Here are Pauli’s preview comments as Apetit releases its Q3 results on Friday, October 24
We expect the company’s result to be slightly below the record comparison period, but to still be at a good level and develop favorably compared to the difficult beginning of the year. The availability of raw material for oilseed products has improved with a good harvest, which supports the organic earnings outlook alongside other growth initiatives. The company’s recently announced acquisition in Sweden increases forecasting uncertainty, but we expect the company to provide more information about the acquisition in the near future.
Here are Pauli’s quick comments on the Q3 results.
Apetit reported its Q3 interim report this morning. The operational key figures were in line with our forecasts, although comparable profitability was slightly better than our estimate. Reported operating profit and earnings per share decreased from the comparison period, but comparable operating profit developed steadily. A weak pea harvest has partly hindered earnings development, while improved availability of oilseed raw material has started to support the result. The company maintained its 2025 earnings guidance unchanged.
Here is also a company report from Paul after Q3. Overall, Q3 was a quarter in line with our expectations. Favorable development in oilseed products led to small upward revisions in operational earnings forecasts. We expect organic earnings development to be favorable in the near future, but the operational earnings impact of the Foodhills acquisition, which will take place in Q4, is difficult to predict and likely negative, at least in the short term. We are not ready to fully rely on a potential turnaround in earnings until more concrete evidence is available. We reiterate our Reduce recommendation and a target price of 14.0 euros.
Here are Pauli’s comments on the expected completion of the Foodhills acquisition.
Thursday’s news of the completion of the Foodhills acquisition was expected. With the completion of the transaction, Apetit will be able to advance measures related to the development of the acquired target and disclose these plans to investors. For now, we view the acquisition as a risk-increasing measure, despite the low purchase price. The disclosure and implementation of plans aimed at a profitability turnaround could, if successful, gradually alleviate this uncertainty.
Pauli has published a company report following Apetit’s negative guidance.
Apetit’s organic earnings growth trend was dented when the company lowered its 2025 guidance due to, among other things, delays in seasonal production. According to the company, the impact on business is not very significant, but mainly timing-related. However, weaker earnings development lowers our perception of Food Solutions’ normalized earnings level. In addition, the acquisition of the loss-making Foodhills at the end of November keeps the earnings-based valuation multiples for the coming years elevated, as well as the uncertainty related to earnings development. We reiterate our Reduce recommendation and lower the target price to 13.5 euros (previously 14.0 €).
Wow - compared to Apetit’s exports (mainly: Finland, Sweden and Italy)
Foodhill exports 90% of its products
Nordic countries and Europe (e.g. Greece, Germany, Norway, Finland and Spain)
South, North and Central America
Asian countries such as China and Taiwan
Australia and South Africa.
Here are Pauli’s comments on Apetit’s new strategy for 2026-28
Apetit announced a new strategy for 2026-28 on Friday. The strategy is more growth-oriented than before, supported by, among other things, the company’s recent acquisition in Sweden that expanded its frozen pea business. Legumes and the BlackGrain ingredient are also a central part of the growth plans, but the investments related to these are still under planning. We interpret that profitability may be under pressure at the beginning of the strategy period, but the company aims to improve earnings towards the end of the period. The company will present its new strategy through a separate briefing on February 17, 2026.
We interviewed the management of the food company Apetit after Epiphany in January 2026. In November 2025, the company completed a significant acquisition when it purchased the Swedish frozen pea producer Foodhills. In December, Apetit, in turn, announced its new, updated strategy for the years 2026-2028.
Subheadings:
Oilseed business production to diversify
Apetit expands its production operations to Sweden
New investments are in line with the updated strategy
Operating result to decline in 2025
Summary – unlikely to be major changes to the dividend
NOTE
IR-ikkuna is a channel for SalkunRakentaja’s and Sijoittaja.fi’s corporate partners for background and analytical articles, as well as other interesting investor information. The article is part of a commercial collaboration with the company. The article does not contain investment recommendations.
Here are Pauli’s preview comments as Apetit reports its Q4 results on February 13.
The operational result will weaken from the comparison period due to, among other things, the timing shift of seasonal production across the turn of the year. Additionally, the Q4 figures are affected by, for example, a large positive one-off profit impact related to the Foodhills acquisition. We expect the company to be able to improve its adjusted operating profit during 2026, but we see a risk that Foodhills’ loss-making continues and hides part of the profit growth potential, at least in the short term. Apetit also recently published a new strategy and will present it to investors at a separate briefing on Tuesday, February 17, 2026.
Here are Pauli’s comments on the result Apetit released this morning.
Apetit reported its Q4 results this morning. The company had already issued a profit warning in December, and in light of this, Q4 proceeded in line with our forecasts. However, the guidance provided by the company for 2026 is softer than our expectations. The company attributes the declining earnings outlook to the negative earnings impact of the acquired Foodhills business, which we had already tried to account for, at least partially, in our previous forecast. Due to the guidance, the overall picture of the report turns negative.
Here are some more comprehensive comments from Pauli regarding the company’s Q4 result in the form of a company report.
The result of the Finnish operations during 2025 fell clearly short of the previous year, and the new guidance likely means that the strong level of 2024 will not be reached in the current year either. Meanwhile, the profitability of the Foodhills pea business acquired from Sweden is currently loss-making, and the first signs of a turnaround can only be assessed after the harvest season, i.e., at the end of the year. A new strategy will be presented on Tuesday, February 17 (link), which could clarify future directions.
Apetit is holding a strategy event tomorrow, which will provide more color on the company’s future plans. The new strategy period begins from a weaker starting position in terms of results compared to recent years. The focus of the strategy is more clearly on growth than in previous years, which is being sought not only domestically but also from abroad – particularly Sweden.
You can follow the strategy event via this link. It is also possible to send questions to the company through the webcast.
We wrote a summary and our own comments on the strategy in December, which can still be read here.
Here are Pauli’s comments regarding yesterday’s strategy event organized by Apetit
Apetit held a briefing on Tuesday regarding its new strategy. The strategy is a step in a more growth-oriented direction than before and includes several growth projects involving significant financial investments as well as some uncertainty regarding their success. We consider the acquisition of the Swedish pea producer Foodhills to be the most significant change in the strategy, and in our view, the briefing provided credible guidelines for strengthening the profitability of the acquired entity. In oilseed products, the company is planning investments aimed at increasing conventional production as well as accelerating the commercialization of the new rapeseed-based BlackGrain ingredient. From an investment case perspective, we see the growth projects weighing on the share price until visibility into the success of the projects improves or earnings growth lowers the company’s elevated earnings-based valuation multiples. The briefing and its presentations can be viewed at this link.
Inside Information: Apetit considers alternative models for frozen pizza production and the closure of the Pudasjärvi frozen pizza factory
Apetit is considering alternative production sites and models for its frozen pizza production in Finland and is initiating change negotiations covering the entire personnel of the Pudasjärvi frozen pizza factory.
Alternative production sites and models, including contract manufacturing, are being considered for the production of Apetit’s Pudasjärvi frozen pizza factory. If production were to be carried out through alternative arrangements, operations at the Pudasjärvi frozen pizza factory would cease and the factory would be closed.
The Pudasjärvi frozen pizza factory employs 21 permanent staff. Decisions regarding the organization of production will be made after the conclusion of the change negotiations. Currently, all of Apetit’s frozen pizzas are manufactured at the factory.
Apetit made an investment of approximately EUR 2 million in the frozen pizza factory, completed in 2022, but the factory’s investment needs for renovations and replacement investments in production equipment remain significant and clearly exceed the amount of previous investments. Sales of Apetit’s frozen pizzas have not met targets following the investment and the relaunch of the pizzas.
Change negotiations will be initiated in week 11.
As a shareholder, I have tried to support the demand for these, but it’s not enough.
I would have supported them more often myself, but since they got rid of the single-pizza packs back in the day, I’ve done so less frequently. A frozen pizza doesn’t fit in the freezer compartment.
Same here. I have always chosen Apetit products for my frozen pizzas, supporting both my own investment and employment in Pudasjärvi.
The competition in these frozen pizzas just seems to be so ruthless. Based on the empirical research I’ve done, when Apetit launched new pizzas a few years ago, they got plenty of shelf space in the freezer sections of stores. Lately, competitors have managed to seize that shelf space. In some small Alepa stores, only one Apetit pizza version is visible.
Sad news. I would have rather ditched the sugar or oil business.
Pauli has provided his comments on how Apetit is trimming its less profitable operations.
Apetit announced on Thursday that it is considering closing its frozen pizza factory in Pudasjärvi and exploring alternative models, such as contract manufacturing, for the production of frozen pizzas. We consider the winding down of low-profitability production to be a likely sensible move, as Apetit’s market share in frozen pizzas is low and the prerequisites for competitiveness are therefore weak. Discontinuing the business could have a decreasing impact on the company’s revenue but, on the other hand, a strengthening effect on profitability. At the same time, trimming operations would support investment capacity in growth areas at the core of the strategy. Furthermore, Sucros, an associate company 20% owned by Apetit, is also planning to discontinue cube and icing sugar production, among other things, to improve profitability.
