Sparks

Oerlikon raised FY26 guidance alongside H126 results, with order intake up 19.0% y-o-y at constant FX to CHF 920m (H125: CHF 826m) and sales up 6.7% to CHF 790m (H125: CHF 786m). Book-to-bill was 1.2, with backlog up to CHF 405m (H125: CHF 227m). Operational EBITDA increased 18.6% to CHF 156m, lifting the margin 300bp to 19.7% (H125: 16.7%) on 2025 cost-out actions launched in 2025, favourable business mix and inventory revaluation as critical minerals prices rose. Operational EBIT rose to CHF 78m (H125: CHF 46m), a 9.8% margin, with the result from continuing operations at CHF 40m (H125: CHF –46m). The net result of CHF 328m (H125: CHF –30m), or EPS of CHF 0.99 (H125: CHF –0.10), includes CHF 288m from discontinued operations, reflecting the CHF 290m gain on the February Barmag divestment. Net debt fell to CHF -748m (December 2025: CHF -1,320m) and leverage reached 2.5x, six months ahead of schedule.

Under the new three-segment structure, Materials & Equipment drove performance, with sales up 19.7% at constant FX to CHF 265m, mainly driven by materials on Aviation, Energy (industrial gas turbines) and General Industries demand and on pricing power including Yttrium and Tungsten surcharges, and operational EBITDA up to CHF 66m (H125: CHF 43m) at a 23.8% margin (H125: 16.9%). Segment backlog doubled to CHF 352m (H125: CHF 176m) on strong equipment order intake, expected to support H226 sales, with customers also securing critical minerals supply amid trade tensions. Coating Services sales grew 5.5% at constant FX to CHF 303m, with operational EBITDA of CHF 57m (H125: CHF 56m) at an 18.8% margin (H125: 18.0%). Components sales declined 4.4% at constant FX to CHF 222m, with operational EBITDA of CHF 26m (H125: CHF 30m) at an 11.9% margin (H125: 12.4%), as automotive weakness weighed on hot runners and friction systems. By end market in reported CHF, General Industries revenue rose 21% to CHF 199m, Energy 16% and Aviation 5%, while Automotive fell 9%, Luxury 6%, Hot runners 18% and Tooling 7%.

Oerlikon now guides to mid-single-digit organic sales growth in FY26 at constant FX, from low single digit previously, and an operational EBITDA margin of 18.5–19.5%, from c 17.5%, assuming Tungsten and Yttrium prices stay broadly stable. Management continues to flag geopolitical and trade tensions, supply chain disruption, soft Chinese luxury end-market demand and a muted European automotive backdrop, and targets leverage below 2x in the mid-term.