HMS Networks reported second-quarter net sales of SEK 991 million, beating the average analyst projection of SEK 976.96 million. The company's revenue for the period rose 18% compared with the same quarter last year.
Profitability metrics for the quarter included net income of SEK 155 million and earnings before interest and taxes (EBIT) of SEK 238 million. Orders received during the quarter amounted to SEK 979 million. The company also said adjusted profit after tax and earnings per share improved versus the comparable quarter a year earlier.
Management attributed the top-line expansion primarily to robust demand from the semiconductor industry. Regionally, the Asia-Pacific area delivered the strongest performance, with order intake up 35%. The Europe, Middle East and Africa region also contributed solid growth, the company noted.
HMS Networks said its gross margin benefited from several factors: a weaker Swedish Krona, a favourable product mix and diminished tariff impacts. These elements supported margin expansion even as the firm continues to navigate cost and supply dynamics across its product lines.
During the quarter the company made a minority investment in Ekkono, a Swedish artificial intelligence company. The firm highlighted the step as part of its activity during the period but did not provide financial detail beyond confirming the investment.
Looking ahead, HMS Networks expects higher prices and longer lead times for memory components in the second half of 2026. The company flagged ongoing uncertainty linked to macroeconomic conditions, geopolitical developments and global trade evolutions. While it sees medium-term growth potential, HMS Networks said it remains cautious about near-term market conditions.
Business context and implications
- Revenue and orders both rose year-on-year, supported by semiconductor sector demand.
- Asia-Pacific was the strongest regional contributor, with a 35% increase in order intake.
- Margin performance was aided by currency movements, product mix and lower tariff effects.
The results show the company capturing demand in electronics-related markets while signalling supply-chain and price risks ahead for certain components. HMS Networks emphasised medium-term opportunity but tempered near-term expectations given the cited uncertainties.