Durr AG

In Q2, group order intake rose 13% year over year, and consolidated sales were almost at last year’s level. Management said the operating EBIT margin improved despite a slight sales decline and the negative contribution from BBS Automation; no exact group revenue or EPS figures were stated in the call. For BBS Automation, management expects sales to be under EUR 400 million this year and probably next year, with a revised target of at least EUR 600 million by 2030 and a sustainable margin of 8%. Dürr also expects unplanned extraordinary effects of EUR 140 million-EUR 150 million in 2026, including a EUR 90 million-EUR 100 million non-cash goodwill impairment in Q2 and restructuring expenses of EUR 40 million-EUR 50 million this year, mainly in H2. The company confirmed all group guidance KPIs for 2026.

Jochen Weyrauch framed the quarter as solid overall but clearly uneven across divisions, with Automotive and balancing technology offsetting weakness at BBS Automation and soft demand in Woodworking. His main message was that Dürr is acting decisively through self-help, with Vector meant to resize BBS to the current market, improve execution, and build a more focused structure for future growth. Tone-wise, he was constructive but cautious, repeatedly pointing to macro uncertainty, timing risk in Automotive awards, and the difficulty of calling an upswing in HOMAG.

Dietmar Heinrich focused on why the group can still hold guidance: Automotive is executing well, HOMAG has cost measures working despite low sales, and holding-level costs are lower than last year. He said tariff-related benefits were limited because the company both received some refunds and had to refund some customers for U.S. customs tariff charges, so the net effect on profitability was small. On guidance, he agreed the midpoint is still achievable, though the company is moving toward the lower area of the range while seeing further opportunities in H2 from Automotive and Woodworking, including the new Poland factory. He also said the restructuring charge of EUR 40 million-EUR 50 million will be mainly booked in H2, while the goodwill impairment of EUR 90 million-EUR 100 million reflects weaker-than-assumed Mobility performance.

Analysts pressed management on whether Industrial Automation’s minus 2.4% EBIT margin in Q2 was the trough, and management said the new guidance of minus 1% to plus 1% assumes it is. Questions on guidance suggested the group margin could land at the low end, but management said the midpoint is still reachable thanks to H2 improvement in Automotive and Woodworking. On HOMAG, management said order intake is likely to improve only modestly and they are not expecting a major year-on-year upswing, while remaining focused on profitability protection. On BBS, management admitted that some project accrual issues dated back to due diligence, but also said some problems occurred after the acquisition and that new management, tools, and a restructuring program are intended to prevent a repeat.