Novem Group (NVM) Q2 2025 earnings summary

Executive summary

• Revenue for HY 2024/25 declined 19.5% year-over-year to €279.5 million, mainly due to weak demand in Europe and Asia, adverse FX effects, and external disruptions such as customer plant holidays in China and Hurricane Helene in the USA.

• Adjusted EBIT dropped to €26.2 million (margin 9.4%), reflecting lower turnover, unfavorable product mix, and was partially offset by cost management and customer compensation.

• Net income for the period was €11.2 million, a decrease from €18.1 million year-over-year.

• Americas segment showed robust growth, offsetting declines in Europe and Asia.

• Entry into the luxury MPV segment with the Mercedes-Benz EQV van platform.

Financial highlights

• HY revenue: €279.5 million (down from €347.1 million year-over-year); Q2 revenue: €139.4 million (down from €171.9 million in Q2 2023/24).

• HY Adj. EBIT: €26.2 million (margin 9.4%, down from 10.9%); Q2 Adj. EBIT: €12.0 million (margin 8.6%, down from 10.4%).

• HY free cash flow: €0.6 million (down from €33.5 million); Q2 free cash flow: €3.6 million (down from €22.3 million).

• Net leverage increased to 1.9x Adj. EBITDA from 1.4x year-over-year.

• Earnings per share: €0.26 (down from €0.42 year-over-year).

Outlook and guidance

• Short-term challenges persist, but solid order intake in the current year supports mid-term guidance.

• No material subsequent events or changes in risk profile since the balance sheet date.