Nynas AB reported stronger profitability in the first quarter of 2026, as higher margins and resilient demand helped the Swedish specialty fluids producer improve earnings and further reduce leverage despite a lower sales volume.
The company, which supplies lubricants and fluids used in electrification and infrastructure applications, posted adjusted earnings before interest, tax, depreciation and amortization of 259 million Swedish kronor (U.S.$29 million), up from 179 million kronor a year earlier. Net sales volumes declined to 286 kilotons from 296 kilotons in the first quarter of 2025.
Nynas said the quarter was marked by continued balance-sheet strengthening, with net debt to adjusted EBITDA improving to 2.9 times from 4.7 times a year earlier. Operating cash flow remained negative at minus 257 million kronor, though the outflow narrowed significantly from minus 730 million kronor in the prior-year period.
As raw material markets became more volatile, Nynas took steps to strengthen its cash position. The company increased access to short-term funding tied to customer payments and secured more flexible payment terms from suppliers to help manage rising commodity costs.
Profitability in Nynas’ naphthenics specialty products segment remained strong, supported by higher realized pricing, a normalized sales mix and stronger demand linked to supply tightness following disruptions in the Middle East.
The bitumen segment delivered what the company described as solid profitability despite lower overall volumes. The decline in sales was mainly tied to reduced side-stream sales, while core bitumen sales increased during the quarter. Nynas said market conditions in the Nordic region remained supportive, aided by stable infrastructure activity and continued demand for polymer-modified products in both the Nordics and the UK.
“Nynas has again delivered a strong quarter with increased sales in our markets delivering increased EBITDA and cash flow,” Chief Executive Officer Eric Gosse said in a statement. “At a low point of our annual cycle, we have reduced our net debt and gained access to additional liquidity. We enter well prepared and very focused into that new high price environment unleashed by the crisis in the Middle East.”