Biesse (BSS) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 was €322.8 million, down 18.4% year-over-year, with declines across all geographic areas and main product segments.

• Adjusted EBITDA fell 51.4% to €16.0 million (5.0% of net sales), and net result was negative at (€7.1 million), a decline of €11.0 million compared to H1 2024.

• Orders intake dropped 9.6% to €315.0 million, with backlog also down 9.7% year-over-year.

• The group faced significant headwinds from global trade tensions, US tariffs, and geopolitical instability, impacting order intake and sales.

• Strategic transformation initiatives under the One Company project continued, focusing on sales network reorganization, innovation, and cost rationalization.

Financial highlights

• Sales decreased by €72.9 million compared to H1 2024, mainly in Lines and Machines, and across wood, stone, and glass markets.

• Adjusted EBIT was (€2.4 million), down from €13.3 million last year, and operating margin turned negative.

• Net financial position (excl. IFRS 16) was €4.7 million, down from €25.0 million at year-end 2024.

• Order portfolio at period end was €250.4 million, down 1.9% from December 2024.

• Personnel expense decreased 7.6% due to headcount reduction (3,707 vs. 4,252 YoY).

Outlook and guidance

• The Board withdrew the 2024–2026 Three-Year Plan due to market uncertainty but reaffirmed strategic objectives.

• Full-year outlook remains cautious, with continued pressure from US tariffs, geopolitical conflicts, and slow uptake of Industry 5.0 incentives.

• Global GDP growth is expected to remain weak for the rest of 2025, with forecasts revised downward due to trade tariffs and uncertainty.

• Projected cash flows reflect reduced US subsidiary revenues due to tariffs.

• Investment in machinery and equipment is increasing, but overall economic conditions remain challenging, especially in the USA and China.