Kongsberg Gruppen (KOG) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue grew 31% year-over-year to NOK 10.4 billion, with record-high activity, strong profitability, and significant new contracts, including major Joint Strike Missile orders from Canada, Germany, and the U.S., and a NASAMS agreement for Kuwait.

• EBIT increased 49% to NOK 1.7 billion, with a margin of 16.1%, driven by higher volumes and solid project execution.

• Order intake reached NOK 17.1 billion, driving the order backlog to a record NOK 158 billion, providing strong visibility for future growth.

• Acquisition of Zone 5 Technologies in the U.S. completed, expanding high-volume missile production and U.S. presence.

• The demerger of Kongsberg Maritime was completed in April 2026, with results now presented as discontinued operations.

Financial highlights

• Revenue increased 31% year-over-year to NOK 10.4 billion in Q2 2026, a new record.

• EBIT reached NOK 1.7 billion, with a margin of 16.1%, up from 14.2% last year.

• Order intake was NOK 17.1 billion; order backlog at quarter-end was NOK 158 billion, with a book-to-bill ratio of 1.6.

• Cash and cash equivalents at Q2 end: NOK 4.9 billion, down from NOK 19.3 billion at Q1 end, mainly due to dividend, acquisition, and bond repayment.

• All divisions posted solid growth: Defence Systems up 53%, Missiles & Aerostructures up 19%, Discovery up 21%.

Outlook and guidance

• Revenue growth in 2026 expected to exceed 2025 levels, supported by strong backlog and market demand.

• Record-high order backlog of NOK 158 billion supports continued high activity and growth.

• Investments in capacity and technology to continue through 2027–2028 to meet demand and support ambitions of NOK 100 billion revenue by 2029 and NOK 150 billion by 2033.

• Zone 5 expected to generate over NOK 10 billion in annual revenue in the medium term, with single-digit profit margins anticipated for the next 12–24 months before normalizing.

• Continued high demand for missiles, air defense systems, and weapon stations; new contracts anticipated from both new and existing customers.