KONE (KNEBV) Q3 2025 earnings summary

Executive summary

• Orders received grew 7.8% at comparable currencies in Q3 2025, with over 60% of sales from Service and Modernization, which delivered double-digit growth and drove resilience against China headwinds.

• Adjusted EBIT margin expanded by 75 basis points year-over-year to 12.3%, supported by strong performance in Service and Modernization.

• Cash flow from operations increased to EUR 444.4 million in Q3 2025, with year-to-date cash flow at EUR 1,295.5 million.

• Digitalization advanced, with nearly 40% of the maintenance base connected and remote service available in 35 countries.

• On track to deliver 2025 and mid-term financial targets, with resilience increasing through business transformation.

Financial highlights

• Sales grew 3.9% at comparable currencies in Q3 2025, totaling EUR 2,762.0 million.

• Adjusted EBIT reached EUR 340.7 million, with margin up to 12.3% in Q3 2025.

• Cash flow from operations was EUR 444.4 million in Q3 2025.

• Basic earnings per share for Q3 2025 was EUR 0.43, down 9.1% year-over-year.

• Net working capital at -EUR 818.0 million as of September 30, 2025.

Outlook and guidance

• Sales expected to grow 3–5% at comparable exchange rates for full year 2025, with adjusted EBIT margin guided to 11.9–12.3%.

• Negative FX impact on adjusted EBIT estimated at EUR 30 million if rates remain at October 2025 levels.

• Service and Modernization are main growth drivers, while New Building Solutions in China remains a challenge.

• For 2026, continued inflationary wage pressure and China headwinds expected, but performance initiatives and product cost reductions to support earnings.

• 2025 outlook: New Building Solutions to decline significantly in China, grow slightly in North America and Europe, and grow clearly in APMEA.