SSKFExecutive Cockpit

President & CEO — Enterprise 360

Growth, segment performance, operations, channels and strategic signals across the SKF Group — one company, two businesses, spin-off imminent.

AB SKF (SKF Group) · FY2025 (Jan–Dec 2025, audited anchor)
World's largest bearing maker today — clear #1 in industrial bearings
37,271 employees · 90+ sites · 130 countries
Executive read· the answer, then the moves

Net sales of SEK 91.6 bn are back to organic growth (H1 2026 +1.9%) after a currency-masked FY2025, and the re-rate hinges on revenue quality: aftermarket & services mix sits at 37% against the 40% target. Convert the SEK 4.3 bn weighted pipeline and SEK 13.1 bn of cross-sell & attach whitespace into recurring aftermarket, condition-monitoring and SIS revenue — while the Vertevo separation stays on track for Q4 2026.

5 of 8 headline metrics improving vs prior · still off target: Organic Growth (H1 2026) 1.9% vs 4.0%, Adjusted Operating Margin 12.7% vs 17.0%, Aftermarket & Services Revenue SEK 33.5 bn vs SEK 36.0 bn

Do now — ranked by urgency
  1. 1
    Close the aftermarket & services mix gap to 40%Watch
    Why it matters

    Lifting aftermarket & services mix from 37% to 40% reframes ≈ SEK 2.7 bn of revenue as recurring, cycle-dampening output — the resilience spine that re-rates the post-spin industrial pure-play.

    What's driving it
    • Aftermarket & services mix 37% vs 40% target
    • Organic growth (H1 2026) +1.9%
    FYI
    • SEK 13.1 bn of condition-monitoring attach, vehicle-aftermarket expansion and cross-sell whitespace across the channels
    • Owner: Industrial region presidents · Commercial & Operations Development
  2. 2
    Reported −7.2% is currency, not demandWatch
    Why it matters

    Quote organic for demand and reported for scale; hold tariff-compensating pricing discipline.

    What's driving it
    • Growth split
    • Signal: Alert
    FYI

    FY2025 sales fell 7.2% reported but organic was only −0.4% — currency −6.6% (USD/SEK −16.5%). H1 2026 organic already +1.9%.

  3. 3
    Convert the weighted pipeline — lead with Aerospace engine & structures multi-year awardsOpportunity
    Why it matters

    Aerospace engine & structures multi-year awards (Specialized Industrial Solutions (SIS)) carries SEK 2.2 bn at 55% — the largest single mover in the SEK 4.3 bn weighted book.

    What's driving it
    • Top pursuit SEK 2.2 bn @ 55% · Develop
    • 6 active pursuits
    FYI
    • Weighted pipeline SEK 4.3 bn
    • Signal-driven items sourced from the News / Nasdaq press & filings adapters
  4. 4
    Separation on track for Q4 2026Opportunity
    Why it matters

    Hold the window: Board listing proposal → EGM (autumn) → Lex Asea distribution → Q4 2026 listing.

    What's driving it
    • Separation readiness
    • Signal: Alert
    FYI

    Vertevo stand-alone since Jan 2026 (own board, own central costs, restated reporting); extra production-line transfers running inside the cost envelope.

Net Sales
SEK 91.6 bn
▼ 7.2% vs priorTarget SEK 93.0 bn
Organic Growth (H1 2026)
1.9%
▲ 575.0% vs priorTarget 4.0%
Adjusted Operating Margin
12.7%
▲ 3.3% vs priorTarget 17.0%
Aftermarket & Services Revenue
SEK 33.5 bn
▼ 4.0% vs priorTarget SEK 36.0 bn
Aftermarket & Services Mix
37.0%
▲ 5.7% vs priorTarget 40.0%
Book-to-Bill
1.0x
▲ 2.0% vs priorTarget 1.0x
Employees (registered)
37,271
▼ 3.8% vs priorTarget 37,000
Customer / Distributor NPS
55
▲ 10.0% vs priorTarget 60
FY2025 (Jan–Dec)

Net sales & adjusted operating profit

Monthly net sales (bars) and adjusted operating profit (line), MSEK — the reported fall is currency, not volume.

Mix

Revenue by Segment

Bearing Solutions54%
Automotive (SKF Vertevo)26%
Specialized Industrial Solutions (SIS)21%
Aftermarket & services mix 37% · target 40%
Pipeline

Growth opportunities

Weighted pursuits — signal-driven items sourced from the News / Nasdaq press & filings adapters.

OpportunitySolutionStageProb.Value
Aerospace engine & structures multi-year awardsSpecialized Industrial Solutions (SIS)Develop55%SEK 2.2 bn
signalData-centre & high-speed magnetic bearings rampSpecialized Industrial Solutions (SIS)Proposal62%SEK 1.8 bn
signalRailway high-speed & metro programs (China & India)Bearing SolutionsProposal58%SEK 1.4 bn
signalVehicle aftermarket expansion beyond Europe (Vertevo)Automotive (SKF Vertevo)Develop52%SEK 1.1 bn
signalCondition-monitoring attach — top 500 distributor accountsCondition monitoring & REP contractsQualify45%SEK 900 M
signalHumanoid robotics — Leaderdrive co-developmentBearing SolutionsQualify40%SEK 400 M
Revenue by vertical

End-market mix

Outside-in

External signals

News + Nasdaq/press filings adapter feed linked to demand, competitors (NSK–NTN), currency and the separation.

SourceSignalEntityTypeMaterialityImplication
Nasdaq/PressQ2 2026: organic +1.4%, adjusted margin 13.9% — separation on track for Q4 2026 listingAutomotive (SKF Vertevo)EarningsHigh→ margin improving through the carve-out; EGM expected autumn 2026
NewsChina industrial demand recovering — Q2 2026 organic +3.2% in China & NEAChina & Northeast AsiaDemandMedium→ region-for-region capacity captures the upturn; India & SEA +3.7%
NewsLeaderdrive partnership — precision joints & bearings for humanoid robotsBearing SolutionsPartnershipMedium→ the humanoids growth bet alongside data-centre / magnetic demand
NewsNSK and NTN agree to merge under a joint holding company — target Oct 2027NSK–NTN (competitors)M&AHigh→ would displace SKF as #1 by revenue (~24% combined share, press est.); industrial-bearings leadership holds
Nasdaq/PressAGM splits the FY2025 dividend: SEK 4.00 (April) + SEK 3.75 (October)AB SKF (Group)GovernanceMedium→ the second instalment lands just before the intended Vertevo distribution window
NewsUS tariffs largely compensated by pricing; regionalization the structural hedgeAmericasPolicyMedium→ tariff-induced pricing lifted Americas Industrial organic growth
Nasdaq/Press'SKF Vertevo' announced as the name of the Automotive spin-offAutomotive (SKF Vertevo)M&AHigh→ vertere (to turn) + evo (evolution); listing Q4 2026 pending Board proposal & EGM
NewsUSD/SEK fell ~16.5% through 2025 — FY2025 currency effect −6.6% on salesGroup (FX)MacroHigh→ organic was only −0.4%; quote organic for demand, reported (−7.2%) for scale
Segments

Segment performance

Bearing Solutions · Specialized Industrial Solutions (SIS) · Automotive (SKF Vertevo) — the restated three-segment structure, Σ SEK 91.6 bn.

Bearing Solutions
SEK 49.2 bn
1.2% organic
30%
GM
17.5%
Adj OM
51%
A&S mix

The industrial bearing core — world #1 in industrial bearings; ~17,000 distributor locations; >50% of revenue recurring aftermarket & services. Stays in AB SKF post-spin.

Automotive (SKF Vertevo)
SEK 23.6 bn
4.3% organic
20%
GM
3.8%
Adj OM
36%
A&S mix

Restated Vertevo perimeter — stand-alone inside the group since Jan 2026 (own board & central costs), Nasdaq Stockholm listing planned Q4 2026; EVs performing well, aftermarket 33% of sales.

Specialized Industrial Solutions (SIS)
SEK 18.8 bn
4.5% organic
32%
GM
11.5%
Adj OM
38%
A&S mix

Aerospace · Lubrication Lifetime Solutions · Sealing · Magnetic — the margin-expansion engine (Q2 2026 organic +8.3%); includes the BSEK 2.4 automotive-seals transfer.

Geography

Regional health

EMEA6 clusters · SEK 37.5 bn
Americas4 clusters · SEK 26.6 bn
China & Northeast Asia3 clusters · SEK 17.4 bn
India & Southeast Asia2 clusters · SEK 10.1 bn
Factories & quality

Operational excellence

Machine health, on-time delivery and quality across the factory & logistics clusters — World Class Manufacturing completed 2025.

Factory machines & channels condition-monitored (IMx / @ptitude)
12,500
Critical machine breakdowns (quarter)
9
target 0
On-Time Delivery — OTIF (distributors & OEMs)
96.2%
target 98%
Factories below OEE / energy target
5
target 0
Renewable electricity share
91%
target 100%
Capacity Utilization (factories, weighted)
84%
target 90%
Channels

Channel 360 & cross-sell whitespace

The channel book (distributors, industrial OEMs, services & performance contracts, automotive OEMs, vehicle aftermarket) with revenue, repeat rate, score and untapped attach whitespace.

ChannelTierEnd-marketRevenueAftermarket & servicesRepeatWhitespaceScoreChurn
Industrial distributors (17,000 locations)GlobalIndustrial distributionSEK 27.6 bnSEK 18.0 bn108%SEK 3.0 bn
92
Low
Industrial OEMs (machinery · aero · rail · energy)GlobalIndustrial OEMSEK 27.0 bnSEK 2.6 bn104%SEK 4.2 bn
84
Medium
Automotive OEMsGlobalAutomotive OEMSEK 17.4 bnSEK 800 M101%SEK 1.8 bn
76
Medium
Services & performance contractsNationalServices & condition monitoringSEK 11.1 bnSEK 6.5 bn112%SEK 2.5 bn
90
Low
Vehicle aftermarket distributorsNationalVehicle aftermarketSEK 8.6 bnSEK 5.6 bn107%SEK 1.6 bn
88
Low