Krones further increases order intake and profitability in first half of 2026

• Krones’ customers continue to show robust willingness to invest. In the second quarter of 2026, the company increased order intake by 3.5% to €1,340.4 million (previous year: €1,294.5 million). Order intake in the first six months of 2026 thus rose by 4.5%, from €2,730.4 million in the previous year to €2,852.5 million.
• Revenue adjusted for currency translation effects increased by 1.8% in the first half-year. Reported revenue was €2,714.9 million (previous year: €2,726.5 million). Based on the book-to-bill ratio of 1.05 in the first six months, Krones expects revenue growth to accelerate in the second half of 2026.
• The EBITDA margin from January to June improved from 10.6% in the previous year to 10.8%, which is within the guidance range for the current financial year.
• Krones improved free cash flow before M&A activities by €97.2 million in the second quarter of 2026, from −€118.5 million in the previous year to −€21.3 million, and generated ROCE of 17.7% in the first half of the year (previous year: 19.0%).
• Following the positive trend in the first half-year, Krones has confirmed the guidance for the full year 2026. The company expects revenue growth of 3% to 5% adjusted for currency translation effects, an EBITDA margin of 10.7% to 11.1% and ROCE of 19% to 20%.

 
Thanks to its resilient business model, Krones continued the positive performance trend in the second quarter of 2026 despite the ongoing and further increasing macroeconomic uncertainties. After the first six months, the company has confirmed the full-year financial targets for 2026.

Order intake remains strong, rising 4.5% in first half-year

Following strong customer orders in the first quarter, Krones customers continued to show robust willingness to invest from April to June 2026. At €1,340.4 million in the second quarter, order intake exceeded the previous year’s level (€1,294.5 million) by 3.5%. Order intake in the first six months of 2026 thus rose by 4.5% to €2,852.5 million (previous year: €2,730.4 million). The positive trend reflects generally intact customer demand. Overall economic uncertainties and general cost trends are nevertheless having some impact on orders across Krones’ diverse product and customer portfolio. The company has so far been able to offset this effect thanks to its internationally balanced customer base and extensive product range.

The book-to-bill ratio – the ratio of order intake to revenue – reached 1.05 in the first half of 2026. The order backlog increased by 3.3% from January to June to €4,328.0 million (December 31, 2025: €4,190.4 million). The current order backlog means that production capacity utilisation in the lines and projects business is largely ensured for the full year 2026.

Revenue adjusted for currency translation effects grew by 1.8%

Despite the ongoing and further increasing macroeconomic challenges, Krones improved revenue in the second quarter of 2026. From April to June, revenue rose by 1.5%, from €1,316.5 million in the previous year to €1,335.8 million. Over the first six months of 2026, revenue amounted to €2,714.9 million (previous year: €2,726.5 million). It should be noted that currency translation effects negatively impacted revenue by around €60 million in the first half of 2026. Adjusted for these effects, revenue from January to June 2026 rose by 1.8% compared to the previous year. On the basis of the positive trend in order intake, Krones expects growth to accelerate in the second half-year.

Krones improves EBITDA margin to 10.8% in first half-year (previous year: 10.6%)

All of Krones’ key earnings metrics were higher in the second quarter of 2026 than in the previous year. Earnings before interest, taxes, depreciation and amortisation (EBITDA) went up from €139.2 million to €143.9 million. The EBITDA margin consequently improved from 10.6% to 10.8%. For the period April to June 2026, the company reported earnings before taxes of €99.6 million (previous year: €97.6 million) and consolidated net income of €70.4 million (€69.9 million).

EBITDA rose from €288.5 million in the previous year to €292.9 million between January and June 2026. The EBITDA margin improved from 10.6% to 10.8%. Over the 6 months, the EBITDA margin was thus within the target range of 10.7% to 11.1% for the full year 2026.

A key reason for the increase in Krones’ profitability is the implementation of strategic measures to improve the company’s performance and cost structures. Prices for Krones’ machines and lines remained stable in the first six months of 2026.

In total, Krones generated consolidated net income of €138.9 million in the first half of 2026 (previous year: €145.8 million). This equates to earnings per share of €4.39 (previous year: €4.60).

Krones significantly improves free cash flow in second quarter over previous year

In the second quarter of 2026 Krones significantly improved free cash flow adjusted for M&A activities by €97.2 million, from −€118.5 million in the previous year to −€21.3 million. Over the first six months, Krones generated free cash flow (excluding M&A activities) of
−€30.8 million (previous year: €46.7 million).

Krones continues to have a very solid financial and capital structure. Net cash, meaning cash and cash equivalents less bank debt, stood at €404.5 million at the end of June 2026 (previous year: €375.2 million).

ROCE (return on capital employed) amounted to 17.7% in the first half of 2026 (previous year: 19.0%).

Krones confirms full-year financial targets for 2026

Persistent and further growing general economic uncertainties are presenting all companies with major challenges. It is thus currently impossible to fully assess how the already prolonged conflict in Iran will unfold and how it will affect the economy in the Middle East and, by extension, the global economy. Uncertainty also surrounds global tariff policies, which could lead to a decline in world trade. Material shortages, problems in worldwide supply chains and sharply fluctuating commodity prices also remain a further source of uncertainty. All of these macroeconomic risks have an impact on some of Krones customers’ short-term investment behaviour.

Overall, based on the current expected development of the markets relevant to Krones and the positive first half-year, the company has confirmed its financial targets for 2026.

Adjusted for currency translation effects, the Executive Board expects consolidated revenue growth of 3% to 5%. On the basis of increasing operating revenue, an ongoing disciplined price strategy and continued implementation of the cost optimisation measures, Krones aims to improve profitability again this year compared to 2025. At group level for 2026, the company forecasts an EBITDA margin of 10.7% to 11.1%. For the third financial target, ROCE, Krones expects between 19% and 20% this year.

Krones has published the complete Interim Report for the first half of 2026 online at: https://www.krones.com/…