Ahlstrom Delivers Solid Q1 2026 Performance with Record Q1 EBITDA Margin

Ahlstrom reported a strong start to 2026, delivering improved profitability, solid operating cash flow, and continued strategic progress despite ongoing global economic uncertainty.

Comparable EBITDA increased 10 percent year-over-year to EUR 118.8 million, while the comparable EBITDA margin rose to a record first-quarter level of 16.1 percent. The company also strengthened operating cash flow and continued executing strategic initiatives designed to enhance long-term competitiveness and operational efficiency.

“Our first-quarter results reflect disciplined execution, a resilient business model, and the commitment of our teams across the company,” said Helen Mets, President and CEO of Ahlstrom. “We improved across key financial metrics, while continuing to sharpen our portfolio, strengthen our execution, and reinforce the capabilities that differentiate Ahlstrom as a leading sustainable specialty materials company.”

Q1 2026 Highlights

• Net sales: EUR 737.5 million (739.4)

• Comparable EBITDA: EUR 118.8 million (107.6)

• Comparable EBITDA margin: 16.1% (14.6%)

• Operating cash flow: EUR 54.1 million (41.3)

• Comparable EBITDA margin in Core divisions: 19.0% (18.1%)

• Free cash flow: EUR 105.5 million (90.2)

At constant currency, net sales increased 5.6 percent, driven by acquisitions completed in 2025 and strong execution of the company’s opportunity pipeline.

Strategic Actions to Strengthen Competitiveness

During the quarter, Ahlstrom announced several strategic initiatives aimed at improving operational performance and long-term profitability.

These included:

• The rightsizing of the Mosinee site in the United States

• The closure of the Radcliffe facilities in the United Kingdom

• Expanded companywide waste reduction initiatives

• Continued operational excellence and footprint optimization programs

The announced restructuring actions resulted in one-time items affecting comparability totaling EUR -54.9 million during the quarter.

“Our strategic initiatives are designed to future-proof the company and strengthen our ability to create sustainable value over the long term,” Mets said.

Resilient Business Model Amid Global Uncertainty

Ahlstrom noted that the impact of geopolitical tensions and supply chain disruptions linked to the Middle East conflict has so far remained limited, demonstrating the strength of the company’s global footprint and local-for-local operating model.

The company reported stable demand in medical, life sciences, and food packaging applications, while transportation filtration and building construction markets remained softer.

Ahlstrom also highlighted continued resilience in:

• Industrial filtration

• Food and consumer packaging

• Energy-related applications

• Sustainable specialty materials markets

Portfolio and Innovation Focus

Ahlstrom continues to execute its refined strategy centered around:

• Focused portfolio management

• Sustainable-by-design innovation

• Operational excellence

The company remains focused on innovation platforms that support long-term growth, including plastic-to-paper conversion solutions in flexible food packaging and sustainable fiber-based specialty materials.

In April 2026, Ahlstrom also announced plans to consolidate global R&D activities into a new innovation hub in Pont-Évêque, France, to accelerate development of advanced sustainable materials solutions.

Financial Position

Net indebtedness at the end of the quarter amounted to EUR 2,652.9 million, primarily impacted by foreign exchange effects. The ratio of net indebtedness to pro forma adjusted EBITDA was 4.4.

At the end of March 2026:

• Cash and cash equivalents totaled EUR 165.8 million

• Available committed facilities and cash totaled EUR 353.9 million

• Capital expenditure amounted to EUR 35.0 million