Krones (KRN) Q1 2025 earnings summary

Executive summary

• Q1 2025 saw revenue rise 13.1% year-over-year to €1.410 billion, with strong profitable growth, improved margins, and results in line with planning; Netstal contributed €60 million.

• Order intake reached €1.44 billion, up 6.8% sequentially, with a robust order backlog of €4.3 billion, ensuring capacity utilization into Q2 2026.

• Net income increased 15.3% year-over-year to €75.9 million, with EPS at €2.40.

• Despite global economic and geopolitical uncertainties, customer investment willingness remains robust, and mid-term 2028 targets are confirmed.

Financial highlights

• EBITDA was €149.3 million, up 19.1% year-over-year, with a margin of 10.6%; EBT reached €107.9 million, a 21.2% increase, with a margin of 7.7%.

• Free cash flow before M&A was €165.2 million, maintaining a high level; cash position at quarter-end was €592 million, with liquidity reserves of €1.44 billion.

• ROCE stood at 20.5%, above the 18–20% guidance.

• Equity ratio stable at 40.4%, with equity at €1,984.4 million.

• Personnel expenses rose to 31.6% of revenue, while material cost ratio decreased to 47.6%.

Outlook and guidance

• 2025 guidance confirmed: revenue growth 7–9%, EBITDA margin 10.2–10.8%, ROCE 18–20%.

• Segment guidance: Filling & Packaging 7–9% growth (10.5–11% EBITDA margin), Process Technology 0–5% (9–10%), Intralogistics 15–20% (6.5–7.5%).

• Book-to-bill ratio expected to remain around one for the year.

• Free cash flow for the year expected around €200 million, with higher CapEx and working capital anticipated.

• Mid-term (2028) targets: revenue ~€7.0 billion, EBITDA margin 11–13%, ROCE >20%.