Schindler Holding AG

H1 order intake increased 2.9% in local currencies. H1 revenue increased 1.4% in local currencies, and Q2 revenue increased 1.1% in local currencies. H1 EBIT margin was 13.2%, up 90 basis points year over year, and adjusted H1 EBIT margin was 13.5%; Q2 EBIT margin was also up 90 basis points versus last year, and adjusted Q2 EBIT margin was up 40 basis points. Net profit margin moved above 10% in Q1 and increased further in Q2, but no exact EPS figure was given. Backlog was up 5.8% versus year-end 2025 and backlog margin improved sequentially. For 2026, Schindler reaffirmed guidance for low to mid single-digit revenue growth in local currencies and a 13% EBIT margin. Management also said additional inflation from energy and commodities is expected to be circa CHF 35 million for the full year, with tariffs still estimated at approximately CHF 15 million annual gross P&L impact. They said FX headwind on revenue was CHF 233 million in H1 and CHF 48 million in Q2.

Paolo Compagna said he was very pleased with operational execution and emphasized that the company delivered another record operating profit. He pointed to strong modernization momentum, improving new installation trends outside China, and a modular platform that is lifting both competitiveness and field installation efficiency, especially in Europe and in the U.S. mid-rise product. His tone was confident but measured: strategy is unchanged, the company is focused on profitable growth, and management sees potential opportunities from industry consolidation while remaining centered on customer stability and long-term support.

Carla De Geyseleer highlighted H1 EBIT margin of 13.2% and adjusted margin of 13.5%, saying operational improvements were strong and broad-based. She said H1 operating cash flow was below last year because working capital was hurt by lower Chinese NI down payments and the ERP rollout in U.S. operations, but that this should reverse partly or completely in H2. She quantified 2026 headwinds at about CHF 35 million from energy and commodity inflation, with about two-thirds in H2, and reiterated tariffs at roughly CHF 15 million gross P&L impact; she also said IFRS 18 would reduce H1 operating profit by about CHF 20 million if applied now, roughly 40 basis points of EBIT margin, and around CHF 40 million for a full year basis.

Analysts focused on whether higher unit growth versus value growth outside China reflected price pressure; management said there was no unusual price decline and that the gap was mainly mix, especially between large projects and modular-platform-driven low/mid-rise sales. Questions also probed the sustainability of efficiency gains, and Carla said H2 should still show solid improvement, with procurement savings remaining at a solid level and modular-platform benefits continuing to ramp. On China, management said new installations remain challenging and likely to stay in a high-single-digit to low-double-digit decline range, while modernization and service help offset the weakness; on the U.S. and Americas, management said service selectivity should improve unit trends gradually and that backlog conversion should support H2. Several questions addressed the Capital Markets Day timing and M&A backdrop; Paolo said the November event will focus on midterm plans and on what Schindler can control internally.