Schindler (SCHN) Q3 2025 earnings summary

Executive summary

• Q3 2025 saw strong modernization order growth of 16.4%, with service expansion offsetting new installation headwinds, especially in China; operating margin improved to 13% in Q3, up 130bps year-over-year, driven by efficiency and procurement savings.

• Net profit rose to CHF 265 million in Q3 (9.9% margin), with EPS at CHF 2.36, and operating cash flow reached CHF 967 million for the first three quarters.

• The company is executing cost reductions, especially in China, and continues to invest in supply chain upgrades and sustainability, including the launch of a low carbon-emissions steel elevator.

• Headcount reduced by over 1,000, mainly due to China repositioning and SG&A cost initiatives.

• Recognized by Forbes as a top global employer in engineering and manufacturing.

Financial highlights

• Q3 2025 revenue was CHF 2,668 million, down 0.5% in local currency and 4.3% in CHF year-over-year; 9M 2025 revenue was CHF 8,155 million, up 0.8% in local currency.

• EBIT margin for Q3 was 13.0% (up from 11.7%); adjusted EBIT margin was 13.9% (up from 12.6%).

• Net profit for Q3 was CHF 265 million (9.9% margin); 9M net profit was CHF 796 million (9.8% margin), with EPS at CHF 7.04.

• Operating cash flow for the first three quarters was CHF 967 million, up 3.6% year-over-year.

• Order intake for 9M reached CHF 8,524 million, up 0.1% year-over-year and 3.8% in local currencies.

Outlook and guidance

• Full-year 2025 EBIT margin guidance raised to approximately 12.5% (from ~12%), with low single-digit local currency revenue growth expected.

• Midterm objective to reach an EBIT margin of 13% remains unchanged.

• Service and Modernization markets expected to expand globally, with highest growth in Asia-Pacific driven by India.

• Modernization markets forecast mid to high single-digit growth outside China and double-digit growth in China.

• New installation market globally expected to decline by high single digits, mainly due to China.