Helsinki Q4: 19 Stocks That Moved the Market
The Q4 2025 earnings season in Helsinki offered mixed signals. While the OMX Helsinki 25 index remained stable, rising by 0.77% (January 8 – March 9), there was significant divergence beneath the surface. Many companies demonstrated strong profitability, supported by cost control and price increases, while others struggled with cooling demand or one-off expenses that distorted their results.
Results: Q4 operating profit fell by 37.3%, although sales revenue grew by 2.4%. The decline in profitability accelerated compared to the previous quarter.
Reasons: The main driver of the decline was a sharp 21% increase in research and development expenses, which offset the positive impact of sales growth.
Market reaction: The stock fell 8.9% on the day of the results. However, it has since recovered strongly and is now 19.1% above its pre-earnings level, supported by a vote of confidence from a major investor.
Results: The company turned last year's €110 million loss into a €294 million profit, a 367% increase.
Reasons: The growth was driven by a surge in profitability in the Renewable Products segment. The segment's sales margin nearly doubled, reaching $479 per ton.
Market reaction: The stock initially fell 4.1% but has since rallied strongly, rising 16.5% since the release thanks to positive strategy updates.
Results: Operating profit growth remained exceptionally strong at 156.7%, although it slowed from the previous quarter's pace.
Reasons: The growth was driven by a near-doubling of sales revenue in the Defense & Security segment, supported by record orders.
Market reaction: Despite the strong results, the stock has fallen 18.8% since the announcement. This is a classic 'sell the news' reaction, as the stock had experienced a massive rally prior to the results.
Results: The company reported a net loss of SEK 1.3 billion, which is misleading. Core operating profit actually improved.
Reasons: The reported figures were distorted by a one-off expense of SEK 3.7 billion related to the write-down of old copper networks in Sweden and Finland.
Market reaction: The stock initially fell only 1.3%. After the market understood the impact of the one-off charge, the stock has rallied and is now up 28.4% since the release.
Results: Elisa's operating profit swung to a 29.5% decline, a sharp reversal from its previous stable growth.
Reasons: Similar to Telia, the decline was due to a one-off factor. Personnel costs increased by 20.9%, mainly due to extraordinary expenses related to restructuring.
Market reaction: The market looked past the one-off costs. The stock fell only 1.0% on the results day and has since risen 17.4% as investors focused on the stability of the core business.
Results: Operating profit grew by an impressive 73.5%, even as sales revenue declined by 1.6%.
Reasons: The result is an excellent example of increased efficiency. The growth was driven by successful cost-cutting, particularly in unallocated costs and the banking software segment.
Market reaction: The market rewarded the strong profitability. The stock jumped 14.0% on the results day and has managed to hold that level, now up 14.6%.
Results: The company's operating profit returned to growth, increasing by 43.1% after a weak previous quarter.
Reasons: Growth was supported by a strong 48.4% increase in private sector sales revenue. However, a one-off income of €3 million from a dispute settlement also contributed to the result.
Market reaction: The stock reacted positively, rising 5.5% on the results day. The rally has continued, and the stock is now 21.8% higher than before the results.
Results: KONE showed good resilience, accelerating its operating profit growth to 16.4% despite a slight decline in sales revenue.
Reasons: The result was driven by the profitable modernization and maintenance business, which grew by over 10%. This successfully offset the decline in new equipment sales caused by weakness in China's new construction market.
Market reaction: The stock fell 5.5% on the results day and has remained under pressure, currently down 6.1%. The market may have been deterred by the outlook for China or the company's guidance.
Results: Kalmar's operating profit growth accelerated to an impressive 54.9%, demonstrating the strength of the industrial sector.
Reasons: The growth was driven by a 10.6% increase in sales revenue in the equipment segment, combined with successful cost management. The result was also helped by a one-off expense in the previous year's comparison base.
Market reaction: The stock rose 7.2% on the results day and has continued to climb, now standing 9.3% higher than before the release.
Results: Olvi made an impressive turnaround, growing its operating profit by 72.5% after several quarters of decline.
Reasons: The profit jump was driven by successful price increases, which offset a slight decline in sales volumes. A reduction in costs also contributed, indicating improved operational efficiency.
Market reaction: The stock reacted modestly, rising only 0.5%. It has since recovered slightly and is now up 2.6%.
Results: Operating profit growth accelerated to 55.2%, despite a 6.4% decline in sales revenue.
Reasons: Similar to Tieto, this was a cost management success story. The main reason for the profit growth was a 7.0% decrease in the cost of goods sold, thanks to lower raw material prices.
Market reaction: The market focused on the sales decline rather than the profit. The stock fell 3.0% on the results day and has remained under pressure, currently down 6.7%.
Results: Operating profit growth slowed to 9.6%, but the result was affected by a one-off expense. Adjusted profit growth was nearly 18%.
Reasons: Growth was driven by a 76.7% increase in equipment sales in the Energy segment, due to good timing of deliveries. This compensated for weakness in other areas.
Market reaction: The stock fell 6.3% on the results day and has remained at a similar level. The market may have been deterred by the aftermath of a profit warning and issues in the energy storage business.
Results: Operating profit growth slowed to 7.0%, even as sales revenue grew by 10.9%.
Reasons: Growth was driven by strong equipment sales in the Minerals segment. However, operating expenses (13.9%) grew faster than revenue, putting pressure on profit margins and slowing profit growth.
Market reaction: Investors focused on the declining profitability. The stock fell 4.2% on the results day and is now down 6.7%.
Results: The growth-focused company's operating profit swung to a loss of €4.2 million.
Reasons: The main reason for the loss was a 31.5% increase in personnel costs, resulting from higher bonuses related to exceeding order targets. Strong demand led to a short-term loss.
Market reaction: The market punished the lack of profitability harshly. The stock plummeted 17.9% on the results day and has remained low, currently down 16.2%.
Results: The decline in operating profit accelerated sharply, falling by 64.6%. Sales revenue decreased by 8.3%.
Reasons: The decline was driven by two factors: one-off costs of €24.6 million and a weak market situation that reduced sales volumes and core business profitability.
Market reaction: The stock fell 2.9% on the results day and has continued to decline, now 7.9% lower. The weak result and outlook are keeping the stock under pressure.
Results: The company's operating profit turned to a decline, falling 4.4% compared to last year's profit.
Reasons: Although sales in Asia grew, it was not enough to offset a 4.0% decline in retail sales in the domestic Finnish market. Price-sensitive Finnish consumers are hampering the company's overall performance.
Market reaction: The market reacted very negatively to the weakness in the home market. The stock plunged 14.2% on the results day and is now down 16.8%.
Results: The decline in operating profit slowed but was still down 17.6%, despite a 12.6% increase in sales revenue.
Reasons: Profitability was hampered by a 30.7% increase in personnel costs and one-off expenses related to an acquisition. Investors were also concerned about future profit margins.
Market reaction: The weak profitability outlook triggered a sell-off. The stock fell 8.2% on the results day and has since declined by a total of 16.6%.
Results: After several quarters of decline, operating profit returned to a meager 0.6% growth. Sales revenue increased by 2.8%.
Reasons: Growth was mainly driven by the expansion of the acquired Dollarstore chain. However, profitability was hampered by increased material costs and integration-related expenses.
Market reaction: The market was not impressed by the turnaround, focusing on the low profitability and guidance. The stock plunged 13.8% on the results day.
Results: Operating profit grew explosively by 204.6%, a significant acceleration from the previous quarter.
Reasons: The result was driven by exceptionally strong investment income, which more than quintupled. This overshadowed weakness in the core insurance business, which was affected by large claims from storm damage.
Market reaction: Investors focused on the weak core business and modest guidance. The stock fell 3.6% on the results day and is currently down 5.2%.
Conclusion
Helsinki's Q4 earnings season was a tale of two halves. While the index remained flat, company results revealed clear trends reflecting a complex economic environment.
First, cost control was king. Many industrial and technology companies, such as Tieto and SSAB, managed to grow profits even with declining revenue, thanks to effective cost management. This shows that internal efficiency was more important than external market growth.
Second, the impact of one-off items was exceptionally large. Both positive (Sampo, Orion) and negative (Telia, Elisa, Kemira) one-off factors distorted the headline numbers for many large companies, requiring investors to conduct deeper analysis to understand the true state of the business.
Third, the cooling of demand was palpable. Weaker demand was clearly felt, especially in the consumer sector (Marimekko) and the materials industry (Kemira). This suggests that while some companies are resilient, broader economic uncertainty remains a significant factor.
Next season, investors will be watching closely to see if demand begins to recover and whether companies can maintain their profit margins as the focus shifts from cost-cutting back to generating sales growth.
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