Friedrich Vorwerk Group (VH2) Q2 2025 earnings summary

Executive summary

• Achieved record H1 2025 revenue and profitability, with revenue up 56.1% to €303.1 million and EBITDA more than doubling to €54.5 million, driven by strong project execution, major project wins, and robust market demand.

• Order backlog remains robust at €1.1 billion as of June 30, 2025, with a significant share in electricity projects; order intake declined 45.9% to €220.4 million, but total acquired project volume rose 42.4% to €613.3 million due to joint venture accounting.

• Major new projects awarded in natural gas, electricity, hydrogen, and water infrastructure, including ETL 182 pipeline, SuedLink cable, and Hamburg Green Hydrogen Hub.

• Continued expansion through M&A, with acquisitions of Christoffers and Wischhafen branches, and organic workforce growth to over 2,100 employees.

• Dividend of €0.30 per share for 2024 was approved and paid in June 2025.

Financial highlights

• H1 2025 revenue grew 56% year-over-year to €303.1 million; Q2 revenue up 45% to €170 million, a quarterly record.

• EBITDA increased 123% year-over-year to €54.5 million in H1, with margin at 18.0%; Q2 EBITDA up 105% to €36.3 million, margin at 21.3%.

• Adjusted EBIT tripled year-over-year to €42.7 million, margin at 14.1%; net profit up 195.6% to €28.3 million.

• Equity ratio at 54.4% as of June 30, 2025, with net cash position at €83.5 million and cash flow from operating activities negative €35.3 million due to working capital build-up.

• Personnel expenses rose 26.4% year-over-year, reflecting wage increases and headcount growth.

Outlook and guidance

• FY 2025 revenue guidance raised to €610–650 million, up to 30% growth at the upper end, with EBITDA margin expected between 17.5% and 18.5%.

• EBITDA expected over €100 million and EBIT above €80 million; long-term vision targets €1 billion revenue and 20% EBITDA margin by 2031.

• Upward revision follows strong H1 performance and robust project pipeline.