Helsinki Exchange: Earnings Wrap-up (Jan 31)
The Helsinki stock index (OMXH25) fell -1.71% this week, reflecting investor caution at the peak of earnings season. The picture is mixed: while the financial and industrial sectors are showing strong efficiency in some cases, telecoms are struggling with costs and restructuring. RYTM's automated analysis helps cut through the noise and see beyond the numbers.
Results: Operating profit fell 29.6%, while revenue grew by a modest 1.5%. Reason: The sharp drop in profit was mainly due to one-off restructuring costs, which increased personnel expenses by nearly 21%. The trend of operating costs growing faster than revenue is a concern. Reaction: The stock fell -1.0% as the results and forecast fell short of expectations.
Results: Operating profit plummeted 37.3%, although revenue increased by 2.4%. Reason: Profitability was hit by a sharp rise in R&D expenses (+21%). Investors were also disappointed by the weak 2026 profit forecast, which overshadowed the new AI strategy and insider purchases. Reaction: The stock was sold off, dropping -4.2%.
Results: Reported a loss, but adjusted operating profit would have grown. Reason: The reported loss was caused by a large one-off expense (SEK 3.7 billion) related to the shutdown of its copper network. The core business remains strong and the dividend is increasing, which reassured investors. Reaction: The stock recovered from the initial shock and ended the week down just -0.3%.
Results: Operating profit returned to growth (+3.1%), but net income fell 23.7%. Reason: Profit was supported by a decrease in interest expenses, but the market is concerned about the drop in interest income (-16.1%). On the positive side, share buybacks are continuing. Reaction: The stock fell -2.6%, reflecting fears over interest margins.
Results: Operating profit jumped 55.2%, despite a 6.4% decline in revenue. Reason: The steel producer capitalized on falling raw material prices, improving efficiency. However, investors were spooked by a dividend cut and analyst warnings about the US market. Reaction: The stock dropped -4.8%, despite a share purchase by the CEO.
Results: Operating profit grew impressively by 49.5% and revenue by 26.6%. Reason: The asset manager's success was driven by a surge in fees from alternative funds and performance fees. The company managed to grow revenues faster than costs. Reaction: Star of the week – the stock rose +4.8% to a new record high.
Conclusion
This week proved that the headline profit figure can be deceiving – the details matter. One-off costs (Telia, Elisa) and future forecasts (Nokia, SSAB) determined stock movements more than the current results. Earnings season continues, and RYTM will keep a close watch to help you make the best decisions.
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