Epiroc AB

Epiroc AB is a Sweden-based mining equipment specialist headquartered in Nacka, Stockholm, and listed on Nasdaq Stockholm. Carved out of Atlas Copco in 2018 with roots dating to 1873, it generated SEK 62.0 billion in 2025 revenue, employs about 19,086 people and operates manufacturing plants in Sweden, the United States, China and India with a service network covering roughly 150 countries.

Company Overview

Epiroc focuses exclusively on mining and infrastructure productivity, supplying underground and surface drilling rigs, rock excavation machinery, hydraulic attachments, and digital automation systems. Roughly 79% of its order intake comes from mining customers, with copper and gold mines dominating demand and the balance from infrastructure projects. The company manages close to 4,000 automated or semi-automated machines in active operation, placing it at the global frontier of autonomous mining technology. Its product portfolio spans battery-electric underground equipment, drill rigs for both development and production drilling, and a full range of rock tools and consumables.

Competitive Advantages

Epiroc''s aftermarket-driven model is its central moat: equipment sales account for only about 34% of revenue, while spare parts, service and consumables generate roughly 66%, supporting a 19.6% adjusted operating margin and SEK 8.64 billion in free operating cash flow during 2025. This light-asset structure keeps capital intensity low and earnings resilient through commodity cycles. The group has also pursued aggressive M&A to deepen its moat: the acquisition of Stanley Infrastructure expanded its North American hydraulic attachments business, while the early-2026 purchase of South Africa''s Eventspec extended its parts and on-site maintenance coverage. Battery-electric underground fleets and digital fleet-management platforms keep its product roadmap aligned with mining''s zero-emission transition.

Outlook & Risks

Rising copper and gold prices drove 44% organic order growth in Q1 2026, and the company booked its largest-ever underground battery-electric equipment order from a Mexican contractor in early 2026, with deliveries scheduled through 2028. However, input-cost volatility remains a headwind: a tungsten price surge in early 2026 squeezed margins in its Tools & Attachments division from 12.1% to 11.3%, triggering customer surcharges and a remanufacturing push for drill bits. Geopolitical disruptions and commodity price swings in key markets such as Indonesia and the Middle East could soften order momentum, while the group''s reliance on external suppliers for non-core components adds supply-chain exposure.

Global Presence

Epiroc''s manufacturing footprint spans plants in Sweden, the United States, China and India, with a service network covering roughly 150 countries - a structure designed for proximity to the world''s major mining regions, from the copper belts of Chile and Peru to the gold fields of West Africa and Australia''s iron ore provinces. The company''s 2018 separation from Atlas Copco created one of the most focused pure-play mining equipment businesses in the industry, and its heritage dates to 1873. Its customer relationships are among the deepest in the sector: with 79% of orders coming from mining clients and a strong aftermarket base, Epiroc''s field engineers and parts hubs are embedded in mine operations across all major commodity cycles.

Epiroc''s VerityRank Score of 88/100 reflects its best-in-class profitability, dominant aftermarket position and leadership in mine automation.