Hagar Reports Strong Second Quarter Results
News related to:Hagar hf · 3 min read
Hagar hf, a leading Icelandic company, has released its financial results for the second quarter of the 2026/27 financial year, showing strong growth and operational highlights across its various business segments. The interim financial statements, covering the period from 1 March to 31 August 2026, were approved at a board meeting held on 15 October 2026.
Sales for the second quarter amounted to 54,683 million Icelandic krona (ISK), marking a 5.5% increase from the same period in the previous financial year. For the first six months, sales grew to 105,468 million ISK, a 5.5% increase from the first half of 2025/26. Gross profit for the second quarter was 13,514 million ISK, representing 24.7% of sales, and 26,795 million ISK for the first six months, or 25.4% of sales. These figures reflect a slight improvement over the previous year, where the second quarter saw 12,874 million ISK (24.8%) and 6M 2025/26 had 24,493 million ISK (24.5%).
Earnings before interest, taxes, depreciation, and amortization (EBITDA) for the second quarter stood at 5,666 million ISK, or 10.4% of sales, and 10,802 million ISK for the first six months, or 10.2% of sales. This is an increase from the previous year, where EBITDA for the second quarter was 5,485 million ISK (10.6%) and 6M 2025/26 had 9,531 million ISK (9.5%).
Profit for the second quarter was 2,290 million ISK, or 4.2% of sales, and 4,207 million ISK for the first six months, or 4.0% of sales. This is a slight decrease from the previous year, where Q2 2025/26 saw 2,556 million ISK (4.9%) and 6M 2025/26 had 3,721 million ISK (3.7%). Comprehensive income for the second quarter was 2,122 million ISK, and 4,133 million ISK for the first six months.
He further noted that the Group's sales in the second quarter amounted to 54.7 billion ISK, an increase of 5.5% year-on-year. EBITDA amounted to 5.7 billion ISK, and profit for the period totaled 2.3 billion ISK.
The company's performance across different segments was positive. Stores and Warehouses - Iceland, which includes Bónus and Hagkaup, saw a 5.8% increase in revenue to approximately 36.4 billion ISK, while the segment's EBITDA increased by 17.1% year-on-year. Customer visits to grocery stores increased by 3.2%, while the number of units sold rose by 1.3%. Bónus continued to deliver strong results, with increased sales, more customer visits, and higher volumes sold. Hagkaup, despite the temporary closure of the Egilsstaðir store, maintained its broad product selection and enhanced customer service.
Hagar's purchasing partnership with Salling Group has been delivering significant benefits to customers. Approximately 650 new products have been introduced to the shelves of Bónus and Hagkaup stores during the year, at prices averaging more than 15% below those of comparable products previously available. This partnership has also contributed to greater price discipline across the grocery market, which the company believes is among the factors supporting favorable developments in food prices in recent months.
In September, Hagar announced a 2% price cut on nearly 1,000 products at Bónus and Hagkaup, as part of its efforts to fight food price inflation. The company has launched two share buyback programs, with total repurchases of 1,000 million ISK, reflecting the strong operating performance and the company's capacity for further share buybacks.
Overall, Hagar's strong financial performance and operational highlights indicate a well-positioned company for continued growth and value creation for its shareholders.