EQS-News: Q2 2026: ElringKlinger maintains st...

PRESS RELEASE

Q2 2026: ElringKlinger maintains strong momentum in profitable growth and E-Mobility ramp-ups

• Group revenue up at EUR 478.9 million in second quarter of 2026; organic growth of 18.6% significantly outpaces global vehicle production (-0.2%)
• Further improvement in profitability: adjusted EBIT increases to EUR 28.9 million (Q2 2025: EUR 24.2 million), adjusted EBIT margin rises to 6.0% (Q2 2025: 5.9%)
• Growth across all segments; E-Mobility revenue up 114% to EUR 85.4 million (Q2 2025: EUR 40.0 million), including EUR 28.1 million in one-time ramp-up effects in sales
• Transformation on track, annual guidance confirmed

ElringKlinger AG (ISIN DE0007856023 / WKN 785602) built on its dynamic performance of the preceding quarters in the second quarter of 2026. Despite a 0.2% decline in global vehicle production, based on figures from industry data provider Mobility Global (formerly S&P Global Mobility), the Group increased revenue to EUR 478.9 million (Q2 2025: EUR 408.3 million), once again significantly outperforming the market as a whole. Revenue growth was buoyed by positive currency effects of EUR 2.1 million, while it should also be noted that the prior-year quarter had included M&A effects of EUR 6.3 million arising from the divestment of the UK subsidiary hofer powertrain products UK Ltd., Solihull. Excluding currency and M&A effects, ElringKlinger recorded an organic increase in Group revenue of EUR 74.8 million, or 18.6%, in the second quarter of 2026. Growth was driven primarily by the ramp-up of E-Mobility series-production projects and one-time ramp-up effects totaling EUR 28.1 million. In the first half of 2026, organic revenue growth amounted to EUR 94.5 million, or 11.5%.

Commenting on the figures, Thomas Jessulat, CEO of the ElringKlinger Group, said, “The second-quarter results demonstrate the successful implementation of our SHAPE30 strategy. Revenue grew across all segments, while we continued to scale our E-Mobility business and strengthen profitability and cash flow. In implementing the STREAMLINE and SHAPE2EMPOWER programs, we are also enhancing our competitiveness on a lasting basis. With an adjusted EBIT margin of 6.4% in the first half, we are on track to achieve our guidance of around 6 to 7% for the 2026 financial year.”

Broad-based growth across core regions

Revenue growth was supported by all major sales markets. Revenue generated in Rest of Europe, the Group’s largest sales region, rose to EUR 170.9 million (Q2 2025: EUR 141.0 million). Germany likewise recorded a substantial increase in revenue to EUR 118.9 million (Q2 2025: EUR 94.0 million). North America saw revenue expand to EUR 86.2 million (Q2 2025: EUR 81.6 million). Revenue in the Asia-Pacific region amounted to EUR 70.7 million (Q2 2025: EUR 66.9 million). South America & Rest of the World maintained its positive momentum, increasing revenue to EUR 32.4 million (Q2 2025: EUR 24.7 million).

Growth across all segments as E-Mobility gains further importance

Revenue in the Original Equipment segment rose to EUR 339.5 million in the second quarter of 2026 (Q2 2025: EUR 276.9 million), chiefly as a result of the ongoing ramp-up of high-volume series-production projects within the field of E-Mobility. Reflecting this momentum, revenue in the E-Mobility business area surged by EUR 45.4 million, or 114%, to EUR 85.4 million (Q2 2025: EUR 40.0 million). When considering the M&A effects totaling EUR 6.3 million in the prior-year figure, growth amounted to EUR 51.7 million or 153 %. E-Mobility is thus further cementing its position as a key growth driver for the Group, now accounting for 18% of Group revenue. The Lightweight & Elastomer Technology and Sealing Solutions & Engineered Metal Components business areas also increased revenue year on year, with the latter having been formed effective May 1, 2026, through the merger of the former Metal Sealing Systems & Drivetrain Components and Metal Forming & Assembly Technology business units. The adjusted EBIT margin of the Original Equipment segment improved slightly to 1.2% (Q2 2025: 1.0%).

The other segments likewise delivered a positive performance. The Group’s Aftermarket business saw an expansion in revenue to EUR 102.3 million (Q2 2025: EUR 95.4 million), underpinned by all key sales regions. Its adjusted EBIT margin rose to 19.8% (Q2 2025: 18.7%). Against a persistently challenging economic backdrop, the Engineered Plastics segment generated revenue of EUR 36.8 million (Q2 2025: EUR 35.7 million). Supported by a diversified industry portfolio and disciplined cost management, the segment improved its adjusted EBIT margin to 11.4% (Q2 2025: 8.8%).

Improved profitability: adjusted EBIT margin of 6.4% in the first half

ElringKlinger further strengthened its earnings performance in the second quarter of 2026. Adjusted EBITDA increased by EUR 3.3 million to EUR 53.5 million (Q2 2025: EUR 50.2 million). Adjusted EBIT rose to EUR 28.9 million (Q2 2025: EUR 24.2 million), despite ramp-up losses in the E-Mobility business segment of EUR -8.1 million (Q2 2025: EUR -8.0 million or EUR -9.3 million when adjusting for M&A effects). The adjusted EBIT margin was 6.0% (Q2 2025: 5.9%) in the second quarter of 2026. In the first half of 2026, it rose to 6.4% (H1 2025: 5.4%) despite E-Mobility ramp-up losses of EUR 24.1 million (H1 2025: EUR -22.7 million or EUR -23.6 million when adjusting for M&A effects), confirming that the Group remains on track to meet its margin guidance of around 6 to 7% for 2026. Reported EBIT increased by EUR 22.4 million to EUR 28.7 million (Q2 2025: EUR 6.3 million).

Reflecting the stronger operating performance and a marked improvement in net finance cost/income, net income attributable to shareholders of ElringKlinger AG increased to EUR 11.2 million (Q2 2025: EUR -9.2 million). Accordingly, adjusted earnings per share increased by EUR 0.06 to EUR 0.18 in the quarter just ended (Q2 2025: EUR 0.12) and by EUR 0.24 to EUR 0.42 in the first half (H1 2025: EUR 0.18); on a reported basis, earnings per share rose by EUR 0.33 to EUR 0.18 in the second quarter (Q2 2025: EUR -0.15) and by EUR 0.50 to EUR 0.41 in the first half (H1 2025: EUR -0.09).

Operating free cash flow improves by EUR 28 million in second quarter

ElringKlinger generated operating free cash flow of EUR 51.9 million in the second quarter of 2026 (Q2 2025: EUR 23.8 million). The increase was driven primarily by stronger profitability and the optimization of net working capital. In the first half of 2026, operating free cash flow improved by EUR 39.0 million to EUR -57.5 million (H1 2025: EUR -96.5 million).

Net working capital stood at EUR 346.6 million as of June 30, 2026 (Jun. 30, 2025: EUR 417.4 million). The corresponding ratio declined to 20.2% of Group revenue (Jun. 30, 2025: 25.2%). This enabled the Group to scale back the amount of capital tied up despite the ramp-up of new series-production orders.

Net financial liabilities stood at EUR 374.1 million as of June 30, 2026 (Dec. 31, 2025: EUR 287.2 million), remaining broadly unchanged from the prior-year reporting date despite the continued ramp-up of series-production projects (Jun. 30, 2025: EUR 374.9 million). Compared with the end of the preceding quarter (Mar. 31, 2026: EUR 413.2 million), however, net financial liabilities were reduced noticeably. The adjusted net debt-to-EBITDA ratio declined year on year to 1.9 (Jun. 30, 2025: 2.1). At the same time, adjusted ROCE increased to 9.4% (Jun. 30, 2025: 6.7%).

Transformation remains on track

In the second quarter of 2026, ElringKlinger continued to implement its SHAPE2EMPOWER organizational program in an effort to advance the Group’s transformation – sharpening its focus on customer centricity, responsiveness, and efficiency. Alongside the STREAMLINE efficiency program initiated last year, SHAPE2EMPOWER is aimed at enhancing the Group’s operational excellence and competitiveness in the context of the SHAPE30 strategy.

Guidance confirmed

The economic environment as a whole continues to be shaped by geopolitical tensions, trade policy uncertainty, and elevated volatility. Against this challenging backdrop and amid the ramp-up of high-volume series-production orders in the field of E-Mobility, the Group has reaffirmed its guidance for the 2026 financial year. The company continues to anticipate slight organic revenue growth. The guidance with regard to the adjusted EBIT margin remains unchanged at around 6 to 7%. Operating free cash flow is expected to be slightly positive, while adjusted ROCE is forecast at around 8 to 9%. ElringKlinger has also confirmed its other guidance metrics and medium-term targets.

Key financials for the second quarter and first half of 2026

in EUR million	H1 2026	H1 2025◊	∆ abs.	∆ rel.	Q2 2026	Q2 2025◊	∆ abs.	∆ rel.
Order intake	1013.7	712.5	+101.9	+14.3 %	522.3	295.6	+226.7	+76.6 %
Order backlog	1,236.9	1,039.8	+199.8	+19.2 %	1,239.6	1,039.8	+199.8	+19.2 %
Revenue	909.0	831.4	+77.6	+9.3 %	478.9	408.3	+70.6	+17.3 %
of which FX effects			-7.6	+2.0 %			+2.1	+1.4 %
of which M&A			-9.4	-4.0 %			-6.3	-2.5 %
of which organic			+94.5	+11.5 %			+74.8	+18.6 %
Adjusted EBITDA	112.5	92.1	+20.4	+22.1 %	53.5	50.2	+3.3	+6.6 %
EBITDA	111.7	77.7	+34.0	+34.8 %	53.3	35.8	17.5	+48.9 %
Adjusted EBIT	58.0	44.8	+13.2	+29.5 %	28.9	24.2	+4.7	+19.4 %
Adjusted EBIT margin  (in %)	6.4	5.4	+1.0PP	-	6.0	5.9	+0.1PP	-
EBIT	57.1	26.3	30.8	+>100 %	28.7	6.3	+22.4	+>100 %
Net income    (after minorities)	25.9	-5.7	+31.6	->100 %	11.2	-9.2	+20.4	->100 %
Earnings per share  (in EUR)	0.41	-0.09	+0.50	->100 %	0.18	-0.15	+0.33	->100 %
Investments (in PPE)	45.2	71.3	-26.1	-36.6 %	23.9	26.3	-2.4	-9.1 %
Operating free cash flow	-57.5	-96.5	+39.0	+40.4 %	51.9	23.8	+28.1	+>100 %
Net Working Capital (NWC)	346.6	417.4	-70.8	-17.0 %
NWC ratio (in %)	20.2	25.2	-5.0 PP	-
Equity ratio (in %)	35.5	36.7	-1.2 PP	-
Net financial debt	374.1	374.9	-0.8	-0.2 %
Net Debt/EBITDA	1.9	2.1	-0.2	-
Employees (as of June 30)	8,601	8,956	-335	-4.0 %

^◊  The first-half and second-quarter 2025 figures still include the results of hofer powertrain products UK Ltd., based in Solihull, United Kingdom, which was divested effective November 30, 2025.

About ElringKlinger  

As a global development partner drawing on many years of expertise, ElringKlinger has established itself as one of the leading suppliers to the automotive industry, in addition to serving customers in the plastics engineering and other sectors. Since its inception in 1879, the technology group based in Dettingen/Erms, Germany, has been consistent in its efforts to provide innovative answers to present and future challenges. Today, ElringKlinger is actively shaping the future of sustainable mobility with the help of pioneering product and system solutions tailored to any type of drive platform, alongside sealing and shielding applications as well as lightweighting concepts. With a track record of two decades in the field of cutting-edge battery and fuel cell technology, the Group was at the forefront of establishing itself as an expert in e-mobility. Operating with a dedicated team of around 8,600 #transformationpioneers at around 40 locations worldwide and revenue of approx. EUR 1.6 billion in 2025, ElringKlinger is driving the sustainable transformation of the industry – brimming with passion, talent, and innovation.

Legal notice

This release contains forward-looking statements. These statements are based on the expectations, market assessments, and forecasts of the Management Board and the information currently available to it. These forward-looking statements shall, in particular, not be construed as guarantees of future developments and results referred to therein. Although the Management Board is of the firm opinion that the statements made and their underlying beliefs and expectations are realistic, they are based on assumptions that may prove to be incorrect. Future results and developments depend on a variety of factors, risks, and uncertainties that may lead to changes in the expectations and judgments that have been expressed. These factors include, for example, changes in general economic and business conditions, fluctuations in exchange rates and interest rates, lack of acceptance of new products and services, and changes in business strategy.

Contact:
For further information, please contact:
ElringKlinger AG
Dr. Jens Winter
Strategic Communications
Max-Eyth-Straße 2
72581 Dettingen/Erms
Germany
Phone: +49 7123 724-88335
E-mail: jens.winter@elringklinger.com