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Kitron Investor Presentation 2026
3643_rns_2026-04-24_92673367-c49b-47f9-ae4e-275fe607bc44.pdf
Investor Presentation
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Kitron
KITRON GROUP
Q1 2026 Results
From record to runway
Investor presentation / April 2026
Peter Nilsson, President & CEO / Cathrin Nylander, CFO
KITRON GROUP / Q1 2026
Kitron
A quarter that delivered
Record revenue, record backlog, all five sectors growing
REVENUE
€272.7m
+65.7% YoY (€164.6m)
EBIT
€25.6m
+105% YoY (€12.5m)
EBIT MARGIN
9.4%
+180 bps (7.6%)
ORDER BACKLOG
€805.9m
+54% YoY / +14% QoQ
BOOK-TO-BILL
1.35
Group above 1.0x
OP. CASH FLOW
€5.0m
supports record book
THE STORY OF Q1
All five market sectors grew year on year. Defence & Aerospace more than tripled and now represents around half of group revenue. DeltaNordic acquisition closed and consolidated from 1 January. EBIT margin above our 9% target — with room to do better.
KITRON GROUP / Q1 2026
Kitron
Operations & growth
Strong execution, lessons from Q1 already addressed, 2026 outlook reaffirmed
01 EXECUTION
Operational momentum holding
Customer ramp-ups progressing across all sites. New Swedish facility complete; Norway site handover on track. Polish capacity expansion of ~40% supporting CEE growth. CEE and Asia delivering EBIT margins above 10%.
02 Q1 EFFICIENCY
Below our internal target — and addressed
We expected slightly more on margin. Demand intensity outran supplier responsiveness in places, and the order book entered Q1 with less front-end loading than ideal. Neither is structural. Both are now built into our planning for the remainder of the year.
03 M&A
DeltaNordic integrated from day one
Acquisition closed and consolidated effective 1 January. ~€74m projected 2026 revenue, ~50% defence mix, two Swedish sites plus Nanjing, China. Capability and customers added immediately. Name changed to Kitron Eltech.
To meet 2026-2030 demand, we have extended the Kungsängen facility, accredited the Kitron Jönköping facility to serve select customers and are planning a new facility In Örnsköldsvik for early 2028 - doubling capacity, footprint and employees.
04 2026 OUTLOOK
Reaffirmed with confidence
Outlook is now trending to be in the upper half of Revenue €900–1,050m / EBIT €84–108m. Backed by a record order book, Book-to-Bill above 1.0x, and the deepest pipeline of new opportunities we have ever entered a quarter with.
KITRON GROUP / Q1 2026
Kitron
Sector revenue
All five sectors grew year on year — Defence & Aerospace tripled
Defence & Aerospace
+213% YoY
Now ~50% of group revenue (was ~27%). European rearmament, unmanned systems, missile programmes.
Connectivity
Industrial IoT and smart metering driving structural growth.
Medical devices
+28% YoY
Critical care and patient care leading. Above-market growth potential.
Industry
+19% YoY
Inflection in order intake — new mining & construction programme building backlog rapidly.
Electrification
+8% YoY
Power conversion ramping; data-centre and grid demand intact.
+4% YoY
KITRON GROUP / Q1 2026
Kitron
Backlog & forward demand
Record order book, deepest forward pipeline in Kitron's history
ORDER BACKLOG
€805.9m
+54% YoY / +14% QoQ
BOOK-TO-BILL
1.35x
Group above 1.0x
R6 DEMAND OUTLOOK
~€590m
front-loaded by ~10%
D&A SHARE OF BACKLOG
59%
from 45% a year ago
Order backlog by sector (€m)
R6 forward demand outlook (€m)
Note: R6 outlook is intentionally front-loaded with ~10% flexibility to absorb supply variability. It does not imply a flat ~€295m run-rate across the next two quarters; normal seasonality softens Q3.
kitron
KITRON GROUP / Q1 2026
Kitron
Q1 2026 financial highlights
Performance measures expressed in €m, prior year comparators in brackets
| REVENUE
€272.7m
+65.7% (€164.6m) | EBIT
€25.6m
+105% (€12.5m) | EBIT MARGIN
9.4%
+180 bps (7.6%) | EBITDA
€31.8m
+86% (€17.1m) |
| --- | --- | --- | --- |
| NET INCOME
€20.0m
+163% (€7.6m) | EPS
€0.09
+125% (€0.04) | OP. CASH FLOW
€5.0m
(€12.1m prior year) | ROOC R3
38.7%
+20 ppts (18.7%) |
| NWC R3 / SALES
15.7%
from 28.6% | CASH CYCLE R3
53 days
from 111 days | NIBD / EBITDA
0.5x
from 1.6x | EQUITY %
40.0%
from 36.3% |
KITRON GROUP / Q1 2026
Kitron
Business sectors by region
Revenue, EBIT and headcount across our three operating regions
REVENUE (€m)
| Business sectors | 31.03.2026 | 31.03.2025 | Change | 31.12.2025 |
|---|---|---|---|---|
| Nordics & North America | 117.7 | 93.7 | +24.0 | 391.7 |
| CEE | 131.5 | 51.6 | +79.9 | 265.7 |
| Asia | 26.3 | 21.1 | +5.2 | 91.9 |
| Group and eliminations | -2.8 | -1.7 | -1.1 | -11.0 |
| Revenue | 272.7 | 164.6 | +108.1 | 738.3 |
EBIT (€m)
| Business sectors | 31.03.2026 | 31.03.2025 | Change | 31.12.2025 |
|---|---|---|---|---|
| Nordics & North America | 9.4 | 7.7 | +1.7 | 36.3 |
| CEE | 17.9 | 4.3 | +13.5 | 27.8 |
| Asia | 2.7 | 1.6 | +1.1 | 11.1 |
| Group and eliminations | -4.4 | -1.2 | -3.2 | -10.7 |
| EBIT | 25.6 | 12.5 | +13.1 | 64.5 |
HEADCOUNT (FTE)
| Region | 31.03.2026 | 31.03.2025 | Change | 31.12.2025 |
|---|---|---|---|---|
| Nordics & North America | 1 316 | 1 014 | +302 | 1 150 |
| CEE | 1 483 | 902 | +581 | 1 406 |
| Asia | 574 | 475 | +99 | 534 |
| Total FTE | 3 373 | 2 391 | +982 | 3 090 |
REGIONAL VIEW
CEE: revenue +155% YoY
Now the largest region by revenue. Polish capacity expansion paying off; key customer ramps performing.
Nordics & NA: revenue +26% YoY
Steady growth but margin at 8.0% — slightly below target. Q1 supply constraints concentrated here.
Asia: revenue +25% YoY
Margin above 10%. Malaysia maturing as a non-China alternative.
FTEs: 3 373
+982 vs Q1 2025 (+41%), reflecting capacity build to support backlog conversion.
KITRON GROUP / Q1 2026
Kitron
Organic and inorganic growth
Kitron Eltech (formerly DeltaNordic) consolidated from 1 January 2026 — zero prior-year comparables
Q1 REVENUE (€m)
| Sector | Q1 2025 | Organic | Eltech | Q1 2026 | Org. Δ% |
|---|---|---|---|---|---|
| D&A | 43.8 | 129.6 | 7.7 | 137.3 | +196.0% |
| Electrification | 41.8 | 43.1 | 0.2 | 43.3 | +3.1% |
| Industry | 41.1 | 37.7 | 6.7 | 44.4 | -8.3% |
| Connectivity | 26.5 | 34.0 | - | 34.0 | +28.3% |
| Medical | 11.4 | 13.6 | ~0 | 13.6 | +19.3% |
| Total | 164.6 | 258.0 | 14.6 | 272.7 | +56.7% |
ORDER BACKLOG 31.03 (€m)
| Sector | Q1 2025 | Organic | Eltech | Q1 2026 | Org. Δ% |
|---|---|---|---|---|---|
| D&A | 235.8 | 428.3 | 48.5 | 476.8 | +81.6% |
| Electrification | 143.6 | 153.7 | 0.8 | 154.5 | +7.0% |
| Industry | 65.0 | 58.8 | 32.6 | 91.3 | -9.6% |
| Connectivity | 61.3 | 64.2 | - | 64.2 | +4.7% |
| Medical | 18.9 | 19.2 | ~0 | 19.2 | +1.6% |
| Total | 524.6 | 724.2 | 81.9 | 805.9 | +38.0% |
ORDER INTAKE Q1 (€m)
| Sector | Organic | Eltech* | Q1 2026 | BtB org. | BtB total |
|---|---|---|---|---|---|
| D&A | 141.3 | 56.2 | 197.5 | 1.09 | 1.44 |
| Electrification | 43.2 | 1.0 | 44.2 | 1.00 | 1.02 |
| Industry | 41.8 | 39.3 | 81.1 | 1.11 | 1.82 |
| Connectivity | 32.2 | - | 32.2 | 0.95 | 0.95 |
| Medical | 14.3 | ~0 | 14.3 | 1.05 | 1.05 |
| Total | 272.8 | 96.5 | 369.3 | 1.06 | 1.35 |
REVENUE
Organic growth: +56.7%
Even excluding Eltech, revenue grew almost 57% year on year. D&A organic revenue tripled (+196%). Industry shows a -8% organic dip — the Eltech contribution of €6.7m creates the reported +8% total growth. All other sectors are essentially pure organic.
ORDER BACKLOG
Organic backlog: +38%
Organic backlog of €724.2m is up 38% YoY — record visibility even without the acquisition. Eltech adds €81.9m, mostly in D&A (€48.5m) and Industry (€32.6m). Total backlog €805.9m.
ORDER INTAKE
Organic BtB: 1.06x
Organic intake of €272.8m supports a 1.06x BtB — meaning organic backlog is still building. Eltech's €96.5m intake (BtB 6.7x) reflects multi-year framework agreements booked on consolidation. Group total BtB at 1.35x.
- Eltech backlog 31.12 + Order Intake in Q1
KITRON GROUP / Q1 2026
Kitron
Cash flow & working capital
Working capital supports the record book; structural cash quality intact
CASH FLOW (€m)
| Cash flow | Q1 2026 | Q1 2025 | FY 2025 |
|---|---|---|---|
| Profit before tax | 24.9 | 10.0 | 55.1 |
| Depreciations | 6.2 | 4.6 | 18.6 |
| Change in inventory, AR, contract assets, AP | -26.7 | -2.0 | 52.5 |
| Change in other operating items | 0.6 | -0.5 | -32.6 |
| Net cash from operating activities | 5.0 | 12.1 | 93.6 |
| Net cash from investing activities | -67.5 | -1.6 | -12.4 |
| Net cash from financing activities | -1.6 | 9.5 | 17.6 |
NET WORKING CAPITAL (€m)
| Net working capital | 31.03.26 | 31.03.25 | 31.12.25 |
|---|---|---|---|
| Inventory | 192.5 | 151.3 | 155.1 |
| Contract assets | 97.7 | 79.4 | 98.9 |
| Trade receivables | 190.6 | 129.4 | 150.1 |
| Trade payables | 307.6 | 170.3 | 268.7 |
| Net working capital | 173.2 | 189.8 | 135.4 |
OPERATING CASH FLOW
€5.0m vs €12.1m. Planned working-capital support of a record book; high growth absorbs cash before it converts.
NET WORKING CAPITAL
€173.2m, down 9% YoY. NWC R3 as % of sales improved to 15.7% (from 28.6%) — closing in on our 60-day cash cycle target.
INVESTING CASH FLOW
€-67.5m driven by the DeltaNordic settlement (~€59m in January). Underlying capex remains disciplined.
KITRON GROUP / Q1 2026
Kitron
Financial ratios
Capital efficiency and balance-sheet quality
KEY RATIOS
| Ratios | 31.03.2026 | 31.03.2025 | 31.12.2025 |
|---|---|---|---|
| R3 NWC % of sales | 15.7% | 28.6% | 15.9% |
| R3 ROOC % of EBIT | 38.7% | 18.7% | 39.3% |
| R3 Cash conversion cycle | 53 days | 111 days | 55 days |
| Net interest-bearing debt (€m) | 44.4 | 108.2 | -31.6 |
| Net gearing | 0.13 | 0.52 | -0.10 |
| NIBD / EBITDA | 0.5 | 1.6 | -0.4 |
| Equity % | 40.0% | 36.3% | 42.4% |
| EPS quarter (€) | 0.09 | 0.04 | 0.08 |
| EPS YTD (€) | 0.09 | 0.04 | 0.22 |
RETURN ON OPERATING CAPITAL
ROOC R3 at 38.7% — more than double Q1 2025 (18.7%). Operating leverage on a stable cost base.
BALANCE SHEET STRENGTH
NIBD/EBITDA 0.5x, net gearing 0.13. Conservative leverage even after the DeltaNordic settlement.
EARNINGS PER SHARE
Q1 EPS €0.09 vs €0.04 — more than doubled YoY. Translating revenue growth into shareholder return.
kitron
KITRON GROUP / Q1 2026
Kitron
A pipeline like never before
Building the case for our medium-term ambition
MEDIUM-TERM AMBITION
€1.5
billion annual revenue
ANCHORED IN
- A record €805.9m order book
- The deepest 2026 / 2027 opportunity pipeline in our history
- Customers engaging earlier, on larger and longer programmes
- A multi-regional platform engineered for speed and scale
STRUCTURAL THEME 01
European defence rearmament
NATO commitments rising toward 3.5%+ of GDP. Multi-year programme cycles, not point orders. Seven Kitron sites positioned for New Defence Tech speed and scale.
STRUCTURAL THEME 02
Grid & data-centre electrification
Power conversion, grid modernisation and data-centre infrastructure underpin a multi-year demand cycle. Recovery of the Electrification base is already visible in Q1.
STRUCTURAL THEME 03
Industrial digitalisation
Industry 4.0 retrofit, advanced sensors, mining & infrastructure automation. Industry sector showed a sharp Q1 inflection — a leading indicator we expect to compound.
KITRON GROUP / Q1 2026
Kitron
Key takeaways
Five things to remember about Q1 2026
| 01 | Record revenue, broad-based growth
€272.7m revenue (+65.7% YoY). All five sectors grew. Defence & Aerospace tripled and now represents around half of group revenue. |
| --- | --- |
| 02 | Profitability above target — with room to do better
EBIT €25.6m at 9.4% margin. Q1 efficiency held back by supply timing and front-end loading, both addressed for the rest of the year. |
| 03 | Record order book, deepest pipeline ever
Backlog €805.9m (+54% YoY), Book-to-Bill 1.35x. R6 demand outlook ~€590m, front-loaded for flexibility. |
| 04 | DeltaNordic on board from day one
Acquisition completed and consolidated effective 1 January. ~€74m projected 2026 revenue, ~50% defence mix. |
| 05 | On the road to €1.5 billion
2026 outlook now trending to be in the upper half of €900–1,050m revenue / €84–108m EBIT. The medium-term pipeline supports our €1.5bn ambition. |
Kitron
KITRON GROUP
Q&A
Thank you.
Next reporting: Q2 2026 / July 10, 2026
Investor relations: [email protected] / www.kitron.com
KITRON GROUP / Q1 2026
Kitron
Appendix — Alternative performance measures
Definitions of key APMs used in this presentation
| Order backlog | All firm orders and four months of committed customer forecast at revenue value. |
|---|---|
| EBIT / EBITDA | Operating profit / Operating profit + depreciations and impairments. |
| EBIT margin | EBIT / Revenue. |
| Net working capital (NWC) | Inventory + accounts receivable – accounts payable. |
| Operating capital | Other intangible assets + tangible fixed assets + net working capital. |
| ROOC R3 | (Last 3 months EBIT × 4) / (Last 3 months operating capital / 3). |
| NWC R3 % of sales | Last 3 months NWC / annualised revenue. |
| Cash conversion cycle (CCC) R3 | Days inventory outstanding R3 + days receivables R3 – days payables R3. |
| Net interest-bearing debt (NIBD) | Interest bearing debt + Lease liabilities (Non-current liabilities) + Interest bearing debt + Lease liabilities (Current liabilities) less Cash and cash equivalents |
| Net gearing | NIBD / Equity. |
| Book-to-Bill | Order intake / revenue, single quarter. |
| R6 demand outlook | Six-month forward demand, including firm orders and committed customer forecast, front-loaded. |