Kitron (KIT) Q2 2026 earnings summary

Executive summary

• Q2 2026 delivered record revenue of EUR 295.7 million, up 72% year-on-year, with EBIT of EUR 28.3 million and a margin of 9.6%.

• All five market sectors and all three regions posted year-on-year growth, with Defence & Aerospace more than tripling and now representing about half of group revenue and 60% of the order backlog.

• Order backlog reached EUR 794.3 million, up 56% year-on-year, with a book-to-bill ratio of up to 1.4x year-to-date.

• Operating cash flow surged to EUR 47.1 million in Q2, up 144% year-on-year, supporting growth and dividend payments.

• Acquisition of Delta Nordic (now Kitron Eltech AB) completed, strengthening defence market presence and contributing EUR 16.5 million in Q2 revenue.

Financial highlights

• Q2 revenue: EUR 295.7 million (+72% YoY); EBIT: EUR 28.3 million (+89% YoY); EBIT margin: 9.6% (+90bps YoY); EBITDA: EUR 35.1 million (+79% YoY).

• Net income: EUR 21.4 million (+114% YoY); EPS: EUR 0.10 (doubled YoY); H1 net income: EUR 41.4 million (+135% YoY); EPS H1: EUR 0.19 (+111% YoY).

• Operating cash flow: EUR 47.1 million in Q2; EUR 52.1 million in H1 (+66% YoY).

• Order backlog: EUR 794.3 million, up 56% year-on-year.

• Dividend of EUR 14.1 million paid in Q2.

Outlook and guidance

• Trending toward the top end of 2026 guidance: EUR 900–1,050 million in revenue and EUR 84–108 million in EBIT.

• Medium-term ambition of EUR 1.5 billion annual revenue is credible based on current backlog and pipeline.

• Guidance is constrained by supply chain risks, not demand; further clarity expected with Q3 results.

• EBIT margin expected to remain between 9.5% and 10%, with 10% as the high end.

• Demand outlook remains strong, but supply chain constraints persist; prudent outlook maintained.