Carel Industries (CRL) Q2 2026 earnings summary

Executive summary

• H1 2026 revenues reached €370.1 million, up 20.9% year-over-year (23% at constant FX), with record Q2 revenues near €200 million and balanced growth across HVAC and Refrigeration, both exceeding 20% growth.

• All geographies posted double-digit growth, with APAC up 28.7–31.6%, North America up 46–55.7%, EMEA up 11.8–11.9%, and South America up 20–23.1%.

• EBITDA rose 42.7% to €83.1 million, with margin expanding to 22.5% (up 350 bps), and net profit increased 72.5–73.3% to €45.7–46.0 million.

• Organic growth was mainly volume-driven, with price changes having a minor effect.

• The group maintained a positive net cash position of €7.1 million at H1 close, despite dividend and earn-out payments.

Financial highlights

• Operating profit for H1 2026 was €61.7 million, up from €36.8 million in H1 2025.

• Adjusted EBITDA reached €83.6 million, up from €59.1 million, mainly due to operating leverage and cost discipline.

• Net financial expenses decreased to €1.8 million, and net financial debt improved to €7.1 million.

• Investments in property, plant, and equipment totaled €9.5 million, focused on expanding production capacity in Europe and North America.

• Funds from operations were €67.4 million, up from €48 million in H1 2025.

Outlook and guidance

• Q3 2026 revenues are expected close to €190 million, up ~20% year-over-year, assuming no further geopolitical or macroeconomic deterioration.

• Robust order intake and positive trends in key verticals support continued strong performance, though visibility remains limited due to macro and geopolitical uncertainties.

• Profitability is expected to remain strong, supported by operating leverage and ongoing cost management.