Strong order intake and increased net sales - earnings affected by mix effects from a few larger shore power projects
Second quarter 2026
- Order intake increased 11.3% to EUR 49.4 million (44.4)
- Revenue increased 25.3% to EUR 44.7 million (35.7)
- EBIT amounted to EUR -2.2 million (-0.7) with an EBIT margin of -5.0% (-2.0%)
- EBIT has been adjusted for items affecting comparability of EUR 1.1 (0.34) million.
- Adjusted EBIT amounted to EUR -1.1 million (-0.4) with an adjusted EBIT margin of -2.5% (-1.1%)
- Net result for the period amounted to EUR -3.3 million (-1.5)
- Operating cash flow amounted to EUR -1.6 million (0.05)
- Earnings per share, basic and diluted, amounted to EUR -0.031 (-0.014)
January–June 2026
- Order intake increased 49.6% to EUR 109,1 million (73.0)
- Order backlog increased 24.8% to EUR 155.8 million (124.9)
- Revenue increased 4.2% to EUR 77.5 million (74.4)
- EBIT amounted to EUR -5.1 million (0.04) with an EBIT margin of -6.6% (0.1%)
- Adjusted EBIT amounted to EUR -3.9 million (0.6) with an adjusted EBIT margin of -5.1% (0.8%)
- Net result for the period amounted to EUR -7.3 million (-1.4)
- Operating cash flow amounted to EUR -1.1 million (5.4)
- Earnings per share, basic and diluted, amounted to EUR -0.068 (-0.013)
- Net debt increased to EUR -10.9 million from EUR -8.8 million at year-end 2025 and the leverage ratio increased to 2.33x from 1.23x
Key events during the second quarter
- Renewed two-year service agreement with Port of Salalah in Oman
- Order worth about EUR 1.5 million signed for shore power equipment for a cruise terminal in Southern California
- Order valued at EUR 7 million signed with a global container shipping company to retrofit vessels for shore power
- New five-year financing agreement signed with SEB
Key events after the end of the period
- Order valued at about EUR 8 million signed, covering shore power systems for newbuild container ships, operated by a leading global shipping company
Comment from the CEO
A healthy order backlog and cost-saving measures give us confidence in our ability to deliver long-term value
Demand for our products remains strong with good order intake, a record-high order backlog, and increased net sales for the quarter. However, profitability has been negatively affected by mix effects, partially caused by delayed deliveries of a few larger shore power projects with low margins. However, we are confident in the margins within the order backlog for the second half of 2026. The cost-saving measures initiated at the beginning of the year are proceeding according to plan and are set to reduce our costs by approximately EUR 3 million with full effect by early 2027.
In the first quarter of the year, we saw our customers begin placing orders again following a period of hesitation in 2025. Order intake remains strong, driven primarily by demand for shore power systems and motorised cable reels for both the marine sector and other industrial applications. Net sales have also risen sharply, fuelled by increased sales in both the Ports & Maritime and Industry segments.
Despite the strong revenue performance, I am not satisfied with the results for the quarter. Profitability has been partially affected by mix effects from a few larger shore power projects, ordered back in 2024, in Southern Europe that were delivered in the quarter with low margins. It is worthwhile remembering that Cavotec is a project-driven business with long lead times, which means that our performance can fluctuate from quarter to quarter. It is important to note that we are confident in the margins within the order backlog for the second half of 2026.
Successful cost savings
The implementation of our cost-saving measures is well underway and is set to reduce costs by a total of EUR 3 million with some impact already visible this year and with full effect by early 2027. During the first half of the year, we incurred restructuring costs of EUR 1.1 million. The measures include, among other things, optimising the organisational structure and streamlining IT and administrative systems. Measures taken during the quarter include closing the Rotterdam office and moving the remaining headquarters functions from Lugano, Switzerland, to Stockholm. We have also shifted the Group’s financing from Switzerland to Sweden by entering into a new five-year financing agreement with SEB, securing more favorable terms.
Strong demand for shore power systems
There is strong demand for shore power systems for both cruise ships and container vessels. Our shore power systems allow ships to connect to the local electricity grid while docked, helping to significantly reduce emissions and noise compared to running on-board engines. We have recently announced several major orders for shore power systems. One order, valued at approximately EUR 1.5 million, covers shore power equipment for the expansion of a cruise terminal in Southern California, USA. Having previously supplied shore power systems to this customer, we are pleased to be involved in the next phase of the cruise terminal's development. Another announced order, valued at EUR 7 million, involves retrofitting shore power systems onto existing vessels in operation for a global container shipping company. Such installations are complex and demonstrate the strength of our offering and our expertise in this field.
We have also recently announced an order worth approximately EUR 8 million for the delivery of shore power systems to newly built container vessels to be operated by a leading global shipping company. We have supplied shore power systems to this customer for over a decade, and with this order, more than 350 vessels in the customer’s fleet will be equipped with Cavotec’s shore power systems. This is a prime example of how we are growing our installed base and increasing demand for aftermarket services. During the quarter, we announced a renewed two-year service agreement with the Port of Salalah in Oman. We signed the initial agreement back in 2016 and continue to be responsible for round-the-clock service of our 32 MoorMaster vacuum mooring units.
Outlook
Our underlying markets are healthy, driven by strong market trends such as electrification, automation, and safety. We hold a record-high, healthy order backlog exceeding EUR 155 million and ongoing cost-saving measures, which give us confidence in our ability to deliver long-term value.
David Pagels
Chief Executive Officer
Webcasted presentation and telco
CEO David Pagels and CFO Joakim Wahlquist will present the interim report on Friday 24 July at 10:00 am CEST. If you wish to participate via webcast, please use the link https://cavotec.events.inderes.com/q2-report-2026. Via the webcast you may submit written questions. If you wish to participate via teleconference, please register on the link https://events.inderes.com/cavotec/q2-report-2026/dial-in. After registration you will be provided phone numbers and a conference ID to access the conference. You can ask questions verbally via the teleconference. The presentation is in English.
Interim reports on cavotec.com
The full report and previous interim and annual reports are available on https://ir.cavotec.com/financial-reports.
Next report
The third quarter report is published 6 November 2026 at 7:00 am CET.
About Cavotec
Cavotec is a leading engineering company that designs and delivers connection and electrification solutions to enable the decarbonisation of ports and industrial applications. Backed by over 50 years of experience, our systems ensure safe, efficient and sustainable operations for a wide variety of customers and applications worldwide. To find out more about Cavotec, visit cavotec.com.
This information is information that Cavotec is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons set out above, at 2026-07-24 07:00 CEST.