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Berner Industrier (BERNER-B.ST)
Industrials · Swedish industrial distribution (serial acquirer) · FY2025
Analysis date: 2026-06-15
Price at analysis: SEK 77.70
Method: mttssn_streamlined_v1
Conviction: MEDIUM
HOLD
Conviction: MEDIUM
A decentralised Swedish industrial-distribution/agency group with own-product niches — FY2025 revenue +4% to ~SEK 1.0bn, EBITA margin ~10%, ROIC ~22%, economic profit +SEK 43m. Quality-positive but part of the FY2025 margin step is a cyclical recovery off a depressed base, and the valuation (~20.5x P/E) is moderate-to-full. HOLD; base SEK 78.
Adj. ROIC
22.0%
WACC 10% → spread +12.0pp
Economic Profit
+SEK 43M
+SEK 43M @ 10% WACC; ROIC ~22%
FCF Yield
6.2%
~6.2% FCF yield
Price / Target
SEK 78 → SEK 78
+0% base; HOLD
Revenue (LTM)
SEK 1.0B
FY2025 SEK 1.0bn (+3.9%)
EBIT Margin
9.9%
EBITA margin ~10% (off a depressed FY2024 base)
EV / IC
4.21×
Enterprise value / invested capital
Net Debt
SEK 22M
Net debt ~0.9x EBITDA incl leases
Thesis

Berner Industrier is a decentralised Swedish industrial group — value-adding distribution/agency of industrial components plus own products across niche segments. FY2025 revenue grew ~4% to ~SEK 1.0bn at a ~10% EBITA margin, with ROIC ~22% (acquisition amortization kept as a real cost; goodwill in IC) and economic profit +SEK 43m over a 10% WACC — a ~12pp spread. Leverage is low (~0.9x EBITDA incl leases).

The caution is that FY2025's margin step came off a depressed FY2024 base (EBIT +73%), so part is cyclical recovery rather than structural improvement, and the new >=15% EBITA-growth target + the Autofric/Typhonix acquisitions are unproven. At ~20.5x P/E / ~6.2% FCF yield (after a pullback from the ~SEK 104 high) it is moderate-to-fully valued. Quality-positive, watch the margin durability + M&A returns.

Valuation · reverse-DCF & scenarios

At ~20.5x P/E / EV/IC ~4.2x / ~6.2% FCF yield with ROIC ~22%, Berner is fairly-to-fully valued; the question is how much of the FY2025 margin step is durable vs cyclical.

Base SEK 78 (~current; quality at a fair price); bull SEK 95 if the 10% EBITA margin + >=15% growth target hold and M&A compounds; bear SEK 55 on an industrial downturn / margin give-back.

Market-implied growth
+19.7%
NOPAT CAGR over 5y the EV already requires
No-growth value / share
SEK 45
58% of price; rest = priced-in growth
ROIC − WACC
+12.0 pp
ROIC 22.0% vs WACC 10.0% — positive = value creation
CAP (priced-in)
6.8 yrs
years of excess returns the price implies (fades to WACC)

The market pays today’s enterprise value for roughly 19.7% NOPAT growth over 5 years. The business earns 22% on capital against a 10% cost of capital (spread +12.0 pp); the no-growth value is SEK 45/share (58% of price), so the rest is priced-in growth.

Scenario24m targetImpl. gUpsideProb.Driver
BullSEK 95≥21%+22%30%10% EBITA margin + >=15% growth target hold; M&A compounds
BaseSEK 78+20%+0%45%Quality at a fair price
BearSEK 55+7%-29%25%Industrial downturn / margin give-back
Prob-weightedSEK 77-0%100%Scenario-weighted expected value

Sensitivity — fair value / share at WACC × growth

WACC \ g0%3%5%8%10%15%
8.50%576266737790
9.25%505558646878
10.00% (base)454952576069
10.75%414547515461
11.50%384143464855

Green = fair value above the current price of SEK 77.70. The reverse-DCF conclusion is dominated by WACC and growth — see the whole surface, not a single fair value.

Method & data. NOPAT SEK 78, invested capital and ROIC 22.0% are observed (adjustments.json); WACC 10.0% and terminal g 2.5% are assumptions. EV→equity uses net debt SEK 22. The model holds ROIC constant (no fade) over the explicit horizon; the CAP figure instead fades excess returns to WACC.

⤓ Download the full model (.xlsx) — formula-driven sheets; flex the blue input cells and the model cascades in Excel.

Key drivers

1. Niche distribution + own products

Technical service + supplier relationships in niche segments.

2. M&A compounding

Decentralised serial acquisitions (Autofric/Typhonix) extend the runway.

3. Margin durability

Holding the ~10% EBITA margin would confirm structural improvement.

4. Low leverage

~0.9x EBITDA — capacity for more bolt-ons.

Key risks
Conclusion

Berner Industrier is a low-leverage, ROIC-~22% Swedish industrial-distribution compounder, but FY2025's margin step is partly cyclical and the valuation (~20.5x P/E) is moderate-to-full. HOLD; base SEK 78.

Watch whether the 10% EBITA margin + >=15% growth target hold and what the new acquisitions earn.

Footnote evidence & sources

Every adjustment traces to the cited note/page in the source filing — click to open it there. Source reports archived locally.

Adjustment / figureValueSourceWhy mttssn treats it this way
Net sales1,000Consolidated Statement of Comprehensive Income / Note 5Net sales line FY2025 = 1,000,248 thousand (prior year 962,656). Total sales incl. other operating income 1,005,147. Up 3.9% YoY.
EBIT (operating profit)98.848Consolidated Statement of Comprehensive IncomeEBIT line = 98,848 thousand (prior year 57,277). Used directly as adjusted EBIT (acquisition amortisation retained, no add-backs). Segment split (Note 4, p. 48): T&D 26,210; E&E 85,789; central -13,152.
EBITA (company APM) / acquisition-amortisation bridge100Definitions of alternative performance measuresEBITA = earnings before amortisation/impairment of intangibles arising from business combinations = 100.2 (margin 10.0%). EBITA - EBIT = 100.201 - 98.848 = 1.353 = acquisition-related intangible amortisation, which mttssn keeps as a cost.
Depreciation & amortisation (total)38.306Income statement line; Notes 13/14/15; Note 26Total D&A = 38,306 thousand. Split: intangibles amortisation 1,353 (Note 13: distribution rights 184, software 216, other acquired intangibles 953); PP&E depreciation ~5,446 (Note 14: buildings 428 + machinery 5,018); right-of-use lease depreciation 31,506 (Note 15). Cross-checked via Note 26 non-cash items (38,695 incl. minor disposal/provision items).
Net financial items-6.905Consolidated Statement of Comprehensive Income / Note 9Financial income 3,549 less financial expenses 10,454 = net financial items -6,905 (prior year -10,211; improved on lower debt). Sits below EBIT; lease interest included here, not reclassified.
Income tax / effective rate-19.688Income statement / Note 11; directors' report p. 29Income tax -19,688 on earnings before tax 91,943 = effective rate 21.4% (directors' report states 21.4% vs 21.7% prior year). Statutory 20.6% used for NOPAT per methodology.
Earnings for the period (net income)72.255Consolidated Statement of Comprehensive Income / Note 12Earnings for the period 72,255 thousand (prior year 36,860); +96%. EPS before and after dilution SEK 3.79 (1.96). All attributable to parent (no NCI).
Goodwill240Consolidated Statement of Financial Position / Note 13Goodwill 240,335 thousand at 31 Dec 2025 (prior 196,011); +44,324 driven by the Autofric business combination (+45,931 cost, less -1,607 FX). Not amortised; tested for impairment, none required (Note 13.1). Kept in invested capital.
Total intangible assets285Consolidated Statement of Financial Position / Note 13Total intangibles 284,904 = goodwill 240,335 + distribution rights 245 + trademarks 32,497 + internally generated software 211 + other intangibles 11,616. Trademarks indefinite-life, not amortised.
Total equity314Consolidated Statement of Financial Position / Statement of Changes in Equity (p. 36)Total equity attributable to Parent Company shareholders 313,841 at 31 Dec 2025 (prior 250,590): share capital 636, other contributed capital 41,875, other reserves -1,131, retained earnings 272,461. No non-controlling interests. accumulated_oci = other reserves -1,131 (translation + hedging).
Interest-bearing bank debt85Consolidated Statement of Financial Position / Note 22Borrowings from credit institutions: non-current 65,000 + current 20,000 = 85,000 thousand. Lease liabilities of 78,427 are separate and excluded from invested capital. Directors' report (p. 29) states total interest-bearing net debt incl. leases of 100.1.
Cash and cash equivalents63.323Consolidated Statement of Financial Position / Notes 17, 20Cash and cash equivalents 63,323 thousand at 31 Dec 2025 (prior 75,413). 20.0 (~2% of revenue) retained as operational cash; 43.3 treated as excess and stripped from IC.
Shares outstanding (both classes)19.069Share data / Note 121,250,000 A shares + 17,819,398 B shares = 19,069,398 total shares at 31 Dec 2025. Equal economic rights; A shares 10 votes, B shares 1 vote. Used in full for market cap with verified price SEK 77.70.
Analysis history

How the mttssn view has evolved — each prior dated note is preserved.

Quality · Buffett tenets10 / 15
Understandable business
Berner Industrier — Swedish value-adding industrial distribution/agency + own products across niche segments; decentralised, acquisitive; legible.
Durable moat
Low-to-moderate: niche supplier relationships + technical service, but distribution is competitive.
Able & honest management
Decentralised, acquisitive (Autofric/Typhonix); a new >=15% EBITA-growth target to prove.
Financial strength
Low leverage (~0.9x EBITDA incl leases); ROIC ~22%.
Margin of safety
Limited: ~20.5x P/E / ~6.2% FCF yield after a pullback; FY2025 margin step partly cyclical recovery.