Ion Beam Applications S.A.

IBA reported H1 2026 revenue of EUR 324 million, adjusted EBIT of EUR 17.6 million, adjusted EBIT margin of 5.4%, and gross margin of 33.7% versus 29.5% in H1 2025. Net result was EUR 9.3 million, up from a loss in the prior year period, and net debt was EUR 81 million at June 30, up EUR 23 million versus year-end; leverage was 1.14x adjusted EBITDA. Equipment order intake was EUR 176 million, up 64% year over year, with backlog stable at EUR 1.6 billion; IBA Clinical backlog was EUR 1.37 billion and IBA Technologies backlog declined as revenues were converted. The company reiterated 2026 guidance for group adjusted EBIT of at least EUR 32 million, and said H2 should be more balanced than H1, with Industrial order intake expected to improve. Management also said working capital should normalize over time, with relative stability in 2026, light improvement in early 2027, and marked improvement in H2 2027.

Olivier Legrain framed the half as confirmation that IBA is on track with an improved profitability trajectory and execution of its strategy. He emphasized backlog conversion, stronger profitability, and commercial momentum in proton therapy and radiopharma, while highlighting leadership and board strengthening to support the company’s scale-up. His tone was constructive and confident, but he also acknowledged that Dosimetry and working capital remain areas to manage.

Catherine Vandenborre said the main profitability driver was gross margin improvement to 33.7% from 29.5%, adding EUR 18.9 million in gross margin. She pointed to operating expenses at 28.7% of sales, including R&D, G&A, EUR 2 million of bad debt, and a EUR 1.5 million gain from resolving two Clinical business claims; lower financial expenses and PanTera’s equity-method contribution also helped. On cash, she said operating cash flow before working capital was EUR 18 million, but working capital and project timing reduced cash, leaving group cash at EUR 44 million; net debt was EUR 81 million. She said 2026 guidance remains at at least EUR 32 million adjusted EBIT and that working capital should improve gradually, with a more visible step-up in H2 2027.

Analysts pressed on whether proton therapy margins had structurally improved, whether Industrial Solutions was facing lasting pricing pressure from sterilization overcapacity, and how net debt and Spanish project cash inflows should evolve. Management said proton therapy margin gains are mainly from a better equipment mix, improved execution, and services, and that the first half is not the benchmark for going forward. On Industrial, Henri de Romree said overcapacity is reducing the number of order opportunities but does not change pricing or margin dynamics because IBA remains a technology leader. On working capital and net debt, Catherine said 2 Spanish machines are expected to ship in 2026, 2 in 2027, and 4 in 2028, with each shipment triggering a EUR 10 million payment, and that net debt should be relatively stable in 2026 before improving in 2027.