Schindler Holding AG

H1 2026 revenue increased 1.4% in local currency, and Q2 revenue grew 1.1%. H1 order intake rose 2.9% in local currencies, with modernization up close to 13% in H1 and 11% in Q2. H1 EBIT margin was 13.2%, up 90 basis points year over year, and adjusted EBIT margin was 13.5%; net profit margin moved into double digits. The backlog was up 5.8% versus year-end 2025, and Q2 backlog was up 3% year over year in local currencies. Full-year 2026 guidance was confirmed: revenue growth of low to mid single digits in local currencies and EBIT margin of 13%. Management also said additional inflation from energy and commodities is expected to be circa CHF 35 million in 2026, with about two-thirds in the second half, and tariffs are still estimated at approximately CHF 15 million gross P&L impact.

Paolo Compagna framed the half as an operationally strong period with another record operating profit and broad-based margin improvement. He emphasized that the modular platform is improving competitiveness, field installation efficiency, and market share gains, especially in Europe and in the U.S. mid-rise product. He was also clear that the strategy is unchanged despite industry consolidation, and he said Schindler is staying focused on profitable growth and customer reliability.

Carla De Geyseleer focused on the financial bridge behind the results: EBIT margin was 13.2% in H1 and 13.5% adjusted, with CHF 45 million of operational improvements in the H1 EBIT bridge. She said revenue growth of 1.1% in Q2 was held back by softer NI and timing on larger modernization projects, while FX created a CHF 233 million headwind in H1 and CHF 48 million in Q2. On cash flow, she said operating cash flow was below last year because of working capital, citing lower down payments in China NI and the ERP implementation in U.S. operations; she expects that working capital drag to reverse partly or completely in H2. She also quantified 2026 inflation at circa CHF 35 million and reiterated tariffs at about CHF 15 million.

Analysts focused on the apparent gap between unit growth and value growth outside China, and management said it was mix rather than pricing pressure, with a larger share of modular-platform and lower/mid-rise projects. Questions also centered on Europe share gains, North American service selectivity, China new installation declines, and the delayed Capital Markets Day; management repeatedly pointed to the modular platform, disciplined bidding, and customer selectivity. On China, management said new installations remain challenging and that second-half declines are likely still in the high-single-digit to low-double-digit range, while modernization and service remain strong. Management also said the Q2 Capital Markets Day timing is for sharing midterm plans focused on what is in Schindler’s control.