RaySearch Laboratories AB (RAY.B) Q2 2026 Earnings Report

The call reported a clearly disappointing Q2 with meaningful declines in license and hardware sales (license -18%, hardware -38%, net sales -11%) and a compressed EBIT margin (10%). However, several positive indicators offset the weakness: order intake grew 23%, backlog remains robust at SEK 1.691 billion (SEK 670 million expected to convert within 12 months), LTM organic growth was 9% with a 22% LTM EBIT margin, notable strategic wins (Dana-Farber and other U.S. orders recovered in early Q3), clinical milestones (online adaptive treatments on TrueBeam), product releases and strengthened proton expertise, improved cash flow (Q2 free cash flow SEK 50 million) and active share repurchases. Management believes a strong H2 can restore the year’s financial trajectory but execution risk remains. Overall, the positive backlog, early Q3 order recoveries and recurring revenue stability balance the quarter’s operational weaknesses and timing risks.

Management reiterated an unchanged operating margin target of at least 25% for 2026 and said it expects a strong H2 with recovery of orders slipped from Q2 (management said the Q2 slips should be recovered in Q3 and noted 9 RayStation orders in July worth ~USD 5m). Key numbers referenced alongside that guidance: Q2 net sales SEK 272m (down 11%, organic -8%), Q2 EBIT SEK 28m (10% margin) and recurring support revenue SEK 133m (49% of Q2 revenue); last 12 months net sales SEK 1.27bn (organic growth 9%) with EBIT SEK 277m (22% margin) and recurring support 41% of revenue. Order intake was up 23%, book-to-bill 1.1, order backlog SEK 1.691bn (SEK 670m expected to convert to sales in the next 12 months), free cash flow in Q2 SEK 50m, cash SEK 213m, advances from customers SEK 390m, share repurchases SEK 200m (995,558 shares, 2.9% of registered shares), and a new rolling credit facility of SEK 225m; management said achieving the margin target will require significant sales growth (aiming for double‑digit growth).