Company Reports

Hexagon's second-quarter results blew through expectations with 12% underlying organic growth and an EBITAC margin of 24.3%. Shares were up 12% intraday.

Sweden-based Hexagon is a global provider of hardware, software, and services across industries such as construction, manufacturing, oil and gas, agriculture, and mining. Its hardware includes sensors, measuring devices, and other equipment typically used in conjunction with its software products. Sensors collect data and positioning information for equipment, which is fed into software that helps manage and optimize operations. Services are typically maintenance contracts on the hardware. The company’s revenue is around 55% hardware and 45% software and services. In 2026, the company spun off its industrial design software business into a separate company, Octave, enabling it to focus on its core businesses of precision measurement and positioning.

Sweden-based Hexagon is a global provider of hardware, software, and services across industries such as construction, manufacturing, oil and gas, agriculture, and mining. Its hardware includes sensors, measuring devices, and other equipment typically used in conjunction with its software products. Sensors collect data and positioning information for equipment, which is fed into software that helps manage and optimize operations. Services are typically maintenance contracts on the hardware. The company’s revenue is around 55% hardware and 45% software and services. In 2026, the company spun off its industrial design software business into a separate company, Octave, enabling it to focus on its core businesses of precision measurement and positioning.

Hexagon's first-quarter results were broadly in line with FactSet consensus. The company announced several portfolio adjustments during the quarter, including its intention to acquire Waygate Technologies.

Sweden-based Hexagon is a global provider of hardware, software, and services across industries such as construction, manufacturing, oil and gas, agriculture, and mining. Its hardware includes sensors, measuring devices, and other equipment typically used in conjunction with its software products. Sensors collect data and positioning information for equipment, which is fed into software that helps manage and optimize operations. Services are typically maintenance contracts on the hardware. The company’s revenue is around 40% hardware, 40% software, and 20% services. In 2026, the company is planning to spin off the software business into a separate company, Octave, enabling it to focus on its core businesses of precision measurement and positioning. Hexagon generates around 80% of revenue through its direct salesforce, which we think is an advantage versus competitors that typically rely more on partners and distributors.

Sweden-based Hexagon is a global provider of hardware, software, and services across industries such as construction, manufacturing, oil and gas, agriculture, and mining. Its hardware includes sensors, measuring devices, and other equipment typically used in conjunction with its software products. Sensors collect data and positioning information for equipment, which is fed into software that helps manage and optimize operations. Services are typically maintenance contracts on the hardware. The company’s revenue is around 40% hardware, 40% software, and 20% services. In 2026, the company is planning to spin off the software business into a separate company called Octave. Hexagon generates around 80% of revenue through its direct salesforce, which we think is an advantage versus competitors that typically rely more on partners and distributors.

Hexagon's fourth-quarter results were slightly ahead of FactSet consensus. Organic growth was 3%, and the restructuring program has delivered EUR 65 million in run-rate savings so far. Shares were up 4% intraday.

Hexagon's third-quarter results were broadly in line with Infront consensus. Organic growth was 4% and cost improvements of EUR 110 million were announced. Shares closed up 6%.

Hexagon's second-quarter results slightly beat FactSet consensus, and the company announced a cost-improvement program. Shares rose 5% intraday.

Hexagon's first-quarter 2025 results were in line with FactSet consensus. This is no surprise, given key numbers were prereleased on April 11. Shares were up 1% intraday.

Hexagon announced weak March sales due to declining sensor sales in the US and China, with economic uncertainty affecting deliveries. First-quarter EBIT is expected to be down 8% versus last year and about 12% below FactSet consensus. The shares were down 9% in April 11 trading.

Sweden-based Hexagon is a global provider of hardware, software, and services across industries such as construction, manufacturing, oil and gas, agriculture, and mining. Its hardware includes sensors, measuring devices, and other equipment typically used in conjunction with its software products. Sensors collect data and positioning information for equipment, which is fed into software that helps manage and optimize operations. Services are typically maintenance contracts on the hardware. The company’s revenue is around 40% hardware, 40% software, and 20% services. Hexagon generates around 80% of revenue through its direct salesforce, which we think is an advantage versus competitors that typically rely more on partners and distributors.

Hexagon shares rose 9% as fourth-quarter 2024 EBIT beat company-compiled consensus estimates, sales growth returned, and margins remained resilient in a tough macroeconomic environment.

Hexagon missed company compiled-consensus estimates slightly for sales and EBIT in the third quarter as market conditions remain challenging. However, the shares were up around 7% intraday. We think the market is responding positively to the company's ability to maintain margins in this environment.

No-moat Hexagon reported second-quarter numbers that were broadly in line with FactSet consensus. However, management said that they expect the trading environment to remain challenging in the third quarter, particularly in the construction and automotive sectors. Consequently, the shares were down around 4% intraday. We’re maintaining our SEK 108 fair value estimate. At current levels, the shares look fairly valued.

We’re initiating coverage of Sweden-based Hexagon with a no moat rating and fair value estimate of SEK 108. Our fair value estimate implies a fiscal 2024 enterprise value/EBITDA multiple of 12.5 times and a P/E multiple of 20 times. At current levels, the shares look fairly valued.

Hexagon, based in Sweden, is a global provider of hardware, software, and services across industries such as construction, manufacturing, oil and gas, agriculture, and mining. Hardware includes sensors, measuring devices, and other equipment typically used in conjunction with its software products. Sensors collect data and positioning information for equipment, which is fed into software that helps manage and optimize operations. Services are typically maintenance contracts on the hardware. Currently, the company’s revenue is around 40% hardware, 40% software, and 20% services. Hexagon generates around 80% of revenue through its direct salesforce, which we think is an advantage versus competitors who typically rely more on partners and distributors.