Bodil Sonesson

As we summarise the past year, it is evident that this period has been 
defined by significant contrasts. In a global landscape marked by macro
economic and geopolitical uncertainty, we have seen no external tailwinds; on the contrary, we have navigated high levels of volatility that have tested the underlying strength of our organisation. Despite these challenging conditions, we have successfully executed our strategy and we take with us significant progress in both acquisitions and innovation as well as in our extensive sustainability work.

A consistent focus for 2025 has been to strengthen the parts of the business that we can control. The result of this work became particularly clear during the final quarter of the year, which was the Group’s strongest in terms of turnover. Although some parts of the organisation are still undergoing a transformation, where profitability has not yet reached our goals, we see that the efficiency measures are now building a more resilient Group. We are not yet fully satisfied with the 
full-year results, but the direction is correct and the foundation is significantly stronger than at the beginning of the year. 

Strategic acquisitions
The Group finalised two key acquisitions in 2025: Trato TLV and Capelon. Through the acquisition of Trato TLV, we have secured a strategic presence in France. The deal opens doors to new segments for healthcare equipment and gives us a leading role in lighting solutions for retail chains on the French market. Simultaneously, the acquisition of the technology company Capelon meant that the Group accelerated its position regarding smart lighting, an initiative where we are already seeing concrete results in the form of new business in Norway and Finland. That nearly one in four Swedish municipalities has also chosen to partner with us is a clear testament to the confidence in our solutions. 

Technology and innovation at the forefront 
With over a million light points controlled using Capelon’s technology, we have created a platform for future growth that extends far beyond our traditional product boundaries. This technology modernises how we manage outdoor infrastructure and provides a complete real-time overview of every light point. In parallel with this, we continue to drive development for larger indoor environments via Organic Response, ensuring comprehensive strength in the Group’s total offering. 

More than just lighting
Light and light quality are the foundation of everything we deliver, where Human Centric Lighting constitutes an important part of our work. Here, we translate advanced lighting technology into solutions that optimise human wellbeing. As experts, we know that this requires significantly more than just a physical installation. The right lighting, at the right time, in the right place is a business-critical factor for health and productivity in all environments where people spend time. Prioritised visual comfort and daylight-like properties create solutions that make a measurable difference for both businesses and individuals. This is knowledge we integrate into the next generation of lighting systems. 

Our projects shape the future
In one of Sweden’s largest infrastructure projects, Västlänken in Gothenburg, our brand, Fagerhult, has played an important role through the delivery of 1,400 custom-built luminaires to Station Centralen. With a total weight of 35 tonnes, the solution is uniquely adapted to promote a safe and sustainable environment for the travellers of the future. Furthermore, our brand WE-EF’s lighting delivery to King Salman Park in Riyadh further strengthens the Group’s international presence. The project is a model for sustainable urban development, where our lighting realises solutions for reduced climate impact and biodiversity. It is a strategically important assignment that confirms our leading position regarding large, sustainable infrastructure projects on the global market.

Sustainability as the core
For us, sustainability is not a separate track in the business; it constitutes the core of everything we do. Since the base year 2021, we have reduced our greenhouse gas emissions by approximately 50 per cent, which shows that we are making real progress towards our Science Based Targets. During the year, we have deepened our transition plan with a higher level of detail to reach net-zero by 2045. A part of this work is our strong focus on circular product development. We see this not least in the launch of Wrapped, the world’s first pendant luminaire in cardboard, and iGuzzini’s Ribeira, which is designed entirely without glue or silicone to enable full recycling. These products show that we can combine high design quality with a minimal environmental footprint while the products meet a growing demand from customers who set concrete requirements for sustainability. 

Culture, engagement and education
Our decentralised model is one of our great strengths and thanks to the employees’ drive and local expertise, real success is generated. During the year, we have been challenged, not least by the IT incident at Whitecroft. The commitment and the culture shown to quickly return to full operational capacity were very impressive. It reminds us that technical systems ultimately rest on human agency. We continue to invest in our talent with leadership training and a strong dedication to the Group’s corporate culture. The competition for competence is high. Our offering of a work place where innovation and sustainability are at the centre ensures that we continue to attract the talent of the future. 

Future outlook and confidence
Despite entering 2026 against the backdrop of unusually strong figures from the previous year, we see structural changes that create good conditions. With focused collaboration, we are now identifying the opportunities that pave the way for profitable growth. The combination of innovation and commercial drive strengthens our position with both customers and owners. Our objective is to lead the market and unite our historical expertise with new connected technology. 

In conclusion, I would like to extend a big thank you to all our employees and partners. Our collective work lays the foundation for Fagerhult Group’s continued journey. We have shown that we can deliver under pressure, and that gives me great confidence for the future.