SoFi shares rise as record revenue, member growth drive strong Q3 results
Introduction & Market Context
Scandi Standard (STO:SCST) reported its strongest quarter ever in Q3 2025, with record EBIT figures and significant growth across key segments. The company’s stock responded positively, rising 6.63% to 96.5 SEK following the October 23 announcement, reflecting investor confidence in the company’s strategic direction and operational execution.
The Nordic poultry producer continues to benefit from strong consumer trends toward chicken consumption in its core markets. According to data presented by the company, poultry consumption in the Nordics and Ireland has grown 44% from 2010-2023 and is expected to increase another 13% by 2030, representing an annual growth rate of approximately 1.7%.
As shown in the following chart highlighting the company’s overall performance trajectory and regional sales breakdown:
Quarterly Performance Highlights
Scandi Standard delivered impressive financial results for Q3 2025, with net sales increasing 11% to 3,723 MSEK compared to 3,343 MSEK in the same period last year. The company achieved its highest EBIT ever, up 21% to 185 MSEK from 153 MSEK in Q3 2024, with EBIT margin expanding to 5.0% from 4.6%.
Earnings per share rose significantly to 1.83 from 1.44 in the prior-year quarter, while return on capital employed (ROCE) improved slightly to 11.8% from 11.7%. The company maintained strong cash flow generation with a net cash flow of 97 MSEK, only slightly below the 100 MSEK reported in Q3 2024.
The following slide details these key performance metrics and highlights the company’s strategic achievements for the quarter:
Segment Analysis
The Ready-to-cook segment was the standout performer in Q3 2025, with net sales increasing 13% to 2,873 MSEK and EBIT surging to 159 MSEK from 111 MSEK in Q3 2024. This segment benefited from both volume growth (10% increase in chicken processed) and positive price/mix effects, resulting in an improved EBIT margin of 5.5% compared to 4.4% in the prior year.
The Ready-to-eat segment showed signs of an inflection point during the quarter, though its performance was more modest with EBIT of 17 MSEK compared to 44 MSEK in Q3 2024, and an EBIT margin of 2.4% versus 6.6% last year.
The detailed breakdown of financial performance by segment is illustrated in this comprehensive chart:
A closer look at the factors driving the Ready-to-cook segment’s strong performance reveals the impact of volume growth, price/mix improvements, and cost management:
Strategic Initiatives & Growth Drivers
Scandi Standard continues to make progress toward its strategic goal of increasing the value of its protein. The company measures this through EBIT per kilogram, which rose 10% year-over-year to 2.36 SEK/kg in Q3 2025 from 2.15 SEK/kg in Q3 2024. Management expressed confidence in making "a material step" toward its target of >3.00 SEK/kg in 2025 and beyond.
The company’s expansion efforts include the start-up of its first product line in the Netherlands, with preparations underway for main product lines to begin operations during H1 2026. Additionally, Lithuania is already contributing solid EBIT/kg, with integration of best practices ongoing.
The following chart illustrates the company’s progress toward its EBIT/kg target:
Scandi Standard’s growth strategy is built around three interconnected value drivers: offering responsible, safe, and nutritious products; ensuring they are convenient, versatile, and tasteful; and maintaining affordability through sustainable practices.
Market Trends & Outlook
The company continues to benefit from favorable market dynamics, with chicken consumption growing faster than other protein sources in its core markets. Chicken’s affordability compared to beef and salmon positions it well amid consumer price sensitivity.
As illustrated in the company’s market analysis, chicken prices remain competitive across low-end, average, and high-end cuts compared to other proteins:
Feed costs, a significant component of production expenses, have remained relatively stable. According to the presentation, the feed cost index for Q3 2025 was 129 (compared to an average of 100 in 2020), which is consistent with recent quarters and provides cost predictability.
Looking ahead, Scandi Standard aims for 5-7% net sales growth and an EBIT margin exceeding 6% by 2027, as mentioned in the earnings call. The company’s current performance trajectory, particularly the improvements in EBIT/kg and the strong Ready-to-cook segment results, suggests it is making steady progress toward these targets.
With chicken consumption expected to continue growing in the Nordic and Irish markets, and the company’s strategic investments in new production capabilities, Scandi Standard appears well-positioned to capitalize on these favorable trends while maintaining its focus on operational efficiency and value creation.
Full presentation:
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