Q2/HY1 2026 results
- Q2 2026 revenue grew by 4% to EUR 63.6 million (Q2 2025: EUR 61.4 million)
- HY1 2026 revenue was EUR 128.8 million, up 4% (HY1 2025: EUR 123.4 million)
- Q2 2026 normalized EBITDA increased by 16% to EUR 11.5 million (Q2 2025: EUR 9.9 million)
- HY1 2026 normalized EBITDA grew by 18% to EUR 22.5 million (HY1 2025: EUR 19.0 million)
- HY1 2026 normalized EBITDA margin of 17.5% (HY1 2025: 15.4%), at the upper end of the target range
- HY1 2026 normalized return on invested capital increased to 26.3% (HY1 2025: 13.9%)
- Strategic update and 2027–2030 financial targets to be presented at the Capital Markets Day on 17 September 2026
Key figures1
| Reported (in EUR million) | Q2 2026 | Q2 2025 | delta | HY1 2026 | HY1 2025 | delta | |
| Revenue | 63.6 | 61.4 | 4% | 128.8 | 123.4 | 4% | |
| EBITDA | 11.1 | 9.5 | 17% | 21.9 | 18.4 | 19% | |
| EBITA | 8.0 | 6.2 | 29% | 15.8 | 12.0 | 32% | |
| Net profit from continuing operations | 4.9 | 3.6 | 36% | 9.6 | 6.5 | 48% | |
| Net profit from discontinued operations | (0.1) | 0.8 | NM4 | (0.3) | 1.1 | NM4 | |
| Net profit | 4.8 | 4.4 | 9% | 9.3 | 7.6 | 22% | |
| EBITDA as a % of revenue | 17.5% | 15.5% | 17.0% | 14.9% | |||
| EBITA as a % of revenue | 12.6% | 10.1% | 12.3% | 9.7% |
| Normalized (in EUR million)2 | Q2 2026 | Q2 2025 | delta | HY1 2026 | HY1 2025 | delta | |
| Revenue | 63.6 | 61.4 | 4% | 128.8 | 123.4 | 4% | |
| EBITDA | 11.5 | 9.9 | 16% | 22.5 | 19.0 | 18% | |
| EBITA | 8.4 | 6.6 | 27% | 16.4 | 12.6 | 30% | |
| Net profit before amortization from continuing operations | 5.9 | 4.3 | 37% | 11.1 | 7.7 | 44% | |
| Net profit before amortization from discontinued operations | - | 0.8 | NM4 | - | 1.1 | NM4 | |
| Net profit before amortization | 5.9 | 5.1 | 16% | 11.1 | 8.8 | 26% | |
| EBITDA as a % of revenue | 18.1% | 16.1% | 17.5% | 15.4% | |||
| EBITA as a % of revenue | 13.2% | 10.7% | 12.7% | 10.2% | |||
| Return on invested capital3 (12 months rolling) | 26.3% | 13.9% |
1Revenue and profit measures reflect continuing operations only, excluding the divested China and Automotive activities, which are presented under “net profit from discontinued operations".
2Results from continuing operations are normalized for costs and benefits outside the ordinary course of operations. Normalized in Q1 2026: EUR 0.2 million restructuring costs (EUR 0.1 million after tax) and for discontinued operations EUR 0.2 million related to the divestment of the Automotive business. Normalized in Q1 2025: EUR 0.2 million restructuring costs (EUR 0.1 million after tax).
3Invested capital excluding intangibles arising from acquisitions. 2025 is including discontinued operations.
4NM: not meaningful
Joep van Beurden, Kendrion CEO:
“A robust second quarter built on a solid first quarter, giving us a strong first half of 2026 in both revenue and profitability. Our EBITDA margin is at the upper end of our EBITDA target range of 15% -18%, which is clear evidence that our transformation to an industrial motion and control specialist is paying off. Both Industrial Brakes (IB) and Industrial Actuators & Controls (IAC) grew in the first half of the year, and the order book for the remainder of the year is healthy. Mobility, which we are gradually exiting, delivered an excellent six months, with further improvements in profitability and cash generation.
These results show the value of our focus on the high-value segments of robotics and automation, healthcare and medtech, energy and transmission, and industrial safety. The order book is healthy and the project pipeline is at record levels. Both IAC and IB have clear room to grow in the second half of this year and well beyond it.
A normalized EBITDA margin of 17.5% and a return on invested capital of 26.3% mean we have met or exceeded our 2027 financial targets ahead of schedule. At our Capital Markets Day on 17 September 2026, we will set out our strategy and financial targets for 2027–2030, together with insight into our project pipeline and product development.
Macroeconomic risks such as inflationary pressures and geopolitical uncertainty persist, but our markets of focus are structural growth markets. We are confident in delivering continuing profitable growth in the second half of 2026 and beyond.”
Progress on strategy
Kendrion sits at the center of a profound shift in how industrial machines are designed, built, and operated. AI and automation are pushing systems toward greater autonomy but while AI can design, compute and optimize, it cannot generate movement. That is where we see our opportunity. As customers expand across robotics and automation, healthcare and medical technology, and energy and transmission infrastructure, and integrated safety systems, they need motion solutions that combine functional safety, precision and long-term reliability. These are Kendrion's strengths.
We are focusing the portfolio on high-value applications where our expertise in valves, actuators, brakes and motion control is decisive. These include intelligent actuators for dynamic, precisely controlled movement; compact braking systems that make collaborative robots safe; and motion control for machines that navigate and correct their own movement in real time.
The order book is healthy, and the project pipeline is at record levels. We remain disciplined in allocating resources and direct investment toward opportunities that offer attractive growth and profitability. Every opportunity must meet three criteria. First, financial attractiveness: expected annual revenue growth of more than 10% and a fully costed EBITDA margin of more than 20%. Second, competitive differentiation, supported by intellectual property, regulatory positioning, or proprietary Kendrion expertise. Third, mission-critical relevance: our solution is essential to the customer's application, the cost of failure is high, and Kendrion’s content represents a small share of the total system cost. This approach concentrates innovation on opportunities where Kendrion can create sustainable value and build long-term customer relationships. We will provide more detail on product innovation and the project pipeline at our Capital Markets Day.
Financial review
Revenue
Q2 2026
Group revenue for the second quarter of 2026 was EUR 63.6 million, 4% above the same period last year (Q2 2025: EUR 61.4 million). Currency translation did not have a material effect on revenue in Q2.
IB revenue rose 8% to EUR 25.1 million (Q2 2025: EUR 23.2 million), driven by broad-based growth in robotics and automation and the conversion of new projects into revenue. IAC revenue was 2% lower at EUR 28.1 million (Q2 2025: EUR 28.6 million). Market demand continued to grow but was offset by customer-specific volumes at a limited number of accounts rather than underlying market conditions. However, IAC’s order intake and the project pipeline support growth.
Mobility revenue increased by 8% to EUR 10.4 million (Q2 2025: EUR 9.6 million), as the ramp-up of newer projects and strong call-offs more than offset the effect of phasing-out programs.
HY1 2026
Group revenue for the first six months of 2026 increased by 4% to EUR 128.8 million (HY1 2025: EUR 123.4 million), with all business units contributing. At constant exchange rates, revenue increased by 5%.
IB revenue rose by 8% to EUR 51.5 million (HY1 2025: EUR 47.5 million), driven by sustained demand in Automation & Robotics and an encouraging ramp-up in medical robotics applications. For the first half, IAC revenue was 1% higher at EUR 56.4 million (HY1 2025: EUR 55.8 million). The pattern was consistent with the second quarter: broad-based growth across IAC's markets was partly offset by order volume at a limited number of accounts. Order intake and the project pipeline point to continuing growth.
Mobility revenue increased by 4% to EUR 20.9 million (HY1 2025: EUR 20.1 million), as the ramp-up of newer projects more than offset phasing-out programs.
Results
Q2 2026
Normalized EBITDA was EUR 11.5 million, up 16% on the same period last year (Q2 2025: EUR 9.9 million), representing 18.1% of revenue compared with 16.1%, an increase of 2.0 percentage points.
The added value margin was 57.2%, a slight 0.1 percentage point decrease from the previous year as the sales mix offset positive pricing effects. Staff costs decreased by EUR 0.6 million, driven by the cost savings initiated last year after the divestment of the business in China. Other operating expenses increased by EUR 1.0 million, but this was largely offset by higher other operating income, leading to a net increase of EUR 0.1 million. Depreciation was EUR 3.1 million (Q2 2025: EUR 3.3 million), resulting in normalized EBITA of EUR 8.4 million (Q2 2025: EUR 6.6 million), up 27%.
Restructuring costs of EUR 0.4 million relating to staff reductions were normalized in the quarter.
HY1 2026
Normalized EBITDA for the Group increased by 18% to EUR 22.5 million (HY1 2025: EUR 19.0 million), driven by positive pricing and higher volumes. Other operating expenses were EUR 2.0 million higher, primarily reflecting costs previously borne by the China business, which was sold in the fourth quarter of 2025. This was largely offset by EUR 0.8 million in lower staff costs and EUR 0.9 million in higher other operating income.
Depreciation charges were EUR 6.1 million (HY1 2025: EUR 6.4 million), resulting in a normalized EBITA of EUR 16.4 million, up 30% (HY1 2025: EUR 12.6 million).
Industrial delivered a further margin improvement, with the margin increasing by 1.2 percentage points to 16.1% (HY1 2025: 14.9%), reflecting pricing, cost control and volume growth. Mobility's margin increased to 24.9% (HY1 2025: 17.9%), reflecting execution of the segment's cash generation strategy and a EUR 1.3 million contractual milestone payment under the cooperation agreement recognized in the first half. The agreement has made the segment's cost base largely variable, supporting continued cash generation as volumes gradually decline.
Net finance charges were EUR 1.5 million, down from EUR 1.8 million in HY1 2025, as a result of lower average debt levels. Corporate income tax charges on normalized income were EUR 3.3 million (HY1 2025: EUR 2.6 million), resulting in an effective tax rate of 24.3% (HY1 2025: 27.4%). Normalized net profit before amortization charges arising from acquisitions was EUR 11.1 million from continuing operations, up 44% from EUR 7.7 million in HY1 2025.
Operating costs of EUR 0.6 million relating to restructuring charges were normalized in HY1 2026. The net result from discontinued operations was a loss of EUR 0.3 million, primarily related to the settlement of a claim by a legacy automotive customer. The amount settled exceeded the provision previously recorded. The matter is now closed
Financial Position
At the end of Q2 2026, total net debt was EUR 48.1 million, up EUR 7.2 million from Q1, due to the dividend payment during the quarter. Despite this increase, the leverage ratio was 1.2, compared with 2.4 at the end of the second quarter last year.
Free cash flow in the second quarter amounted to EUR 3.6 million, bringing the year-to-date total to EUR 0.6 million, down from EUR 0.9 million in the first half of 2025. The year-to-date figure reflects the usual seasonal build-up of working capital in the first months of the year, as well as the timing of corporate tax payments. Normalized free cash flow amounted to EUR 4.0 million, excluding payments against previously recognized provisions for restructuring and a tax audit settlement relating to 2022.
Kendrion reached an agreement on key terms for a EUR 70 million revolving credit facility to refinance its existing loan facility, which is due to expire in April 2027. The refinancing is expected to be completed in the second half of 2026.
Number of employees
At the end of the second quarter of this year, Kendrion employed 1,238 FTE, 80 fewer than in Q2 2025 on a like-for-like basis. The workforce comprised 686 direct FTE and 552 indirect FTE.
Outlook
Macroeconomic visibility remains limited, and geopolitical and trade uncertainty persists. Against this backdrop, Kendrion expects its strong performance to continue, supported by a healthy order book and a strong project pipeline.
Over the longer term, Kendrion is well positioned to benefit from structural growth the high-value segments of robotics and automation, healthcare and medtech, energy and transmission, and industrial safety. As industrial systems become smarter and more autonomous, the need for safe, precise and reliable motion solutions is increasing. We see these trends as important drivers of sustainable and profitable growth for Kendrion in the years ahead.
Kendrion will share its strategic plans and updated financial targets during its Capital Markets Day on 17 September 2026.
Analysts' meeting and audio webcast
Kendrion CEO Joep van Beurden and CFO Jeroen Hemmen will present the Q2 and HY1 2026 results to the analyst community today at 11:00 a.m. CEST. The audio webcast will be available for viewing on thewebsite. A recording will be available from 2:00 p.m. CEST on www.kendrion.com.
Capital Markets Day
Kendrion will hold a Capital Markets Day for analysts, investors, and shareholders on Thursday, 17 September 2026 at 2:00 p.m. CEST in Amsterdam. During this event, Kendrion’s strategic and financial ambitions will be presented.
Profile of Kendrion N.V.
Kendrion develops, manufactures, and markets high-quality electromagnetic systems and components for a broad range of industrial applications. For more than a century, we have engineered precision parts for the world's leading innovators in industrial technology. As a leading technology pioneer, Kendrion invents, designs, and manufactures complex components and customized systems, including local solutions on demand.
We are committed to the engineering challenges of tomorrow, with responsibility for how we source, manufacture, and conduct business embedded in our culture of innovation. Headquartered in the Netherlands and listed on the Amsterdam stock exchange, Kendrion's expertise extends across Europe, the Americas and Asia. Created with passion and engineered with precision.
Amsterdam, 26 August 2026
The Executive Board
For more information, please contact:
Kendrion N.V.
Mr. Joep van Beurden
Chief Executive Officer
Tel: +31 6 82 56 85 65
Email: IR@kendrion.com