Friedrich Vorwerk Group SE

Revenue in Q2 was EUR 198 million, up 17% year over year. H1 EBITDA was EUR 92.6 million with a 27.4% margin, and H1 EBIT was EUR 67.9 million; Q2 EBITDA was EUR 60.8 million, up 68% year over year, with a 30.7% margin, and Q2 EBIT was EUR 52.8 million. Production output increased 35% to EUR 448 million in H1. Conventional order intake rose just under 50% to EUR 321 million, while total project volume acquired declined 25% to EUR 470 million. Net cash was EUR 212 million as of June, and management said working capital seasonally increased but cash conversion remained strong. For 2026, the company now expects EBITDA of EUR 180 million to EUR 200 million, versus prior guidance of EUR 160 million to EUR 180 million, and revenue of EUR 730 million to EUR 780 million; this guidance is organic only and excludes inorganic growth.

Torben Kleinfeldt framed the business as a large energy-infrastructure platform benefiting from the German energy transition, with activity spanning natural gas, electricity, hydrogen, and adjacent opportunities such as CO2 transport and storage. He emphasized a broad and active project pipeline, saying major electricity projects up to 2035 still look set to proceed as underground cable systems, while gas and hydrogen projects also remain robust. His tone was confident and pragmatic, repeatedly stressing flexibility in shifting workforce and equipment across markets if the policy backdrop changes.

Tim Hameister focused on the step-up in profitability and the improved mix. He said cost of materials fell by EUR 10.7 million year over year, with the materials ratio improving from 46.4% to 38.6%, and noted that joint-venture earnings more than tripled to EUR 12.8 million in Q2. He also highlighted a strong balance sheet, including EUR 212 million of net cash as of June, continued investment in equipment, and a high cash conversion rate; he said the EBITDA guidance increase reflects the strong Q2 and that the company still expects revenue of EUR 730 million to EUR 780 million.

Analysts asked about second-half order intake, possible delays in electricity projects if the legal framework changes, the A-Nord bonus-malus provision, and how Q3 had started. Management said it does not currently see meaningful tendering delays in electricity, because most projects planned through 2035 already have cable procurement and permitting underway; it also said 2027 should remain busy, though some late-2027 and 2028 projects are still being pursued. On A-Nord, management said the client agreed to adjust bonus-malus targets in late Q2, the remaining contract volume is roughly EUR 100 million, and the adjustment was not yet reflected in Q2 figures; they expect it to be recognized by Q4 at the latest. They also said July and the early part of Q3 started well on the back of good weather.