Revenue was 116.2 million euros (109.9). Revenue increased by 5.7%.
Adjusted EBITDA was 21.3 million euros (24.2), which was 18.3% (22.0) of revenue.
Adjusted EBITA was 9.8 million euros (13.3), which was 8.4% (12.1) of revenue. Profitability was burdened not only by a decline in waste management volumes but also by rising fuel prices and increased treatment fees for waste directed to incineration.
Operating profit was 8.8 million euros (12.3), which was 7.6% (11.2) of revenue.
Earnings per share¹ was 0.14 euros (0.22).
January–June 2026 performance
Revenue was 211.1 million euros (199.4). Revenue increased by 5.9%. Revenue grew in all service areas, but particularly in the hazardous waste and restoration business.
Adjusted EBITDA was 32.8 million euros (36.9), which was 15.6% (18.5) of revenue.
Adjusted EBITA was 10.1 million euros (15.9), which was 4.8% (8.0) of revenue. Profitability was burdened not only by a decline in waste management volumes but also by rising fuel prices, increased treatment fees for waste directed to incineration, and higher depreciation.
Operating profit was 8.0 million euros (15.8), which was 3.8% (7.9) of revenue.
Earnings per share¹ was 0.12 euros (0.33).
Net cash flow from operations after investments was -2.7 million euros (5.4). Accounting for one-off payments related to the partial demerger and interest payments on financial loans not included in the comparative period’s cash flow, net cash flow from operations after investments was at the previous year’s level.
On July 14, 2026, the company narrowed its outlook for 2026. Revenue for 2026 is estimated to be 420–450 million euros and adjusted EBITA 33–38 million euros.
Lassila & Tikanoja released its Q2 results today. The company had already provided preliminary figures for the second quarter in July and simultaneously lowered its full-year earnings guidance, so the main points of the report were already known to the market. Overall, the new information provided by the report is limited, and we do not believe it will lead to any significant forecast changes.
Lassila & Tikanoja Plc announced on March 19, 2026, that Eero Hautaniemi, who has served as the CEO of Lassila & Tikanoja Plc since 2019, has expressed his wish to step down from his position no later than June 30, 2027. The company’s Board of Directors has initiated a search process for a new CEO.
In the Q2 webcast, the CEO says (around 10:20) that L&T already has a good share in data center projects.
The project pipeline for data centers is significant in Finland, so L&T is getting a new pillar of support for the construction and maintenance phases.
"At the end of June, there were 128 data center projects being advanced in Finland, according to information maintained by the Confederation of Finnish Industries (Elinkeinoelämän keskusliitto).
An investment decision has been made for 28 projects, and there are 14 ongoing projects in 11 different localities."
Yesterday’s Google news about the data centers to be built in Northern Ostrobothnia and L&T’s stock exchange release on May 18 regarding the acquisition of Kempeleen Siirtokuljetus Oy and Kempeleen Jätekuljetus Oy fit together brilliantly. By acquiring the operations in Kempele (still pending approval by the Finnish Competition and Consumer Authority, KKV), L&T effectively operates on its “home turf” regarding the Muhos and Vaala projects. I don’t think it’s a coincidence that L&T has been proactive in securing sufficient size and capacity through an acquisition to get involved in the aforementioned projects. Hopefully, L&T will succeed in getting a good slice of these as well.
“With this acquisition, we are strengthening L&T’s waste management and recycling service offering in the Northern Ostrobothnia region and supporting our company’s strategic growth targets”
May 18, 2026
Another operational piece of news on September 3 is that L&T will discontinue the collection of commercial energy waste during H1/2027. In the future, companies will be required to acquire their own waste bins for recyclable packaging waste and practice more precise sorting. This particularly applies to plastic, paper, cardboard, and wood. Non-recyclable waste would henceforth go into the mixed waste bin. The background lies in the Waste Act, the upcoming Circular Economy Act, and the achievement of EU recycling targets by 2030. I don’t know how large a share of customer companies this change affects, which brought a question to mind for @Rauli_Juva: Is this tightening of recycling requirements in 2027 a positive or neutral matter for Lassila? Does L&T benefit from less waste being transported for incineration and more being taken sorted for recycling? Does this matter at all?
As a baseline, increasing recycling requirements is positive for L&T, and I would view this as such too. The weak result at the beginning of the year was partly explained precisely by the rise in fees for waste going to incineration, so the more L&T can direct to recycling and less to incineration, the more it should be a plus for L&T. However, I don’t think this particular step is a very significant matter for L&T’s result.
Reading this news, one can’t help but wonder what price level for diesel Lassila & Tikanoja had in mind when they issued their profit warning in juillet?
From the profit warning on July 14:
“The outlook is based on the assumption that the prolonged war in Iran will not significantly increase fuel prices from their current level.”
Could the current diesel price pressures therefore risk the new guidance as well?
The current level most likely meant roughly those July levels, i.e., around 2.1 euros/liter. Relative to that, there has therefore been the “significant rise” for which the company left a reservation, and thus regarding the earnings outlook, it is negative. If current prices were to continue until the end of the year, the additional rise in costs compared to the July level would be about 2 MEUR. Of this, part should certainly already be transferable to prices in Q4, so the earnings impact could be 1–1.5 MEUR.
However, the guidance range is 33–38 MEUR, so the rise in diesel seen now should not by itself drive the result below the guidance, but certainly towards the lower end. The company also stated that it expects H2 adj. EBITA to be at last year’s level, and we might fall slightly short of this as well unless the negative impact of diesel is compensated for in one way or another.
At the Annual General Meeting of Lassila & Tikanoja Oyj on April 28, 2026, it was decided that a dividend of EUR 0.42 per share will be paid in two installments based on the balance sheet adopted for the 2025 financial year, and that the Board of Directors will decide the record date and payment date for the second installment of the dividend at its meeting scheduled for September 18, 2026.
The company’s Board of Directors has decided today that the payment date for the second dividend installment of EUR 0.21 per share will be October 2, 2026, and the record date will be September 22, 2026 (originally estimated as October 1, 2026, and September 22, 2026).
In accordance with the decision of the General Meeting, the first dividend installment of EUR 0.21 per share was paid on May 8, 2026.
Here is a new company report on Lassila & Tikanoja by Rauli :)\n\n> We slightly lowered this year’s earnings forecast due to the continued rise in diesel prices throughout the fall. Even with this year’s subdued earnings, we consider the valuation attractive (e.g., P/E 10); additionally, we see the company as a very potential takeover target. We reiterate our Buy recommendation and EUR 8.3 target price.\n\nQuoted from the report:\n\n> In summary, we note that L&T’s expected return over the coming years consists of a steady dividend yield, earnings growth, and the potential for multiple expansion. The stock’s valuation is attractive by many metrics, but a stronger expansion of multiples would, in our view, require clearer visibility into revenue and earnings growth than currently seen. We also consider the company to be a very potential takeover target. If realized, an acquisition would presumably lift the valuation significantly above current levels.\n\nLassila & Tikanoja: Diesel painaa edelleen tulosta, arvostus edullinen - Inderes
Now that’s a curious blunder during a closed window period… at these price levels, you’d really want to see genuine purchases made at the right time.
The transactions were executed during Lassila & Tikanoja plc’s closed window due to an error made by the asset manager (erroneous acquisition of shares and, following the detection of the error, a corresponding sale of shares by the asset manager without consultation).
Here are Rauli’s previews ahead of L&T reporting its Q3 results on Wednesday
We expect revenue to have decreased slightly and earnings to have weakened from the comparison period due to higher fuel costs. In the report, we are paying particular attention to the outlook for the rest of the year and how the company has managed to pass on increased costs into customer prices. We expect the company to reiterate its guidance, but our forecast is at the lower end of the range.
Net sales were EUR 117.5 million (116.1). Net sales increased by 1.2%.
Adjusted EBITDA was EUR 26.6 million (27.1), which was 22.7% (23.3) of net sales
Adjusted EBITA was EUR 15.2 million (15.7), which was 12.9% (13.5) of net sales.
Third-quarter profitability was positively impacted by price increases implemented in the first half of the year, as well as cost savings achieved through the efficiency improvement program.
Profitability was weighed down by rising fuel prices and exceptional challenges in the market for processing waste directed to incineration.
Operating profit was EUR 13.9 million (14.2), which was 11.8% (12.2) of net sales.
Lassila & Tikanoja published its interim report on Wednesday morning, which overall was well in line with our expectations. The company’s revenue grew slightly, exceeding our forecast, while adjusted EBITA matched our expectations. The company reiterated its guidance for the current year, which is slightly positive, as our forecast is close to the lower end of the range. In addition, L&T announced the appointment of a new CEO, which was an expected step following the departure of the CEO announced earlier in the spring. The report does not provide grounds for significant forecast changes.
L&T’s report piqued my interest in the company a bit right now. Now, thanks to price increases, profitability has been hauled back up to last year’s level, supporting the rest of the year and thereby reducing guidance risk. At the same time, it sets good guidelines for earnings improvement throughout next year. A drop in fuel prices is a positive optionality that would nicely support next year’s profitability. Of course, there’s always room for prices to go up as well if things head in the wrong direction.
Still, Pauli already has an EPS estimate of 0.84 for next year, which gives an earnings yield of over 12.5%. Dividend yield 6–7%.
I also think that with these solid results, it’s a good starting point for the new CEO. There’s room to maneuver and revamp operational practices. On the other hand, a bad situation is also a good place to start, as it makes it easy to justify firing underperformers and shutting down unprofitable operations.
