Sandvik AB experienced record order intake in Q2 2025, with an organic growth of 10% year-on-year, despite revenue challenges. The mining segment was a significant contributor, accounting for 55.5% of the group's total orders and reaching a record level of SEK 17.89 billion (approximately $1.87 billion). CEO Stefan Widing attributed this strong performance to robust customer investment in equipment and high demand for parts and services. Five large mining orders alone accounted for SEK 2.1 billion, including Sandvik's largest ever battery-electric vehicle (BEV) order from South32 in the USA.
However, Sandvik's CEO also noted a slower shift towards BEVs in mining than previously anticipated, stating that the "boom we saw in 2022-2023" for BEVs is unlikely to return. Despite this, the underlying demand for new and replacement equipment in the mining industry is strong enough for Sandvik to consider expanding manufacturing capacity to address a record-high order backlog and long lead times which are nearing "pain points" for customers. Sandvik's Q2 revenues for the mining segment were up 3% year-on-year, contributing 52% to the total SEK 29.7 billion.
Epiroc, another major mining equipment maker, reported a 7% decrease in orders received in Q2 2025, primarily due to a negative currency impact of 9%. Organically, orders increased by 2%. Revenues also decreased by 8%, with a 1% organic growth and a 9% negative currency impact. The company noted high customer activity within mining, with large mining equipment orders amounting to MSEK 500. Epiroc secured a significant contract with Fortescue in Australia, valued at approximately SEK 2.2 billion over five years, for fully autonomous and electric surface mining equipment, with MSEK 100 booked in Q2.
Epiroc's operating profit for the quarter was MSEK 2,831, resulting in an operating margin of 18.7%. The adjusted operating margin remained stable at 19.7%. While demand from mining customers is expected to remain high, the demand for attachments from the construction industry remained weak. Epiroc also secured a separate order worth around SEK 210 million for mining equipment, including Pit Viper 351 surface blas drill rigs, training, spare parts, and on-site technical services, for a Peruvian copper mine; deliveries are scheduled to begin in late 2026.
