Hagar hf: Financial Statements 2025/26

Strong operating year - new procurement partnership lowers prices

The Financial Statements of Hagar hf. for the financial year 2025/26 were approved by the Company’s Board of Directors and CEO at a board meeting held on 29 April 2026. The statements cover the period from 1 March 2025 to 28 February 2026. The Annual Financial Statements include the consolidated financial statements of the Company and its subsidiaries and have been prepared in accordance with International Financial Reporting Standards (IFRS) and the applicable provisions of the Icelandic Financial Statements Act. The Company’s auditors, PricewaterhouseCoopers ehf., have audited the financial statements and issued an unmodified audit opinion.

Hagar previously published unaudited consolidated management accounts for the financial year 2025/26 and the fourth quarter on 16 April 2026. No deviations are identified in the audited financial statements from the financial information previously disclosed. Except as stated herein, reference is made to the Company’s financial results announcement dated 16 April 2026.

Key figures*

• Sales in Q4 amounted to 48,043 m.ISK (4.4% increase from Q4 2024/25). Sales in 12M amounted to 197,043 m.ISK (9.3% increase from 12M 2024/25). [Q4 2024/25: 46,037 m.ISK, 12M 2024/25: 180,342 m.ISK]
• Gross profit Q4 amounted to 12,296 m.ISK (25.6%) and 49,124 m.ISK (24.9%) for 12M. [Q4 2024/25: 11,508 m.ISK (25.0%), 12M 2024/25: 41,104 m.ISK (22.8%)]
• Earnings before interest, taxes, depreciation, and amortization (EBITDA) Q4 amounted to 4,032 m.ISK or 8.4% of sales. EBITDA 12M amounted to 18,129 m.ISK or 9.2% of sales. [Q4 2024/25: 3,857 m.ISK (8.4%), 12M 2024/25: 14,738 m.ISK (8.2%)]
• Profit for Q4 amounted to 1,981 m.ISK or 4.1% of sales. Profit for 12M amounted to 7,394 m.ISK or 3.8% of sales. [Q4 2024/25: 3,066 m.ISK (6.7%), 12M 2024/25: 7,030 m.ISK (3.9%)]
• Comprehensive income for Q4 amounted to 1,836 m.ISK and 7,741 m.ISK for 12M. [Q4 2024/25: 6,735 m.ISK, 12M 2024/25: 10,699]
• Basic earnings per share in Q4 were 1.81 ISK and 6.75 ISK for 12M. [Q4 2024/25: 2.81 ISK, 12M 2024/25: 6.47 ISK]. Diluted earnings per share in Q4 were 1.66 ISK and 5.94 ISK for 12M. [Q4 2024/25: 2.71 ISK, 12M 2024/25: 6.30 ISK]
• Equity amounted to 42,779 m.ISK at year-end and equity ratio was 37.1%. [Year end 2024/25: 38,489 m.ISK and 36.5%]
• Management‘s guidance for the financial year 2025/26 assumed that EBITDA would be in the range of 17,600-18,100 m.ISK.
• Management‘s guidance for the financial year 2026/27 assumes that EBITDA will be in the range of 18,800-19,300 m.kr.

*SMS became part of Hagar Group in Q4 2024/25 and therefore the impact is only reflected in the final quarter of previous year‘s comparative figures.

Operational highlights

• The quarter delivered strong results, with solid revenue growth and good performance across all operating segments – SMS now included in Q4 comparative figures for the first time.
• The abolition of the fuel duties at year-end impacts the Group’s revenue, but sales growth would have been around 6.4% on a like-for-like basis – gross profit in ISK remains unchanged, while the gross margin ratio increases.
• Customer visits to grocery stores in Iceland increased by 6.8% in Q4 - the number of units sold increased by 3.2%.
• Fuel volumes sold increased by 1.2% during the quarter – growth in both retail and sales to industries.
• Customer visits at SMS in the Faroe Islands increased by 2.2% during the quarter.
• Fair value changes of investment properties were negative in Q4 by ISK 189 million, compared to a positive ISK 1,042 million last year, incl. ISK 922 million due to one-off effects related to SMS operating lease properties.
• Hagar and Salling Group have entered a procurement partnership, enabling Hagar - Bónus and Hagkaup - to reduce prices on hundreds of products.
• Preparation for the new retail media unit, Hagar miðlar (e. Hagar Media), is nearing completion, with a presentation event for partners scheduled for April 17.
• Hagar’s new loyalty program, Takk, was launched on January 14 and has been very well received, with nearly 60,000 members to date.
• Construction has begun on facilities for Eldum rétt and Ferskar kjötvörur at Álfabakki 2 - lease-related expenses of ISK 133 million recognized in Q4.
• Hagar’s share of profit in Klasi amounted to ISK 828 million in Q4.  

Annual General Meeting 2026 and dividend proposal

The Annual General Meeting of Hagar hf., Reg. No. 670203-2120, will be held on Thursday, 21 May 2026 at 15:00 at Hilton Reykjavík Nordica (Vox Club), Suðurlandsbraut 2, Reykjavík.

The Board of Directors proposes that a dividend be paid to shareholders for the financial year 2025/26 corresponding to 50.0% of the Company’s profit after tax, excluding the effect of changes in value of investment property and share of profit of associates, amounting in total to ISK 3,300 million, as stated in the Company’s financial statements. The dividend amounts to ISK 3.03 per outstanding share.

Further information on the agenda of the Annual General Meeting will be available in the meeting notice to be published tomorrow, 30 April 2026.

About Hagar

Hagar is a leading retail company with diverse operations in Iceland, the Faroe Islands, and the Netherlands, primarily in the grocery and fuel markets. In Iceland, Hagar operates 40 grocery stores, 22 Olís service stations, 45 ÓB self-service stations, two warehouses, one production facility, one online store with meal kits, one supply store and one specialty store. Hagar's core business in Iceland is in the grocery and related warehouses, as well as fuel sales. In the Faroe Islands, Hagar operates the SMS company, a leading retailer in the Faroese market. SMS operates, among other things, 13 grocery stores, seven restaurants and four specialty stores. In the Netherlands, Hagar operates one online store with alcoholic beverages.

For further information, please contact Finnur Oddsson, CEO (fo@hagar.is), and Guðrún Eva Gunnarsdóttir, CFO (geg@hagar.is), by telephone 530-5500 or email.

Attachments

• 635400TICHH43JJTNP54-2026-02-28-1-is
• 635400TICHH43JJTNP54_viewer
• Hagar Financial Statements 2025/26
• Press Release - Financial Statements 2025/26