R&S Group (RSGN) H2 2025 earnings summary

Executive summary

• Achieved record order backlog and strong business momentum in 2025, driven by demand in renewables, infrastructure, and data centers.

• Completed integration and acquisition of Kyte Powertech, strengthening market position and expanding presence in Ireland, UK, Benelux, and France.

• Inaugurated Bochnia oil distribution transformer plant and began construction of new Łódź power transformer plant, with operations to commence by end of 2026.

• Onboarded new CEO and board members, defining strategic focus for 2026 and beyond.

• Benefited from structural growth drivers in the transformer market, including electrification, renewables, and data infrastructure demand.

Financial highlights

• Net sales reached CHF 414.8 million, up 47% year-over-year; EBITDA at CHF 86.72 million (+28%) with a margin of 20.9%.

• Profit after tax rose 41% to CHF 58.12 million; EPS increased 19% to CHF 1.56.

• Free cash flow improved to CHF 48.1 million (11.6% margin), reversing a negative figure in 2024.

• Order intake surged 56% to CHF 476.8 million; order backlog up 17% to CHF 325.7 million.

• Gross margin decreased due to Kyte acquisition, but EBITDA and EBIT margins remained strong (19–21%).

Outlook and guidance

• Mid-term net sales growth targeted at 8–12% annually; EBITDA margin expected at 19–21%.

• Continued investments in capacity expansion, including new plants in Poland and UAE.

• Dividend policy maintained at CHF 0.50 per share; target leverage ratio around 1.0x Net Debt/EBITDA.

• Focus on operational excellence, digitalization, and selective M&A to support growth.