FLSmidth reported its sharpest quarterly margin expansion in recent memory, with adjusted EBITA margin jumping to 18.0% in Q4 from 12.1% a year earlier. The Danish mining equipment maker's exit from cement operations delivered tangible results, with order intake growing 19% organically and sales rising 4%.

The Services division drove growth with organic order increases of 14%, while the Products division swung from negative 2.6% to positive 4.2% margin aided by two large orders totaling DKK605 million. However, a DKK600 million impairment of tax assets pushed net profit to negative DKK282 million, with free cash flow negative DKK66 million.

FLSmidth maintained 2026 guidance projecting group organic revenue growth of negative 1% to positive 4%, with adjusted EBITA margin forecast at 15.5% to 16.5%. RBC Capital Markets rates the stock "Outperform" with a price target of DKK540, citing "compelling value" despite trading at a 26% discount to its wider coverage.