Kesko Interim report 1.1.–31.3.2026: Strong sales and profit in all divisions
Financial performance in brief:
1–3/2026
- Group net sales in January-March totalled €3,029.0 million (€2,827.7 million); reported net sales grew by 7.1% while in comparable terms, net sales grew by 4.6%
- Comparable operating profit totalled €102.0 million (€95.6 million), representing an increase of €6.5 million
- Operating profit totalled €96.6 million (€89.4 million)
- Cash flow from operating activities totalled €77.7 million (€-24.5 million)
- Comparable earnings per share €0.14 (€0.13); reported earnings per share €0.13 (€0.12)
Key performance indicators
| 1–3/2026 | 1–3/2025 | 1–12/2025 | |
| Net sales, € million | 3,029.0 | 2,827.7 | 12,474.7 |
| Operating profit, comparable, € million | 102.0 | 95.6 | 654.9 |
| Operating margin, comparable, % | 3.4 | 3.4 | 5.3 |
| Operating profit, € million | 96.6 | 89.4 | 631.3 |
| Profit before tax, comparable, € million | 69.6 | 65.1 | 533.8 |
| Profit before tax, € million | 63.7 | 60.1 | 510.3 |
| Cash flow from operating activities, € million | 77.7 | -24.5 | 879.7 |
| Capital expenditure, € million | 113.5 | 138.0 | 735.7 |
| Earnings per share, €, basic and diluted | 0.13 | 0.12 | 1.02 |
| Earnings per share, comparable, €, basic | 0.14 | 0.13 | 1.07 |
| 1–3/2026 | 1–3/2025 | 1–12/2025 | |
| Return on capital employed, comparable, %, rolling 12 months | 10.2 | 11.0 | 10.4 |
| Return on equity, comparable, %, rolling 12 months | 17.1 | 17.8 | 15.3 |
In this interim report, the comparable change % in net sales has been calculated in local currencies and excluding the impact of acquisitions and divestments completed and other structural arrangements in 2026 and 2025. The comparable operating profit has been calculated by deducting items affecting comparability from the reported operating profit.
Profit guidance and outlook for 2026
Kesko Group’s profit guidance is given for the year 2026, in comparison with the year 2025. Kesko’s operating environment is estimated to improve in 2026, but to still remain somewhat challenging. Kesko’s comparable operating profit is estimated to improve in 2026. Kesko estimates that its 2026 comparable operating profit will amount to €650–750 million. Key uncertainties impacting Kesko’s outlook are developments in consumer confidence and investment appetites, as well as geopolitical crises and tensions.
The operating environment for Kesko is estimated to improve in 2026 in all divisions and all operating countries. Kesko’s net sales and comparable operating profit are also estimated to improve in 2026 in all divisions and all operating countries.
In grocery trade, B2C trade is estimated to pick up and the foodservice business to remain stable. In 2026, the comparable operating margin for the grocery trade division is estimated to stay clearly above 6% despite the investments in price and the store site network. The comparable operating profit for the grocery trade division is estimated to improve in 2026 compared to 2025.
In building and technical trade, the cycle is expected to improve moderately in 2026 from an exceptionally low level. The comparable operating result for the building and technical trade division is estimated to improve in 2026 compared to 2025 in all Kesko operating countries.
In the car trade market, new car sales are expected to remain muted compared to long-term levels, but to nonetheless grow compared to 2025. The comparable operating profit for Kesko’s car trade division is estimated to improve in 2026 compared to 2025.
President and CEO Jorma Rauhala:
In the first quarter of 2026, Kesko’s profit improved and net sales grew in all divisions. Kesko’s Q1 net sales totalled €3,029 million. Net sales grew by 4.6% in comparable terms year-on-year. Kesko’s comparable operating profit amounted to €102 million, and grew by €6.5 million. Cash flow from operating activities grew markedly stronger thanks, in particular, to good working capital management. All three divisions showed positive development even though the market remained relatively challenging. The crisis in the Middle East does not have a significant impact on Kesko’s operations in the short term, but a prolonged situation could result in weakened consumer confidence, purchasing power and corporate investments as well as higher costs.
In the grocery trade division, our long-term strategic efforts focused on quality, price, and the store site network yielded results. For the first time since the pandemic, the division saw growth on all three fronts: net sales, profit, and market share. Net sales for the division grew by €72 million and totalled €1,558 million. The comparable operating profit for the division totalled €78.4 million, up by €5.5 million. The market share for K Group grocery stores took an upturn in the summer of 2025, and the positive trend has continued in 2026: our grocery store chains all won over market share in Q1 in their respective size segments. K Group grocery sales grew by 4.4% against a total market growth of 2.9%. Customer flows and average purchase also grew. Although price plays a significant role in the grocery trade market, demand for quality products and services has increased. Net sales for the foodservice business decreased by 0.6%, but Kespro continued to gain market share.
In the building and technical trade division, net sales grew by €114 million and totalled €1,147 million. The division’s comparable operating profit amounted to €14.5 million, up by €2.8 million. Net sales for building and home improvement trade increased by 16.9% underpinned by acquisitions, or by 3.3% in comparable terms. K-Rauta’s comparable operating profit in Finland decreased slightly, but remained at a good level. In technical trade, comparable operating result improved in all operating countries, and net sales grew. In Finland, Onninen gained market share markedly in the first quarter. Gradual recovery in the construction cycle has continued in all our operating countries.
In the car trade division, net sales totalled €331 million. Net sales grew by €17 million year-on-year, driven in particular by used car sales. The comparable operating profit totalled €16.1 million, down by €1.8 million. The division gained market share in both new and used cars, and service sales increased. The order book for new cars grew due, in particular, to interesting new models. In sports trade, sales and profit grew and market share improved.
We repeat our profit guidance and estimate that the comparable operating profit for 2026 will amount to €650–750 million. We estimate that the operating environment, net sales and profit will improve in all divisions and all operating countries in 2026.
Further information, audioconference and webcast
Further information is available from Anu Hämäläinen, Executive Vice President, Chief Financial Officer, tel. +358 105 323 713, Hanna Jaakkola, Vice President, Investor Relations, tel. +358 105 323 540, and Eva Kaukinen, Vice President, Group Controller, tel. +358 105 322 338. An English-language audio conference on the results briefing will be held on 29 April 2026 at 9.00 am (EEST). The audio conference login is available on Kesko's website at www.kesko.fi. A Finnish-language webcast of the interim report briefing can be viewed at 10.30 am (EEST) at www.kesko.fi.
Kesko's half-year financial report for January–June 2026 will be published on 22 July 2026. In addition, Kesko Group's sales figures are published monthly. News releases and other company information are available on Kesko's website at www.kesko.fi.
This is a summary of Kesko Corporation’s January-March 2026 Interim report. The complete report is attached to this release and also available at www.kesko.fi/en/investor/
