Envipco Holding (ENVI) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenues rose 13% year-over-year to EUR 26.1m, driven by strong European RVM sales and stable North American operations.

• CEO transition in May 2026 brought renewed focus on operational discipline, reporting, and execution.

• Four major UK retailer wins secured, building a strong backlog for 2027 with approximately 5,400 RVMs.

• Positive customer and market feedback, with a solid commercial pipeline and strong positioning in DRS markets.

• Gross margin declined to 32.2% from 36.6% in Q2 2025, reflecting investments in service teams and underutilization in assembly.

Financial highlights

• Q2 2026 revenue up 13% year-over-year to EUR 26.1 million; H1 revenue up 4% to EUR 45.8 million.

• Gross margin for Q2 at 32.2%, down from 36.6% year-over-year, impacted by under-absorption and service team investments.

• Q2 EBITDA at -EUR 1.7 million; operating profit at -EUR 3.7 million; net loss of EUR 4.1 million.

• Operating expenses in Q2 at EUR 12.1 million, up 17% year-over-year, mainly due to professional fees, marketing, and service expansion.

• Cash balance at end of Q2 at EUR 18.7 million; cash from operating activities negative EUR 17 million in Q2, driven by working capital build.

Outlook and guidance

• Expectation of revenue growth in H2 2026 versus H1, driven by European market expansion and DRS mandates.

• Focus on operational discipline, standardization, and leveraging scale for profitable growth.

• Gross margin target of 40% remains, dependent on revenue growth and capacity utilization.

• UK DRS on track for October 2027 go-live, with significant retailer engagement.

• US operations expected to remain stable with some growth in RVM sales.