Bilfinger SE

Q2 revenue was EUR 1.45 billion, up 7% year over year. Gross profit margin declined to 10.7%, and EBITA margin fell to 5.3% from 5.5% last year. EPS rose 15% to EUR 1.47, with operating cash flow of EUR 48 million versus EUR 53 million last quarter. For 2026, Bilfinger confirmed guidance, expects revenue to be about 5% above first-half 2025, and now sees EBITA margin at the lower end of the 5.4% to 5.9% range; free cash flow guidance remains EUR 250 million to EUR 300 million.

Thomas Schulz framed Q2 as operationally solid but temporarily affected by macro uncertainty, especially the Iran war, which caused customers to delay maintenance, turnaround, and project decisions. He said the order pipeline improved in June and that the company expects a more dynamic second half as customers move postponed work forward. He also emphasized safety, noting improvements in TRIFR and a Lost Time Injury Frequency Rate close to nil, and pointed to Bilfinger’s growing exposure to energy, LNG, hydrogen, mining, and other outsourcing opportunities.

Matti Jakel said revenue increased 7% to EUR 1.45 billion and book-to-bill improved to 1.03, while gross profit margin slipped 80 basis points to 10.7% because uncertainty led to lower utilization and delayed spending. SG&A rose EUR 2 million due to Teknokon, but as a ratio improved from 6.3% to 6.1% on integration and efficiency gains. He said cash flow was EUR 48 million, lower partly because of fewer advance payments and slower invoice approvals, and explained that net liquidity and leverage were affected by dividend payments and the Teknokon purchase; leverage moved from 0.6 to 0.7. He also noted that EUR 300 million of Schuldscheindarlehen was reissued in early July, and said the second half should benefit from the reversal of timing effects in working capital.

Analysts focused on why orders improved late in the quarter, how much of the pickup reflected deferred work versus new demand, and whether Bilfinger can still reach a much higher second-half EBITA margin. Management said customer hesitation is mainly temporary and tied to crisis-driven delay behavior, with maintenance and turnaround work only deferrable for months, not years, and that much of the expected second-half volume is already visible in the backlog. On margins, management said overabsorption in the second half should lift profitability, and on cash flow they confirmed the full-year EUR 250 million to EUR 300 million target, citing a build-up in work in progress that should unwind later in the year.