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Knorr-Bremse AG
Investor Presentation • Oct 30, 2025
247_rns_2025-10-30_a58447e6-0379-48c2-94f5-6cb9cbf914ab.pdf
Investor Presentation
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Key take-aways today
- RVS – Organic growth increased and strong profitability
- CVS – Margin expansion despite a very difficult truck market in NA
- BOOST strategy
- BROWNFIELD – Investors outreach for selling last asset of the SELL-IT program
- GREENFIELD – duagon's electronics business expands accretive revenue share of RVS
Travis Road Services: Expanding subscription-based and data-driven platform business in truck services
Operating Guidance FY25 confirmed
Accretive duagon business in electronics – Strategic & financial rationale
Accretive deal underpins BOOST
Increase of RVS's revenue share
Leading1 in the accretive and growing embedded electronics segment in rail
Rail Signaling market: entering EU and expanding NA
Revenue and cost synergies with existing electronics business
Double-digit growth contribution mid-term >20%)
~16% op. EBIT margin FY26e (M&A guardrail:
>14%)
>90% CCR
(Group target: 80-90%)
Solid demand in rail globally and truck market very challenging in NA
Current situation Outlook FY25
- APAC/CN: Good AM continues
- NA: KB Signaling supportive
- EU: Overall ongoing favorable demand, OE slow-down in freight
- APAC: CN stable development on high level; IN positive demand continues
- NA: Stable development, tariff effects to be monitored
EU: significantly better yoy
NA: significantly lower yoy
CN: better yoy, export stable and domestic growth with significant increase of EV
AM development better than OE development
Development of TPRs inline with truck OEMs exp., but uncertainties remains, esp. in NA
EU: slightly higher yoy
NA: significantly lower yoy, tariff effects to be monitored
CN: slightly higher yoy
Q3/25 – Strong orders and strong profitability driven by RVS
ORDER INTAKE
€ 1.96bn
(+5.2% yoy1 )
ORDER BOOK
€7.37bn
(+8.2% yoy1 ) REVENUES OF
€ 1.88bn
(+2.7% yoy1 )
€ 1,050m (+5.4% yoy 1 )
€ 833m (-0.1% yoy 1 )
OPERATING EBIT MARGIN
13.3%
(PY: 12.3%)
17.0% (PY: 16.0%)
10.5% (PY: 10.0%)
FREE CASHFLOW
€ 159m
(PY: € 184m)
104%
CCR (PY: 132%)
1) Organic development shown
ROCE and NWC efficiency strongly improved
RVS – Strong OI with book-to-bill once again >1
RVS – All regions grew in AM business and converting well
CVS – Organic order intake growth despite weak NA truck market
1) Organic development
CVS – Operating margin strongly supported by BOOST
10
1) Organic development
Operating Guidance FY25 confirmed
3) Partly recognized in FCF guidance for 2025, not in op. EBIT margin
- Revenue development
- Operating development confirmed
- FX based on levels as of Oct. 2025
- Essentially stable geopolitical and macroeconomic conditions
- Restructuring costs of around € 75m3
- No larger impacts by tariffs
Div. assumptions vs. FY24
RVS1 :
- Rev.: solid increase
- Op. EBIT margin: solid increase
CVS2
- Rev.: moderate decrease
- Op. EBIT margin: around the same level
Financial calendar 2025 – Upcoming events
| DATE | EVENT | LOCATION |
|---|---|---|
| Oct 30 |
Q3/25 financial results |
Online |
| Nov 5-6 | Roadshow | New York |
| Nov 5 | Roadshow | Frankfurt |
| Nov 11 | UBS European Conference | London |
| Nov 13 | Baird Conference | Chicago |
| Nov 19-20 | Roadshow | Helsinki/Copenhagen |
| Nov 26 | Roadshow | Warsaw |
| Dec 2-3 |
Goldman Sachs 17th Annual Industrials & Autos Week | London |
| Dec 2-3 |
Berenberg European Conference | London |
| Dec 4 |
SDC Premium Review Conference | Paris |
Group Q3/25 – Order intake and order book
Group Q3/25 – Revenue development
Group Q3/25 – Profitability and EPS
Group Q3/25 – Bridge reported EBIT to operating EBIT
Group Q3/25 – Bridge reported EBIT to operating EBIT
Group 9M/25 – Summary
ORDER INTAKE
€ 6.44bn
(+5.8% yoy1 )
ORDER BOOK
€7.37bn
(+8.2% yoy1
REVENUES OF
€ 5.84bn
(+0.4% yoy1 )
€ 3.22m (+4.0% yoy1 )
€ 2.62m (-3.3% yoy1 )
OPERATING EBIT MARGIN
12.8%
(PY: 12.3%)
16.4% (PY: 15.5%)
10.1% (PY: 10.7%)
FREE CASHFLOW
€ 319m
(PY: € 248m)
71%
CCR
(PY: 55%)
1) Organic development shown
)
Group 9M/25 – Order intake and order book
Group 9M/25 – Revenue development
Group 9M/25 – Profitability and EPS
Group 9M/25 – Bridge reported EBIT to operating EBIT
Group 9M/25 – KPIs
RVS 9M/24 – Order intake and order book
RVS 9M/25 – Revenue and profitability
26
1) M&A: before PPA
CVS 9M/24 – Order intake and order book
CVS 9M/24 – Revenue and profitability
Group – Income statement
| 2024 | 2025 | 2024 | 2025 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|
| in € million | Q1/24 | Q2/24 | Q3/24 | Q4/24 | FY24 | Q1/25 | Q2/25 | Q3/25 | 9M 2024 | 9M 2025 |
| Revenues | 1,974.2 | 2,012.9 | 1,909.6 | 1,986.5 | 7,883.2 | 1,958.1 | 1,998.6 | 1,882.8 | 5,896.7 | 5,839.5 |
| Change in inventory of unfinished/finished products | 52.1 | 4.3 | 32.6 | -45.3 | 43.7 | 55.8 | -36.9 | 17.0 | 88.9 | 35.9 |
| Own work capitalized | 32.4 | 25.9 | 26.1 | 28.7 | 113.2 | 22.5 | 22.8 | 20.3 | 84.5 | 65.6 |
| Total operating performance | 2,058.7 | 2,043.1 | 1,968.3 | 1,969.9 | 8,040.1 | 2,036.4 | 1,984.5 | 1,920.1 | 6,070.2 | 5,941.0 |
| Other operating income | 19.1 | 27.0 | 25.0 | 46.4 | 117.6 | 23.3 | 27.4 | 15.2 | 71.2 | 66.0 |
| Cost of materials | -1,007.7 | -965.1 | -939.6 | -890.5 | -3,803.0 | -958.4 | -894.7 | -889.1 | -2,912.5 | -2,742.1 |
| Personnel expenses | -523.5 | -515.0 | -496.3 | -519.8 | -2,054.5 | -556.8 | -542.5 | -503.4 | -1,534.7 | -1,602.7 |
| Other operating expenses | -224.7 | -241.2 | -250.3 | -281.1 | -997.4 | -245.4 | -247.7 | -228.1 | -716.3 | -721.3 |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | 321.9 | 348.8 | 307.1 | 324.9 | 1,302.8 | 299.1 | 327.0 | 314.8 | 977.9 | 940.9 |
| Depreciation, amortization, and impairment | -84.4 | -110.8 | -88.4 | -108.0 | -391.7 | -94.8 | -99.6 | -96.4 | -283.7 | -290.9 |
| Earnings before interests and taxes (EBIT) | 237.5 | 238.0 | 218.7 | 216.9 | 911.1 | 204.2 | 227.4 | 218.3 | 694.2 | 650.0 |
| Interest income | 14.3 | 11.4 | 15.8 | 18.3 | 59.7 | 17.0 | 13.3 | 10.8 | 41.4 | 41.1 |
| Interest expenses | -23.4 | -25.4 | -25.0 | -33.0 | -106.8 | -32.1 | -32.6 | -29.5 | -73.8 | -94.3 |
| Result from financial investments using the equity method | 1.7 | -1.6 | 0.1 | -15.8 | -15.6 | -2.9 | -13.9 | -3.5 | 0.2 | -20.3 |
| Impairment of other financial assets | -0.4 | -6.4 | -0.8 | -57.8 | -65.4 | -2.9 | -1.3 | 1.1 | -7.6 | -3.0 |
| Other financial result | -14.9 | -18.6 | -25.6 | -79.0 | -138.2 | 9.7 | 14.4 | 5.4 | -59.1 | 29.6 |
| Income before taxes | 214.8 | 197.4 | 183.1 | 49.6 | 644.9 | 193.1 | 207.3 | 202.7 | 595.3 | 603.0 |
| Taxes on income | -55.6 | -43.7 | -43.4 | -25.4 | -168.1 | -50.3 | -56.1 | -50.1 | -142.7 | -156.5 |
| Net income | 159.1 | 153.7 | 139.7 | 24.2 | 476.8 | 142.7 | 151.2 | 152.6 | 452.5 | 446.5 |
| Profit (loss) attributable to non-controlling interests | 5.4 | 9.4 | 9.8 | 7.3 | 31.8 | 8.1 | 11.1 | 9.3 | 24.5 | 28.5 |
| Profit (loss) attributable to the shareholders of Knorr-Bremse AG | 153.7 | 144.3 | 129.9 | 16.9 | 444.9 | 134.7 | 140.1 | 143.3 | 428.0 | 418.1 |
| Earnings per share in Euro | 0.95 | 0.90 | 0.81 | 0.10 | 2.76 | 0.84 | 0.87 | 0.89 | 2.66 | 2.59 |
Group – Cashflow statement
| 2024 | 2025 | 2024 | 2025 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|
| € million | Q1/24 | Q2/24 | Q3/24 | Q4/24 | 12M/24 | Q1/25 | Q2/25 | Q3/25 | 9M/24 | 9M/25 |
| Cash flow from operating activities | -48.3 | 219.0 | 257.6 | 614.0 | 1,042.3 | 66.2 | 207.9 | 231.0 | 428.3 | 505.0 |
| Cash flow from investing activities | -8.1 | -77.0 | -574.9 | -90.3 | -750.3 | -31.8 | -67.1 | -72.7 | -660.1 | -171.6 |
| Cash flow from financing activities | -23.9 | -311.5 | 1,009.8 | -44.9 | 629.5 | -31.8 | -1,028.7 | -72.7 | 674.4 | -1,133.2 |
| Cash flow changes Change in cash funds resulting from exchange rate and valuation-related |
-80.3 | -169.5 | 692.4 | 478.9 | 921.6 | 2.5 | -887.8 | 85.6 | 442.6 | -799.9 |
| movements | 7.8 | 4.3 | -28.3 | 41.5 | 25.3 | -11.9 | -52.4 | -1.9 | -16.2 | -66.3 |
| Change in cash funds | -72.5 | -165.2 | 664.1 | 520.4 | 946.9 | -9.5 | -940.3 | 83.6 | 426.5 | -866.3 |
| Cash and cash equivalents at the beginning of the period | 1,283.5 | 1,211.0 | 1,045.8 | 1,709.9 | 1,283.5 | 2,230.3 | 2,220.7 | 1,280.1 | 1,283.5 | 2,230.3 |
| Cash and cash equivalents at the end of the period | 1,211.0 | 1,045.8 | 1,709.9 | 2,230.3 | 2,230.3 | 2,220.7 | 1,280.1 | 1,363.8 | 1,709.9 | 1,363.8 |
Group – Balance sheet/ assets
| 2024 | 2025 | ||||||
|---|---|---|---|---|---|---|---|
| in € million | 31.03.2024 | 30.06.2024 | 30.09.2024 | 31.12.2024 | 31.03.2025 | 30.06.2025 | 30.09.2025 |
| Assets | |||||||
| Intangible assets | 778.6 | 770.2 | 957.9 | 933.4 | 914.8 | 884.8 | 875.5 |
| Goodwill | 688.5 | 689.2 | 864.1 | 883.4 | 873.2 | 870.4 | 860.3 |
| Property, plant and equipment | 1,864.1 | 1,851.2 | 1,879.5 | 1,898.6 | 1,833.6 | 1,757.8 | 1,776.3 |
| Investments accounted for using the equity method | 62.5 | 56.9 | 56.2 | 36.3 | 35.0 | 29.8 | 47.1 |
| Other financial assets | 144.6 | 136.2 | 88.3 | 82.7 | 81.3 | 96.4 | 87.5 |
| Other assets | 97.3 | 99.6 | 100.0 | 101.5 | 102.2 | 97.5 | 102.0 |
| Income tax receivables | 0.6 | 0.2 | 0.3 | 1.0 | 1.1 | 2.0 | 2.1 |
| Assets from employee benefits | 21.2 | 25.5 | 19.1 | 24.3 | 20.1 | 22.2 | 18.2 |
| Deferred tax assets | 81.3 | 77.1 | 148.6 | 236.8 | 207.8 | 181.3 | 183.9 |
| Non-current assets | 3,738.7 | 3,706.1 | 4,114.1 | 4,198.1 | 4,069.3 | 3,942.1 | 3,952.9 |
| Inventories | 1,231.4 | 1,235.4 | 1,355.7 | 1,216.0 | 1,286.9 | 1,248.1 | 1,261.8 |
| Trade accounts receivable | 1,605.0 | 1,604.6 | 1,635.4 | 1,384.8 | 1,635.3 | 1,576.2 | 1,626.1 |
| Other financial assets | 171.1 | 180.9 | 152.3 | 89.0 | 84.8 | 119.0 | 120.7 |
| Other assets | 168.9 | 182.4 | 202.1 | 206.1 | 206.5 | 208.5 | 221.3 |
| Contract assets | 76.4 | 79.1 | 161.5 | 160.1 | 156.4 | 152.6 | 153.0 |
| Income tax receivables | 79.6 | 101.3 | 84.4 | 81.2 | 38.4 | 37.5 | 45.8 |
| Cash and cash equivalents | 1,268.6 | 1,075.7 | 1,760.3 | 2,263.0 | 2,259.8 | 1,309.0 | 1,398.3 |
| Assets held for sale and disposal groups | 5.3 | 27.3 | 22.9 | 15.9 | – | – | – |
| Current assets | 4,606.1 | 4,486.7 | 5,374.7 | 5,416.1 | 5,668.0 | 4,650.9 | 4,827.0 |
| Total assets | 8,344.8 | 8,192.7 | 9,488.9 | 9,614.2 | 9,737.3 | 8,593.0 | 8,779.9 |
Group – Balance sheet/ liabilities
| 2024 | 2025 | ||||||
|---|---|---|---|---|---|---|---|
| in € million | 31.03.2024 | 30.06.2024 | 30.09.2024 | 31.12.2024 | 31.03.2025 | 30.06.2025 | 30.09.2025 |
| Equity | |||||||
| Subscribed capital | 161.2 | 161.2 | 161.2 | 161.2 | 161.2 | 161.2 | 161.2 |
| Capital reserves | 13.9 | 13.9 | 13.9 | 13.9 | 13.9 | 13.9 | 13.9 |
| Retained earnings | 9.4 | 309.4 | 309.8 | 309.4 | 309.4 | 309.4 | 309.4 |
| Other components of equity | -181.4 | -165.8 | -207.7 | -144.4 | -191.9 | -305.0 | -296.3 |
| Group earnings | 2,976.4 | 2,556.4 | 2,686.3 | 2,705.1 | 2,839.8 | 2,697.8 | 2,841.1 |
| Equity attributable to the shareholders of Knorr-Bremse AG | 2,979.5 | 2,875.0 | 2,963.6 | 3,045.2 | 3,132.4 | 2,877.3 | 3,029.3 |
| Equity attributable to non-controlling interests | 71.4 | 80.4 | 77.8 | 82.0 | 87.4 | 90.3 | 84.8 |
| Equity | 3,050.8 | 2,955.4 | 3,041.4 | 3,127.2 | 3,219.8 | 2,967.6 | 3,114.1 |
| Liabilities | |||||||
| Provisions for pensions | 235.4 | 227.4 | 243.6 | 239.3 | 220.9 | 219.2 | 200.9 |
| Provisions for other employee benefits | 19.3 | 28.4 | 31.3 | 32.4 | 30.5 | 31.8 | 34.3 |
| Other provisions | 180.4 | 183.5 | 183.0 | 227.5 | 219.3 | 208.9 | 208.3 |
| Trade accounts payable | – | – | 9.2 | 11.0 | 9.6 | 7.3 | 9.1 |
| Financial liabilities | 2,210.8 | 1,426.8 | 2,537.9 | 2,555.3 | 2,520.7 | 2,467.8 | 2,481.6 |
| Other liabilities | 10.8 | 9.6 | 12.0 | 13.0 | 12.3 | 11.3 | 16.1 |
| Income tax liabilities | 8.2 | 12.5 | 17.8 | 6.3 | 10.8 | 14.5 | 18.3 |
| Deferred tax liabilities | 140.1 | 135.2 | 135.1 | 89.6 | 78.6 | 62.8 | 69.9 |
| Non-current liabilities | 2,804.9 | 2,023.4 | 3,169.8 | 3,174.4 | 3,102.9 | 3,023.6 | 3,038.5 |
| Provisions for other employee benefits | 16.1 | 17.5 | 24.8 | 18.9 | 27.9 | 20.8 | 20.5 |
| Other provisions | 174.7 | 187.9 | 202.4 | 170.0 | 165.2 | 185.3 | 211.4 |
| Trade accounts payable | 1,199.2 | 1,170.0 | 1,160.7 | 1,128.4 | 1,195.4 | 1,164.7 | 1,144.3 |
| Financial liabilities | 649.7 | 1,350.4 | 1,370.9 | 1,390.9 | 1,442.4 | 636.0 | 647.8 |
| Other liabilities | 117.1 | 149.0 | 130.3 | 139.0 | 146.0 | 148.2 | 149.7 |
| Contract liabilities | 225.8 | 233.2 | 290.8 | 342.9 | 336.0 | 340.2 | 338.8 |
| Income tax liabilities | 103.6 | 93.5 | 89.2 | 112.5 | 101.7 | 106.5 | 114.8 |
| Liabilities directly associated with assets held for sale | 2.8 | 12.3 | 8.5 | 9.9 | – – |
– | |
| Current liabilities | 2,489.1 | 3,213.9 | 3,277.7 | 3,312.5 | 3,414.6 2,601.8 |
2,627.2 | |
| Liabilities | 5,294.0 | 5,237.3 | 6,447.5 | 6,486.9 | 6,517.5 | 5,625.4 | 5,665.7 |
| Total equity and liabilities | 8,344.8 | 8,192.7 | 9,488.9 | 9,614.2 | 9,737.3 | 8,593.0 | 8,779.9 |
Group – Net Financial Debt / (Cash) Balance
| in € million | 30.09.2025 | 30.09.2024 | 31.12.2024 |
|---|---|---|---|
| Cash and cash equivalents | -1,398.3 | -1,760.3 | -2,263.0 |
| Short-term liabilities to banks | 112.7 | 79.6 | 60.7 |
| Short-term bonds and obligations | 0.6 | 752.6 | 769.3 |
| Short-term leasing liabilities | 70.2 | 67.4 | 72.1 |
| Securities | 0.0 | 0.0 | 0.0 |
| Long-term liabilities to banks | 3.8 | 5.9 | 5.5 |
| Long-term bonds and obligations | 1,785.8 | 1,783.1 | 1,783.6 |
| Long-term leasing liabilities | 443.1 | 491.8 | 482.7 |
| Long-term notes payable / receivable | 1.5 | 0.6 | 0.6 |
| Net Financial Debt / (Cash) incl. securities | 1,019.5 | 1,420.7 | 911.6 |
Investor relations contact Andreas Spitzauer Sophia Kursawe +49 89 3547 0593 [email protected] +49 89 3547 0199 [email protected]
Disclaimer
IMPORTANT NOTICE
This presentation has been prepared for information and background purposes only. It does not constitute or form part of, and should not be construed as, an offer of, a solicitation of an offer to buy, or an invitation to subscribe for, underwrite or otherwise acquire, any securities of Knorr-Bremse AG (the "Company") or any existing or future member of the Knorr-Bremse Group (the "Group"), nor should it or any part of it form the basis of, or be relied on in connection with, any contract to purchase or subscribe for any securities of the Company, any member of the Group or with any other contract or commitment whatsoever. This presentation does not constitute and shall not be construed as a prospectus in whole or in part.
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The information contained in this presentation has not been independently verified, and no representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information contained herein, and no reliance should be placed on it. Neither the Company nor its advisers and any of their respective affiliates, officers, directors, employees, representatives and advisers, connected persons or any other person accepts any liability for any loss howsoever arising (in negligence or otherwise), directly or indirectly, from this presentation or its contents or otherwise arising in connection with this presentation. This shall not, however, restrict or exclude or limit any duty or liability to a person under any applicable law or regulation of any jurisdiction which may not lawfully be disclaimed (including in relation to fraudulent misrepresentation).
Historical financial or operative information contained in this presentation, if not taken or derived from our accounting records or our management reporting or unless otherwise stated, is taken or derived from financial statements prepared in accordance with either IFRS (for the financial years 2014-2019) or German GAAP (HGB) (for the financial years 1989-2019), each as indicated in this presentation, for the respective period. The financial statements prepared in accordance with IFRS may deviate substantially from (segmental or other) information in the financial statements prepared in accordance with German GAAP (HGB) and, thus, may not be fully comparable to such financial statements. Accordingly, such information prepared in accordance with German GAAP (HGB) is not necessarily indicative for the future results of operations, financial position or cash flows for financial statements prepared in accordance with IFRS. All amounts are stated in million euros (€ million) unless otherwise indicated. Rounding differences may occur. This presentation contains certain supplemental financial or operative measures that are not calculated in accordance with IFRS or German GAAP (HGB) and are therefore considered as non-IFRS measures. The Group believes that such non-IFRS measures used, when considered in conjunction with (but not in lieu of) other measures that are computed in accordance with IFRS, enhance the understanding of our business, results of operations, financial position or cash flows. There are, however, material limitations associated with the use of non-IFRS measures including (without limitation) the limitations inherent in the determination of relevant adjustments. The non-IFRS measures used by us may differ from, and not be comparable to, similarly-titled measures used by other companies.
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