SMA Solar (S92) Q4 2025 earnings summary

Executive summary

• Group sales for 2025 were €1,516 million, nearly flat year-over-year, with Large Scale division growth offsetting a sharp decline in Home & Business Solutions (HBS).

• Reported group EBITDA was €-65 million, impacted by significant one-off items including inventory devaluations, scrappage, and restructuring provisions.

• Free cash flow turned positive at €110 million, a significant improvement from €-184 million in 2024, driven by net working capital optimization.

• Order backlog remained strong at €1,352 million, providing visibility for 2026.

• Net income fell to -€181.1 million, with EPS at -€5.22, reflecting impairments and restructuring costs.

Financial highlights

• Large Scale division sales rose to €1,268.8 million in 2025, while HBS sales dropped to €247.2 million, down 30%.

• Operating group EBITDA before one-offs was €107 million, down from €148 million in 2024.

• Reported EBIT margin for the group was -12% (2024: 6%); operating EBIT margin was 3.6% (2024: 6.3%).

• Net working capital decreased to €230 million (2024: €473 million), with a ratio of 14%.

• Net cash more than doubled to €176 million; total cash at year-end was €222 million.

Outlook and guidance

• 2026 sales guidance: €1,475–1,675 million; EBITDA: €50–180 million.

• Large Scale division expected to see slightly higher sales, but EBIT to be lower due to higher service costs and less capitalized R&D.

• HBS sales and EBIT expected above 2025, but HBS still not profitable.

• Cost reductions and efficiency gains from restructuring to positively impact 2026 EBITDA.

• Persistent uncertainty from trade barriers, geopolitical conflicts, and new EEG legislation.