SMAG Mobile Antenna Masts (1SMA) H1 2026 earnings summary

Executive summary

• Completed IPO in July 2026, raising nearly EUR 30 million to fund capacity expansion, automation, and internationalization.

• Order backlog reached EUR 1.4 billion at H1 2026, driven by major defense contracts, including the Bundeswehr TaWAN LBO project and a EUR 34.5 million NATO-related order.

• Total output grew 20% year-over-year to over EUR 20 million, and net sales increased by more than 15% to EUR 12.6 million.

• Profitability declined due to ramp-up costs, capacity expansion, and an unfavorable project mix, with adjusted EBIT margin dropping to 2.6%.

• Free cash flow improved to EUR 0.6 million, supported by positive working capital changes and customer prepayments.

Financial highlights

• Revenue grew 15.1% year-over-year to EUR 12.6 million; total output up 20% to EUR 20.2 million.

• Adjusted EBIT margin declined to 2.6% from 16.3% in H1 2025 due to higher operating expenses and ramp-up costs.

• Adjusted EBITDA margin was 3.4%, down from 16.7% in H1 2025.

• Gross profit increased to EUR 9.88 million, but gross margin declined to 48.8% from 55.0% due to project mix and capacity build-up.

• Net loss of EUR 1.13 million compared to net profit of EUR 1.3 million in H1 2025.

Outlook and guidance

• FY 2026 guidance confirmed: total output EUR 55–60 million and adjusted EBIT margin 19–21%.

• Margin improvement expected in H2 2026 as legacy projects are completed and new, higher-margin contracts are delivered.

• Delays in inspection and acceptance may shift some deliveries to 2027, but current guidance incorporates these risks.

• Long-term growth supported by rising European defense budgets and strong order backlog.

• For FY 2027 and beyond, higher output volumes and improved earnings are anticipated as production ramps up and supplier base diversifies.