Troax Group (TROAX) Q4 2025 earnings summary

Executive summary

• Q4 and full-year results showed declines in order intake and sales, with organic order intake down 3–6% and sales down 8% in Q4, reflecting soft market conditions, especially in Europe and the Americas, while APAC delivered strong growth overall but softened in Q4.

• Strategic acquisitions (Vichnet, d-flexx, STOMMPY, Dancop) were completed, broadening the product portfolio and strengthening market positions, particularly in China/Asia and flexible barriers.

• Major supply chain optimization and restructuring initiatives included factory moves in Europe and the US, completed on time and within budget, but led to significant non-recurring costs impacting short-term profitability.

• Market conditions remained weak in automotive and Americas, with some recovery signs in warehousing and general industry.

• The new decentralised organisational structure and optimised factory footprint are expected to boost sales and efficiency.

Financial highlights

• Q4 order intake was EUR 64.4 million, down 3–5% year-over-year; Q4 sales reached EUR 61.2 million, down 8% year-over-year.

• Q4 EBITDA was EUR 6.6 million (10.8% margin), down from EUR 11.5 million (17.2% margin) last year; full-year EBITDA was EUR 36 million (13.8% margin), compared to EUR 48 million (17% margin) in 2024.

• Q4 EPS was EUR 0.07, down from EUR 0.15 last year; full-year EPS was EUR 0.40, down from EUR 0.56.

• Net profit for the year was EUR 13.5 million, down from EUR 31.3 million.

• Board proposes a EUR 0.24 dividend, down from EUR 0.34 last year.

Outlook and guidance

• Profitability is expected to improve in 2026 as pricing actions in the US take effect, operational issues are resolved, and transformation projects conclude.

• Additional one-off costs of EUR 2.2 million are expected in H1 2026 related to ongoing factory relocations.

• New financial targets set: sales of at least EUR 550 million by 2030 (15% CAGR), adjusted EBITA margin above 20% over a business cycle.

• Cautious optimism for 2026, with warehousing and general industry segments showing increased activity, while automotive is expected to remain weak.