Andritz (ANDR) CMD 2026 summary

2029 targets and trading

• 2029 targets: €10bn revenue and 10% comparable EBITA margin, within a 9%-11% range; they replace the 2027 targets, which remain an internal objective.

• Revenue CAGR target of 6.6% for 2026-2029, supported by record backlog above €12bn, improving market cycles and structural demand.

• 2029 divisional comparable EBITA margin corridors: Pulp & Paper 11%-13%, Metals 7%-9%, Hydropower 8%-10% and Environment & Energy 10%-12%; Metals and Hydropower ranges raised, Environment & Energy upper end lowered.

• Margin levers include backlog quality, execution, pricing, phasing out legacy projects, restructuring benefits and margin-accretive acquisitions.

• FY 2026 guidance confirmed at €8.0bn-€8.3bn revenue and 8.7%-9.1% comparable EBITA margin; Q3 preliminary order intake remained above €2bn for an eighth consecutive quarter.

Growth, services and capital allocation

• Service revenue grew at an 8% CAGR in 2018-2026; share reached 46% in H1 2026, with a medium- to long-term target above 50%.

• Service growth plans include expanding installed-base coverage, service centers, O&M contracts, predictive maintenance and digital offerings; lifetime service market is 5-8x the capital market.

• Growth has been roughly split between organic growth and M&A; the same mix is expected ahead, following €1.5bn of acquisitions since 2018.

• Capital allocation combines M&A, dividends, CapEx and opportunistic buybacks; dividend payout target is 50%-60%, and the 2025 dividend rose to €2.70 per share, its seventh consecutive increase.

• H1 2026 ROIC was 18.5% versus 9.1% WACC; financial flexibility includes €600m net liquidity, a €500m revolving credit facility and >€2bn transaction capacity at 1.75x leverage.

Digitalization and sustainability

• Automation and digitalization generated ~€800m of business volume and grew at a 10% CAGR over five years; strategy advances toward autonomous operations through Metris and AI.

• Metris solutions cite up to 20% lower OpEx, up to 3% higher output and 10 percentage points higher operational efficiency without major hardware investment.

• AI use includes more than 10,000 regular users and 10,000 regularly used agents, with applications in engineering, contract support, field service and quality management.

• One ANDRITZ in Sync standardizes support functions, shared services and SAP to improve automation, data access and scalability; described as operating-model transformation, not restructuring.

• 2030 sustainability goals include >50% of revenue from environmental-impact solutions, GHG reductions of 42% in own operations and 25% in the value chain, and LTIFR below 1.