Bucher Industries AG

For the first half of 2026, group order intake was slightly below the prior period and net sales slightly declined. Lower capacity utilization, continued cost pressure, restructuring costs of CHF 8 million in Bucher Specials, and the absence of last year’s CHF 43 million property-sale gain led to lower operating profit and gross profit. Kuhn Group’s order intake declined 18%, sales increased 3% on a comparable basis, and operating margin was 8.8%; Bucher Municipal order intake rose almost 8% and sales were still 3.6% below prior year, with margin at 7.2%; Bucher Hydraulics order intake rose 9%, sales increased almost 8%, and margin reached 10.8%; Emhart Glass order intake increased almost 9%, sales were 25% below last year, and EBIT margin was 5%; Bucher Specials order intake rose 4% while sales fell 2.4%. On the balance sheet, net cash was CHF 278 million and equity ratio was 66%; operating free cash flow was CHF -73 million, net financial result was CHF 4 million, income taxes were CHF 21 million at a 19.2% tax rate, and RONOA after tax was 12.7%. Full-year 2026 guidance now calls for slightly lower comparable sales and an operating margin below the prior year; by division, Kuhn expects stable comparable sales and margin around prior year, Municipal expects slight sales decline and slightly lower margin, Hydraulics expects slight sales growth and slightly higher margin, Emhart Glass expects significantly lower sales and significantly lower margin than 2025, and Specials expects slight sales growth with a lower margin due to Bucher Vaslin weakness and restructuring. Management said net cash should rise to around CHF 400 million by year-end assuming no major acquisition, and CapEx for the full year is expected around CHF 140-150 million.

Matthias Kuemmerle emphasized a strategy centered on close-to-market production, decentralization, automation, and innovation, saying the group’s strong positions are built on making complex technology easy for customers to use. He said the company will keep investing in R&D and pursue profitable growth both organically and through acquisitions where it makes sense, while also continuing cost-structure and synergy work. His tone was constructive but cautious: he repeatedly described H1 as likely the trough and said the group is well positioned despite market uncertainty.

Manuela Suter focused on the clean balance sheet and cash generation. She cited a positive net financial result of CHF 4 million, income taxes of CHF 21 million at a 19.2% tax rate, net cash of CHF 278 million, an equity ratio of 66%, and operating free cash flow of CHF -73 million due to seasonal working-capital buildup, dividend payout, and share buybacks. She said the company bought back around 410,000 shares for CHF 155 million over the last 12 months, that RONOA after tax was 12.7%, and that full-year CapEx should be around CHF 140-150 million. She also said year-end net cash should reach around CHF 400 million if there is no major acquisition.

Analysts pressed on whether Kuhn can still deliver a stable year after a weak first half, and management said the second quarter is usually the weaker quarter and that the preseason is now the key period. Questions on Brazil focused on high interest rates, financing pressure, fertilizer costs, and election-related uncertainty; management said farmers are cautious and not showing signs of widespread insolvency. On Emhart Glass, management said the industry overinvested after COVID and is now normalizing, with margins expected to improve sequentially toward second-half-2025 levels as utilization recovers. Analysts also asked about the reporting impact of moving Bucher Automation into Hydraulics and Emhart; management said it will not have an immediate margin effect but will create synergies over time and promised adjusted figures for comparison.