Arbonia (ARBN) H1 2026 earnings summary

Executive summary

• Net revenues reached CHF 318.2M in H1 2026, with organic growth of 2.3% year-over-year, driven by strong performance outside Germany and successful sales initiatives in key European markets, despite headwinds from material costs and currency effects.

• SAP/ERP rollout at Garant caused operational disruptions, resulting in CHF 13M revenue and CHF 8.4M EBITDA negative impact, affecting net working capital, cash flow, and net debt; operational stabilisation is progressing.

• Strategic focus on the doors business and divestment of non-core assets, including Skyfens and a Vienna property, support future profitability and cash flow.

• The Glass business achieved a successful turnaround, stabilizing sales and improving profitability.

Financial highlights

• Net revenues increased by 3.6% to CHF 318.2M compared to H1 2025; organic growth was 2.3%.

• EBITDA (adjusted) declined by 8.8% to CHF 23.8M, margin at 7.5% (down from 8.5% in H1 2025), mainly due to Garant transformation; adjusted margin would have been 10% without one-off effects.

• EBIT was CHF -4.5M (H1 2025: CHF 1.1M); group result from continuing operations was CHF -7.9M.

• Free cash flow was CHF -32.5M (H1 2025: CHF 618.4M, which included major divestment proceeds); cash flow from operating activities was CHF -24.9M.

• Net indebtedness increased to CHF 184M (end 2025: CHF 149M), impacted by higher working capital, guarantee and tax payments, and acquisition-related effects.

Outlook and guidance

• 2026 guidance updated: 3–5% net revenue growth expected, with adjusted EBITDA broadly at the previous year's level (CHF 57.3M), reflecting temporary SAP/ERP impacts; all other 2026 and 2029 targets reaffirmed.

• Free cash flow for 2026 projected at CHF 15–20M, supported by lower capex and asset sales.

• Revenue from Garant expected to recover to pre-implementation levels by end of 2026.

• Mid-term guidance to 2029 confirmed: net revenues of CHF 820–850M, EBITDA margin of 14–15%, and free cash flow of CHF 55–65M.

• Performance Plus program targets CHF 5M+ savings by 2027, rising to CHF 8M+ annually by 2030.