NKT (NKT) Q4 2025 earnings summary

Executive summary

• Achieved record-high standard metal price revenue of EUR 2.7 billion and operational EBITDA of EUR 390 million for 2025, with 6% organic growth year-over-year and a high-voltage order backlog of EUR 10.2 billion at year-end.

• Launched the Charging Forward strategy to drive growth through 2030, focusing on execution, value creation, and new medium-term financial ambitions.

• Advanced major capacity expansion projects in Karlskrona, Cologne, Denmark, and Portugal, with high-voltage capacity on track for 2027 and medium-voltage capacity, including Esposende, coming online in 2026.

• Maintained robust market dynamics, with significant new orders including a EUR 2 billion SSEN contract in January 2026, supporting strong visibility into future years.

Financial highlights

• Full-year 2025 revenue reached EUR 2.722 billion and operational EBITDA EUR 390 million, both at the upper end of guidance.

• Q4 2025 revenue was EUR 643 million, down EUR 50 million year-over-year, mainly due to the Champlain Hudson project ramp-down; operational EBITDA for Q4 was EUR 85 million, with a margin of 13.2%.

• Net result for Q4 was EUR 97 million (up from EUR 56 million in Q4 2024); full-year net result was EUR 275 million.

• Free cash flow for Q4 was EUR 341 million, but full-year free cash flow was negative EUR 244 million due to high investments.

• Investments totaled EUR 743 million in 2025, with Q4 investments at EUR 232 million.

• Net cash position improved to approximately EUR 1.2 billion at year-end, with available liquidity reserves of EUR 1,614 million.

Outlook and guidance

• 2026 revenue expected in the range of EUR 2.63–2.78 billion, with operational EBITDA between EUR 360–410 million.

• Solutions segment expected to see a mid-single-digit organic revenue decline in 2026 due to lower subcontracted work and variation orders.

• Applications segment to benefit from new capacity in Denmark and Portugal, contributing up to 10% growth.

• Service & Accessories expected to maintain positive momentum, though offshore repair job volume remains unpredictable.

• Investment levels to remain elevated in 2026 but below 2025 levels.

• Medium-term ambitions for 2030: organic revenue CAGR above 7% from 2024, operational EBITDA above EUR 900 million, ROCE above 22%.