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Cherry AG Investor Presentation 2026
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Investor Presentation
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CHERRY ENTER EXCELLENCE
CHERRY SE
Q4/FY 2025
PRELIMINARY RESULTS
INVESTOR PRESENTATION
05 MARCH 2026
LEGAL DISCLAIMER
This presentation contains forward-looking statements.
These statements are based on the current views, expectations and assumptions of the management of Cherry SE and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Actual results, performance or events may differ materially from those described herein due to factors affecting Cherry SE such as, among other things, changes in the general economic and competitive environment, capital market risks, currency exchange rate fluctuations and competition from other companies, and changes in international and national laws and regulations, in particular with respect to tax laws and regulations. Cherry SE does not assume any obligation to update any forward-looking statements.
The information contained in this presentation is for background purposes only and does not purport to be full or complete. No reliance may be placed, for any purpose, on the information contained herein or its accuracy or completeness. The information in this presentation is subject to change.
MARKET & INDUSTRY DATA
This presentation also contains estimates and other statistical data made by independent parties and by the Company relating to the Company's industry, the Company's business and the market for the Company's products and its future growth. This data involves a number of assumptions and limitations, and you are cautioned not to give undue weight to such estimates. In addition, projections, assumptions, and estimates of the Company's future performance and the future performance of the market for its products are necessarily subject to a high degree of uncertainty and risk.
GENERAL REMARK
Figures may not add up due to rounding.
INVESTMENT HIGHLIGHTS
ROGIER VOLMER, CEO
CHERRY ENTER EXCELLENCE
INVESTMENT HIGHLIGHTS
ROGIER VOLMER NEW (INTERIM) CEO
Mission
"Cherry's strength lies in its brand, technology and people; the focus now is disciplined execution to deliver sustainable performance."
Professional Experience
- MD, DACH & Benelux, Haier Europe - turnaround mandate
- CEO, Trust International - PE-backed transformation and scaling
- General Manager Europe, Logitech - 10 years in multiple international roles
- Philips Consumer Electronics - sales, marketing & management roles
logitech
PHILIPS
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
INVESTMENT HIGHLIGHTS
MAJOR MILESTONES 2025
New divisional heads in Peripherals and Digital Health
- Alex Hecker leads GOP since January
- Dr. Philip Groth responsible for DH&S since March
Sale of Hygiene Business
- "Active Key" sold to Contour Design Inc.
- Purchase price with fixed component of EUR 10.3m
- Book gain of EUR 5.7m
TI-Messenger provider approval
- CHERRY Digital Health TI-M provider approval from gematik in August
- TIM.Pro approval for digital communication with patients and health insurers in December
Jurjen Jongma new CFO as of 1 September
- Management Board expanded to three members again
- Responsibility for Finance, IT, Investor Relations, M&A, and Legal & Corporate Affairs
Further inventory reduction achieved
- Group inventories EUR 28.8 m, down by EUR 29.5m yoy
- Number of office SKUs reduced by c. 43% vs. 1 January 2025
Q4/FY Results Presentation 5 March 2026
Q4 AND FY 2025 FINANCIALS
JURJEN JONGMA, CFO
CHERRY ENTER EXCELLENCE
Q4 AND FY 2025 FINANCIALS
Q4 AND FY 2025 KPI IMPACTED BY ACTIVE KEY SALE
Revenue
FY 2025
EUR 94.3m
15% yoy
Q4 2025
EUR 23.7m
10% yoy
adj. EBITDA
FY 2025
EUR -9.8m
40% yoy
Q4 2025
EUR -4.9m
22% yoy
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
Q4 AND FY 2025 FINANCIALS
Q4 AND FY GROUP KEY KPI OVERVIEW
FY REVENUE
(EUR m)
- Revenue down 15% in FY and 10% in Q4 due to basis effect from Active Key divestment and weak Components demand
- On a comparable basis FY sales by 4.7%
- Strong u/l demand in eHealth terminal sales and increased momentum in Peripherals
- Adj. EBITDA momentum improved in Q4, driven by Peripherals and cost control
FY ADJ. EBITDA
(EUR m; margin in %)
Q1
Q2
Q3
Q4
Minor rounding differences may occur
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
Q4 AND FY 2025 FINANCIALS
Q4 AND FY SEGMENTAL KEY KPI OVERVIEW
REVENUE SPLIT (EUR m)
ADJ. EBITDA SPLIT (EUR m)
COMP
DH&S
PERIPHERALS
CENTRAL
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
Q4 AND FY 2025 FINANCIALS
NORMALIZING OUT 2025 EXTRAORDINARY ITEMS
| 2025 (EUR m) | Adjustments
Current
Methodology | Adjustments
Non-recurring
items only |
| --- | --- | --- |
| Sales | 0.0 | 0.3 |
| Gross Profit 1 | 4.7 | 11.8 |
| Gross Profit 2 | 5.2 | 13.7 |
| R&D | 4.0 | 4.3 |
| Selling
Expenses | 2.3 | 2.6 |
| G&A | 2.3 | 2.3 |
| Other Income | 3.1 | -5.7 |
| EBIT | 16.8 | 17.3 |
| D&A | 6.5 | 6.5 |
| EBITDA | 10.4 | 10.8 |
Impact mainly in Peripherals, due to Argand Inventory Sales and accelerated Inventory Clearance
Impact mainly in DHS, due to non-recurring impact of Active Keys divestment
- The starting point is that adjusted EBITDA should be a proxy for underlying, recurring, operational performance of both the segments and the Group as a whole
- Unfortunately, some non-recurring items, mainly related to the divestment of Active Keys, were not adjusted out
- In addition, costs related to restructuring also were not adjusted out
- Although the "correct" adjusted EBITDA for the group as a whole is largely unaffected, there is a big impact on Gross Margin that largely relates to Peripherals, and there is a big impact on other income that largely relates to Digital Health
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
Q4 AND FY 2025 FINANCIALS
11
SEGMENTAL OPERATIONAL PERFORMANCE
| Components | ||||
|---|---|---|---|---|
| Full year financials | 2025 | 2024 | ||
| Reported | Adjusted | Operational | Operational | |
| (EUR m) | ||||
| Sales | 4.8 | 4.8 | 4.8 | 7.4 |
| GM 1 | 1.5 | 2.6 | 2.6 | 3.6 |
| OPEX | -9.7 | -8.0 | -6.7 | -7.7 |
| EBIT | -8.2 | -5.4 | -4.1 | -4.1 |
| EBITDA | -6.2 | -5.2 | -3.8 | -2.9 |
| Peripherals | ||||
| --- | --- | --- | --- | |
| 2025 | 2024 | |||
| Reported | Adjusted | Operational | Operational | |
| 67.2 | 67.2 | 67.2 | 72.6 | |
| 17.4 | 20.0 | 25.5 | 23.5 | |
| -27.3 | -25.2 | -25.0 | -24.3 | |
| -9.9 | -5.2 | 0.5 | -0.8 | |
| -6.1 | -3.4 | 2.2 | 3.2 | |
| Digital Health | ||||
| --- | --- | --- | --- | |
| 2025 | 2024 | |||
| Reported | Adjusted | Operational | Operational | |
| 22.3 | 22.3 | 22.6 | 19.3 | |
| 11.4 | 12.3 | 13.9 | 13.1 | |
| -6.7 | -0.3 | -8.7 | -8.2 | |
| 4.7 | 12.0 | 5.2 | 4.9 | |
| 9.2 | 13.9 | 7.0 | 7.3 |
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
Q4 AND FY 2025 FINANCIALS
12
OPEX DEVELOPMENT ON A COMPARABLE BASIS
| OPEX in EUR m / % of sales | 2023 | 2024 | 2025 | |||
|---|---|---|---|---|---|---|
| Manufacturing costs | 21.2 | 16.8% | 17.3 | 15.7% | 15.6 | 16.5% |
| R&D | 8.2 | 6.5% | 7.5 | 6.8% | 5.2 | 5.5% |
| Selling expenses | 25.9 | 20.5% | 24.7 | 22.4% | 21.1 | 22.4% |
| G&A | 15.8 | 12.5% | 15.9 | 14.4% | 13.2 | 14.0% |
| TOTAL | 71.1 | 56.2% | 65.4 | 59.2% | 55.1 | 58.4% |
In 2026 we plan to take out another approx. EUR 10 m in OPEX.
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
Q4 AND FY 2025 FINANCIALS
OPTIMIZED INVENTORY: LEANER AND MORE EFFICIENT
CHANGE IN INVENTORIES (in EUR m)
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
Q4 AND FY 2025 FINANCIALS
14
CASH CONVERSION CYCLE - ACCELERATED LIQUIDITY GENERATION
Q4/FY Results Presentation 5 March 2026
OPERATIONS UPDATE
DR. UDO STRELLER, COO
CHERRY ENTER EXCELLENCE
OPERATIONS UPDATE: COO STRATEGY
COO - STRATEGY PROCESS
5 key strategic fields embedded into our company culture HEART OF CHERRY
| Strategy Fields | Long term Mission | Deployment |
|---|---|---|
| ESG | Culture & ESG make the core | Yearly cycle of strategy deployment: |
| Review | ||
| Product, Innovation & Technology | Customer value add centric, intrinsic innovative | |
| Performance & Footprint | Scalable global Cherry fab network @ performance top | Half Yearly cycle of roadmap deployment: |
| Execution | ||
| Quality | Best in class quality, preventive by nature | |
| Supply Chain | Resilient supply chain, customer need centric |
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
OPERATIONS UPDATE: ESG
MATERIALITY ANALYSIS & CARBON FOOTPRINT
MATERIALITY ANALYSIS
- Materiality matrix based on seven ESRS topics
- Financial Materiality (outside in) and Impact Materiality (inside out)
- Top 3: corporate politics, circular economy, climate change
- Derivation of strategic packages of measures, e.g. climate change -> corporate carbon footprint analysis (CCF)
CCF*
- 36,319.8 t/CO₂e total emissions in 2024
- Thereof only 1.8% direct emissions (Scope 1)
$CO_2$ SOURCES
1) other goods and materials
3) stationary burn
5) business trips
LEGAL ENTITIES
1) Zhuhai Cherry Electronics Co. Ltd.
3) Cherry Americas LLC
5) Cherry xtrfy
SCOPES
2) Auerbach i.d. Opf.
4) Cherry Embedded Solutions
*Corporate Carbon Footprint
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
OPERATIONS UPDATE: RESTRUCTURING
18
RESTRUCTURING UPDATE
The following restructuring measures have been implemented and completed:
- Auerbach site transition and
- Global logistics footprint adaption led to reduced complexity & cost
More is needed to become profitable.
Inhouse manufacturing sites down to 2 (Peripherals @ China, DHS @ Austria)
Complemented by two established subcon partners for Peripherals in Slovakia & China
Logistic / WH setup down from 7 to 3 (1x Europe/Asia/US)
Europe = Auerbach for complete Europe Business (all Peripherals incl. Webshop, DHS)
Auerbach development site for hardware technology (incl. switch & metal part piloting)
Complemented by development hubs in Sweden & China
Software/Firmware Development center in Vienna
Q4/FY Results Presentation 5 March 2026
OUTLOOK
ROGIER VOLMER, CEO
CHERRY ENTER EXCELLENCE
OUTLOOK: EVOLVE TO PLATFORM
20
CHERRY EVOLVES TO A PLATFORM FOR SECURE AND HIGH-PERFORMANCE INPUT SOLUTIONS
DH&S – REVENUE AND MARGIN GROWTH
- Ongoing strong demand for terminals
- HW footprint enables bundling with new SW offers in licensing model...
- ... generating increasingly predictable recurring revenues
- Paradigm shift to platform provider, driven by TI-M rollout
- PoPP SaaS revenues projected to surpass terminal revenues by 2029
PERIPHERALS & COMPONENTS FOUNDATION STRENGTHENED
- Positioned as a focused input-device specialist with proprietary switch technology
- Mid term ambition to strengthen market position
- EMEA: transition progressing; stability improving
- APAC: disciplined execution driving solid performance
- AMERICAS: structural reset ongoing; profitability prioritized
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
OUTLOOK: E-HEALTH BUSINESS WITH SCALABLE BASE
E-HEALTH BUSINESS BUILT ON ROBUST CORE FUNDAMENTALS
NUMBER OF E-HEALTH TERMINALS DELIVERED (UNITS)
LICENSE / BUNDLE MODEL 2027FF
- Up to 200k more unit deliveries expected for 2026-2028
- 2025 return rates decreased by 45% yoy, supporting margin uplift
- HW footprint enables bundling with new SW offers, creating compounding ARR through licensing model
- Postponed 120k new TI users will need both, HW and SW, unlike existing customers
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
OUTLOOK: E-HEALTH BUSINESS DRIVERS BEYOND 2026
22
GEMATIK DRIVEN E-HEALTH TAILWINDS AHEAD
1 Proof of Patient Presence launch in Q4 2026 as per current gematik schedule 2 Postponed from 1 Jan 2026, see CN dated 13 November 2025; connection via terminal system or PoPP SW
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
OUTLOOK: PERIPHERALS FROM STABILIZATION TO EXECUTION
23
PERIPHERALS AND COMPONENTS: STRENGTHENING THE FOUNDATION
Working Capital & Inventory Discipline
- Inventory materially reduced
- Targeted sell-out of slow-moving SKUs
- Restored price discipline on core products
- Demand-driven replenishment approach implemented
Portfolio & Commercial Focus
- Prioritization of top-performing products
- SKU simplification initiated
- Clearer B2C / B2B differentiation
- Increased focus on core, growth and priority segments
Structural Simplification
- Optimized distribution model
- Defined regional market ownership
- Lean and scalable logistics structure
- Enhanced visibility across the value chain
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
OUTLOOK: PERIPHERALS PRODUCT OPPORTUNITIES
24
PERIPHERALS INNOVATION PIPELINE HIGHLIGHTS
SELECTED 2026 PRODUCT LAUNCHES
GLOBAL OFFICE PORTFOLIO
KW4000
KW3100
K37ID
GLOBAL INDUSTRY AND SECURITY PORTFOLIO
MX LP Industry
1150
Smart Board 1150
Smart Terminal ST1150
GLOBAL GAMING PORTFOLIO
8.2 TMR
GP8 CX
H3 Wired
K5 TMR
M42V2
MZ2
CHINESE GAMING PORTFOLIO
Lumipad Pokémon edition
MW5500 Pokémon edition
MX8.2 PRO TMR Pokémon edition (Hybrid MX/MK switch)
Pixiu 75 V2 (IK)
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
OUTLOOK: PERIPHERALS MARKET OPPORTUNITIES
25
MID-TERM GROWTH OPPORTUNITY IN RETAIL AND CORDLESS
STRONG RETAIL MARKET MOMENTUM
Retailer growth
yoy Germany*
% retail value
share Germany*
- GfK December 2025 on EU3 panelmarket, keying devices, computer keyboard no gaming
CORDLESS OPPORTUNITY
80% cordless share
in Germany*
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
OUTLOOK: M&A PROCESS
26
STRATEGIC PORTFOLIO REVIEW TO ENHANCE FINANCIAL FLEXIBILITY
Scope: Management Board of Cherry SE has initiated M&A process for the potential divestment of one of the two business segments, DH&S or Peripherals
Objective: Strengthen financial position and finance future growth of the remaining division
Timeline: Company continues to work towards the objective of concluding the strategic review within H1 2026
Process Status: Engagement with interested parties is ongoing under customary confidentiality arrangements
Investor universe: Interest includes both strategic and financial investors
Q4/FY Results Presentation 5 March 2026
CHERRY ENTER EXCELLENCE
OUTLOOK: WHAT TO EXPECT FOR 2026 AND BEYOND
THE WAY FORWARD
- Continued inventory optimization and structural clean-up
- Strengthened operational control and discipline
- Enhance gross margin and finally reach profitability
EXECUTION
- EFFICIENCY
-
PROFITABILITY
-
Clearer regional accountability
- Sharpened focus on core portfolio priorities
- Credible guidance to be issued in Q2
Q4/FY Results Presentation 5 March 2026
IR CONTACT
NICOLE SCHILLINGER
SVP INVESTOR RELATIONS
EMAIL: [email protected]
PHONE: +49 9643 2061 848
WEB: HTTPS://IR.CHERRY.DE
CHERRY
ENTER EXCELLENCE