Swedish mining equipment and cutting tools company Sandvik's deleveraging is faster than what we had envisaged, with funds from operations (FFO) to debt reaching 59% at end-2025, from 43% at end-2024. This is mainly due to favorable market conditions, supporting the company's EBITDA and cash generation, alongside moderate acquisition spending. Under our revised base case, we anticipate that Sandvik's strong cash flow generation will allow the group to sustain S&P Global Ratings-adjusted FFO to debt above the 50% upside threshold for the rating, despite our anticipation that the group will potentially accelerate acquisition spending. Sandvik's solid competitive position, above average EBITDA margin, and end-market diversification also support the rating. We therefore revised our outlook on Sandvik AB to positive from
