CSG (CSG) H2 2025 earnings summary

Executive summary

• Achieved €6.7bn in revenue for 2025, representing 30–71.7% year-on-year growth, exceeding IPO expectations, with a 24.1% adjusted operating EBIT margin.

• Record order backlog and pipeline reached €42bn, supporting multi-year revenue visibility.

• Strategic expansion included major contract wins in Slovakia and Southeast Asia, targeted M&A, and new partnerships in Hungary, Poland, and other regions.

• Diversified customer base: 65% NATO, 27% Ukraine, 8% other, supporting resilience and growth.

• Well positioned as a key supplier to NATO states and Ukraine, benefiting from structural increases in European defense spending.

Financial highlights

• Adjusted operating EBITDA reached €1.6bn with a 24.1% margin; adjusted operating EBIT also at €1.6bn.

• Net profit from continuing operations was €872m, up 35.5% year-over-year.

• Capex intensity was 3.3% of revenue, with €225m invested, mainly in capacity expansion and automation.

• Cash conversion stood at 87%.

• Net leverage at year-end was 1.7x (1.3x post-IPO), with net debt at €3bn.

Outlook and guidance

• FY 2026 revenue expected at €7.4–7.6bn, with adjusted operating EBIT margin of 24–25%.

• Capex intensity to rise to 8.5% in 2026, then normalize to 4–5% after 2027.

• Net working capital targeted below 20% of revenue in 2026; net leverage guidance below 1.5x.

• Medium-term organic revenue CAGR in mid-teens, with Defence Systems and Land Systems leading growth.

• Group margin expected to rise to 26–28% by 2027, driven by vertical integration.