Krones (KRN) Q4 2024 earnings summary

Executive summary

• Achieved all 2024 targets with strong revenue and EBITDA growth, robust order intake of €5.5 billion, and a high order backlog of €4.3 billion, supporting a positive outlook for 2025 and beyond.

• Global footprint expanded with new facilities in China and India, and extended production in North America.

• Netstal acquisition marked a strategic milestone for PET solutions and diversification, contributing to revenue and employee growth.

• Free cash flow (excluding M&A) surged to €293 million, and ROCE improved to 18.2%.

• Executive Board forecasts continued profitable growth in 2025, with revenue up 7–9% and higher margins.

Financial highlights

• Revenue reached €5.294 billion in 2024, up 12.1% year-over-year, with Q4 revenue of €1.419 billion (+14.9%).

• EBITDA rose 17.4% to €537.1 million, with a margin of 10.1%, within guidance.

• Net income was €277 million; free cash flow was €292.5 million.

• Equity increased by €207 million to €1.922 billion; equity ratio at 40.5%.

• Working capital reduced to 17.0% of revenue, well below the 20% threshold.

Outlook and guidance

• 2025 revenue growth expected at 7–9%, with EBITDA margin guidance of 10.2–10.8%.

• ROCE guidance for 2025 is 18–20%.

• Segment guidance: Filling & Packaging +7–9% revenue, 10.5–11% EBITDA margin; Processing +0–5% revenue, 9–10% margin; Intralogistics +15–20% revenue, 6.5–7.5% margin.

• Midterm targets for 2028: €7 billion revenue, 11–13% EBITDA margin, ROCE above 20%.

• Large order backlog ensures capacity utilization into early 2026.