SFC Energy AG

Reported half-year revenue grew 12% year over year. Group gross margin was 47.1%, up 4.6 percentage points year over year. Adjusted EBITDA margin was 22%, up 10.8 percentage points, and adjusted EBIT margin was 17%, up 10.7 percentage points. Adjusted EBITDA was EUR 18.4 million and adjusted EBIT was EUR 14 million. Cash flow from operating activities was EUR 4.6 million, order intake was EUR 108.6 million, backlog was EUR 105 million, cash freely available was EUR 44 million, and net cash was EUR 41.2 million. Guidance was narrowed upward to revenue of EUR 166 million-EUR 175 million, EBITDA of EUR 31.5 million-EUR 34 million, and adjusted EBIT/EBITDA of EUR 21.5 million-EUR 25.5 million.

Peter Podesser framed the quarter as evidence that the business is scaling, with defense, industrial security, and off-grid power all benefiting from structurally growing demand. He said Ukraine has become a major catalyst, but emphasized the broader strategy of building repeat business, local support, and customer diversification in the U.S., India, Singapore, and other markets. His tone was confident but cautious, repeatedly noting areas where the company is not yet at plan and still needs to build out supply, support, and localization.

Daniel Saxena highlighted broad margin expansion from mix and operating leverage, with gross margin at 47.1%, adjusted EBITDA margin at 22% and adjusted EBIT margin at 17%. He pointed to a EUR 500,000 impairment of capitalized R&D, around EUR 600,000 of consultancy expense tied to closing Ukraine deals, and 13% R&D capitalization versus 50% last year. He also detailed working capital pressure from receivables, with DSO at 139 days, plus platinum purchases to lock in lower prices, while reiterating solid liquidity of EUR 44 million cash and EUR 41.2 million net cash.

Analysts focused on why guidance looked conservative despite the Ukraine order, how much of that order would land in H2, and whether 2027 could repeat the Ukraine-driven step-up. Management said the lower-end guidance reflects potential H2 costs and uncertainties, including Clean Power Management softness, possible R&D impairments, higher IT/ERP costs, Ukraine support buildout, and supply-chain risk. On delivery timing, Peter said a significant part of the Ukraine order should ship in Q3 with residual revenue in Q4, and that a clearer 2027 picture should emerge in September or October. Questions on the U.S. were answered by explaining that top CCTV players are now customers, but volumes are still constrained by head-to-head competition and not by technology replacement.