Akwel (AKW) H2 2025 earnings summary

Executive summary

• Activity declined sharply in the second half of 2025, mainly due to the end of SCR series production and program cancellations or delays.

• Net income for 2025 was €16.2 million, a 33% decrease year-over-year.

• Revenue declined by 5.1% to €938.3 million compared to 2024.

• Recurring operating income increased by 15.3% to €44.3 million, with a margin of 4.7%.

• Achieved 'Gold' level in Ecovadis sustainability rating, placing in the top 5%.

Financial highlights

• EBITDA dropped 58% to €36.7 million, impacted by a customer dispute settlement and partially offset by warranty provision reversals.

• Operating income fell 23.6% to €30.3 million, including €13.1 million in non-recurring industrial restructuring costs.

• Net margin decreased to 1.7% from 2.4% year-over-year.

• Net cash flow from operations fell 44.9% to €53.2 million.

• Free cash flow for 2025 was €17.5 million.

Outlook and guidance

• 2026 revenue expected to decline further by 12–15% due to the end of SCR tank production, planned volume reductions, and partial conversion of orders.

• Ongoing adaptation of production capacity and facilities to preserve profitability and agility.

• Focus on product evolution for electrified and hydrogen vehicles, cost adaptation, and RSE initiatives.