797000000,"fcf_before_ma":4902000000,"ebita_adjusted":10121000000,"share_repurchases":"SEK 4.8 b","organic_sales_growth":"7%","ebita_margin_adjusted":"17.0%","gross_margin_adjusted":"47.7%","gross_margin_reported":"47.1%"}},"named_entities":{"people":[{"name":"Per Narvinger","role":"President and CEO"},{"name":"Lars Sandström","role":"CFO"},{"name":"Daniel Morris","role":"Head of Investor Relations"}],"products":["Networks","Cloud Software and Services","Enterprise"],"companies":[{"name":"Telefonaktiebolaget LM Ericsson","ticker":"ERICB","relationship":"filer"},{"name":"iconectiv","relationship":"divested asset"}],"dollarAmounts":[{"amount":"SEK 59.5 (56.2) b.","context":"Q3 2026 vs Q3 2025 reported sales"},{"amount":"SEK 5.8 (11.3) b.","context":"Q3 net income"},{"amount":"SEK 7.6 b.","context":"prior-year capital gain excluded from adjusted EBITA"},{"amount":"SEK 4.8 b.","context":"share repurchases in the quarter"}]},"model_name":"glm-5.3-flashx","prompt_hash":"sha256:5c812bd9e28b810d","schema_hash":"sha256:05005c02d9cffac9","created_at":"2026-10-15T06:15:24.189Z","global_importance":55,"audience_relevance":50,"importance_components":{"tickerTier":"mega-cap European large-cap","eventGravity":"quarterly earnings with mixed optics","sectorWeight":"telecom equipment cycle","householdBrandBoost":"moderate"}},"durationMs":7988,"modelName":"glm-5.3-flashx"}}