Troax Group (TROAX) Q2 2026 earnings summary

Executive summary

• Achieved record order intake of EUR 98.3 million, up 51% year-over-year, and sales of EUR 84.2 million, up 23% year-over-year, driven by acquisitions and strong warehousing and data center demand, especially in North America.

• Transitioned North American operations from Chicago to a new, automated facility in Portland, enhancing efficiency and capacity.

• Launched a sustainable machine guarding mesh panel made from recycled materials, reducing carbon emissions by over 70%.

• Strategic acquisitions and integration efforts, including Vichnet, D-flexx, and Stommpy, are expanding the industrial safety offering and contributing to growth.

• Data center and flexible barrier solutions are gaining traction, while automotive demand remains soft in Europe and Asia.

Financial highlights

• Adjusted EBITA rose to EUR 10.9 million in Q2 (margin 13.0%), with adjusted EPS at EUR 0.12 per share.

• Operating cash flow was EUR 0.8 million in Q2, impacted by working capital tied to acquisitions.

• Net debt/EBITDA increased to 3.3, mainly due to dividend payout and revaluation of earn-out contingents.

• Q2 net result was -EUR 6.1 million (vs. EUR 1.4 million prior year), reflecting one-off costs and non-cash revaluations.

• Gross margin remained stable year-over-year and improved sequentially from Q1.

Outlook and guidance

• Profitability is expected to improve as higher order intake converts to sales, the new North American facility ramps up, and acquisition synergies are realized.

• Long-term targets include sales of at least EUR 550 million by 2030 (15% CAGR), EBITA margin of at least 20%, and net debt/EBITDA below 2.5.

• Market demand remains difficult to predict, but warehousing and data centers are expected to offset continued softness in automotive.