Schindler (SCHN) Q4 2025 earnings summary

Executive summary

• Operational recovery completed in 2025, shifting focus to profitable growth and modernization, with 12 consecutive quarters of EBIT margin improvement and strong cash conversion.

• Modernization and service segments drove performance, with modernization orders up 19% and revenue up 12% in 2025, especially outside China.

• Sustainability recognized with EcoVadis Platinum Medal and inclusion in CDP A List.

• Board proposes ordinary dividend of CHF 6 and extraordinary dividend of CHF 0.80 for 2025, reflecting strong cash flow and balance sheet.

• Net profit rose 6.2% to CHF 1,073 million, with EPS at CHF 9.48 and a strong equity ratio of 43.9%.

Financial highlights

• Reported EBIT margin reached 12.6% for 2025, exceeding initial guidance, with Q4 margin at 13%.

• Net profit for 2025 was CHF 1,073 million, with a margin of 9.8%; EPS up 7.4% to CHF 9.48.

• Operating cash flow for 2025 was CHF 1.49 billion, with Q4 at CHF 523 million.

• Order intake growth in local currencies was 3.1% for 2025; excluding China, order intake grew 5.4%.

• FX headwinds reduced order intake by over CHF 450 million in 2025.

Outlook and guidance

• 2026 guidance: low- to mid-single-digit revenue growth in local currency and reported EBIT margin of 13%.

• Modernization expected to grow double-digit in 2026; new installation to stabilize, with recovery outside China.

• Up to CHF 60 million in restructuring costs expected in 2026.

• Tariff impact estimated at CHF 18 million, expected to be offset by pricing and cost actions.

• CHF 7,900 million of unsatisfied performance obligations to be recognized as revenue in 2026.