Operating Review Q3 2026

Boring Inc. Group Performance and Outlook

Prepared by Corporate Planning · 8 September 2026

Agenda

  1. 01Where we standthe quarter against plan
  2. 02The three unitsrevenue, margin, and what moved
  3. 03Cost programmewhat has landed and what has not
  4. 04Outlookthe guidance we are asking the board to confirm

Where we stand

Revenue ahead of plan, margin behind it

The quarter in four numbers

  • 184.2 M€ group revenue, up 6.1% on Q3 2025
  • 11.4% operating margin, 60 basis points below plan
  • 21.0 M€ operating profit, flat year on year
  • 94 days cash conversion cycle, four days worse than Q2

Growth is real, and it is being bought

Volume carried the quarter. Price did not: the average contract value fell 2.3% as the renewals signed in 2024 came up against a market that has three more credible vendors in it than it had then.

Margin went where the discount went. Nothing in the cost base deteriorated, which is the one piece of good news in the sentence.

Harbour

The three units

UnitRevenue Q3GrowthMargin
Industrial Services82.4 M€4.1%14.2%
Logistics61.8 M€11.7%8.9%
Facilities40.0 M€1.2%10.6%

Logistics is the story

Eleven per cent growth on a book that was shrinking two years ago, and it came from two contracts rather than from the market. Both renew in 2028.

The margin is the problem. Sub-nine per cent in a unit that plans at twelve means the growth is being delivered by subcontractors at rates negotiated when we had no alternative.

Insourcing the Turku hub is the single largest margin action available to us this year. It costs 3.2 M€ and returns it in fourteen months.

Pallets and racking in a distribution warehouse

Cost programme

Fourteen of twenty-two actions complete

What has landed

  1. Procurement consolidation4.1 M€ annualised, ahead of the 3.5 M€ target
  2. Property footprintthree sites closed, 1.8 M€, one lease still in dispute
  3. Contractor ratesrenegotiated across Industrial Services, 2.2 M€
  4. IT estateflat, and the migration slipped a quarter

What has not

Action Planned Actual Status
ERP consolidation Q2 2026 Q1 2027 Vendor resourcing
Shared service centre Q3 2026 Q4 2026 Hiring behind
Fleet renewal Q3 2026 Q3 2026 Delivered

The plan to March

Q4 2026Q1 2027Q2 2027
Turku insourcingBuildCut over
ERP consolidationMigrationStabilise
Renewals defencePricing floorPricing floor
Shared servicesHireHireLive

What we are asking the board to confirm

  1. Guidance held full-year revenue 735 M€ to 745 M€, margin 11.5% to 12.0%
  2. Turku insourcing approved 3.2 M€ capital, payback fourteen months
  3. Pricing floor no renewal below 92% of list without unit head sign-off