REG-Festi hf.: Financial results for Q3 2026
Key Highlights
- ➤Sales of goods and services ISK 51,147 million, up 8.6% year-on-year
- ➤EBITDA ISK 4,988 million, down 6.2% year-on-year
- ➤Profit ISK 2,309 million, down 12.9% year-on-year
- ➤2026 EBITDA guidance unchanged at ISK 16.0-16.5 billion
- ➤Acquisitions cost ISK 564 million, with up to ISK 300 million contingent consideration
Expert Statements
Ásta S. Fjeldsted, CEO of Festi
“The Group’s operating performance in the third quarter was satisfactory against a challenging external backdrop, although results varied across business units and overall earnings were below our expectations. Sales increased 8.6% year-on-year, while margin from sales declined 1.3%.”
Ásta S. Fjeldsted, CEO of Festi
“The outlook for the fourth quarter is positive. We remain focused on maintaining strong underlying operations and cost discipline, while continuing to invest in infrastructure, technology and new service offerings across the Group. All business units are expected to improve earnings, except Lyfja which remains under pressure from rising costs and fixed medicine mark-ups, which are regulated by public authorities and was last revised on 1 October 2023. Overall, the Group’s financial position remains strong and we are well positioned for growth. Our 2026 EBITDA guidance is unchanged at ISK 16.0-16.5 billion.”
Revenue growth and cost discipline amid challenging external conditions
Q3 2026 Key Operating Results * Sales of goods and services amounted to ISK 51,147 million, up 8.6% year-on-year. * Margin from sales of goods and services amounted to ISK 11,901 million, down 1.3% year-on-year. * Margin level was 23.3%, down 2.3 p.p. year-on-year, or 0.8 p.p. excluding the effects of changes in exchange rates, fuel prices and public levies on fuel. * EBITDA amounted to ISK 4,988 million, down 6.2% year-on-year. * Profit amounted to ISK 2,309 million, down 12.9% year-on-year. Return on equity was 12.2%. * Cash flow from operating activities amounted to ISK 4,839 million, down ISK 1,825 million year-on-year. * Net interest-bearing debt, including lease liabilities, amounted to ISK 39,892 million, up ISK 6,945 million from year-end 2025, primarily reflecting increased working capital requirements associated with higher fuel prices, together with investments, share buybacks and the dividend paid in the first half of the year. * Total equity amounted to ISK 48,229 million and the equity ratio was 40.2% (41.2% at year-end 2025). Share repurchases amounted to ISK 921 million during the quarter. * Acquisitions of all shares in Skjáauglýsingar ehf. and the remaining 30% stake in Local ehf. were completed for a total purchase price of ISK 564 million, net of cash acquired. Additional consideration of up to ISK 300 million is contingent on Skjáauglýsingar’s performance in 2027 and 2028. The companies are expected to generate combined annual EBITDA of approximately ISK 150 million and will be included in the Group’s consolidated accounts from 1 October 2026. Ásta S. Fjeldsted, CEO:
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