Avio (AVIO) Q2 2026 earnings summary

Executive summary

• Achieved sustained double-digit revenue and profit growth, with net revenues reaching €276.0 million (+17.5% YoY) and EBITDA up 19.1%, driven by strong execution in space and defense programs.

• Successfully completed the Vega C VV29 mission as Launch Service Operator and Ariane 6 launches with new P160C boosters, securing new contracts from Amazon and European institutions.

• Advanced U.S. expansion with land acquisition, leadership recruitment, and groundbreaking for a new Virginia plant, supported by a €110 million investment from Advent International.

• Order backlog stood at €2,048 million, with new orders mainly in defense and Vega C launcher development.

• Advent International's investment strengthens the balance sheet and supports further U.S. and Italian expansion.

Financial highlights

• Net revenues: €276.0 million (+17.5% YoY); EBITDA: €11.9 million (+19.1% YoY); Adjusted EBITDA: €12.2 million (+7.3% YoY).

• Net income: €9.2 million (vs. €-0.2 million in H1 2025); EBIT: €1.2 million; net financial position: €535.7 million, reflecting investments and supplier advances.

• Order backlog exceeded €2 billion, with significant new orders in defense and launch systems.

• Investments totaled €33.5 million, with R&D costs at €89.2 million, 32.3% of net revenue.

• Basic EPS: €0.21 for 1H 2026.

Outlook and guidance

• 2026 guidance confirmed: order backlog €2,000–2,100 million; net revenues €560–590 million; EBITDA €27–35 million; net income €8–13 million.

• Further Vega C launches and increased Ariane 6 engine production expected.

• New ESA contracts worth over €600 million anticipated for 2026–2027.

• Defense propulsion activities projected to grow, driven by new contracts in Europe and the U.S.

• No medium-term operational impacts expected from the Russia-Ukraine conflict; supply chain risks are being actively managed.