Germany's 2G Energy H1 output falls 4.7% on fewer Ukraine orders, EBIT margin declines
Germany's 2G Energy H1 output falls 4.7% on fewer Ukraine orders, EBIT margin declines
Overview
Germany power plant maker's H1 2026 total output fell 4.7% yr/yr to EUR 184 mln
EBIT margin for H1 2026 declined to 0.6% from 3.3% a year earlier
Company raised 2027 revenue forecast and secured over EUR 400 mln in Q3 orders
Outlook
2G Energy maintains 2026 revenue guidance at upper end of EUR 440-490 mln range
Company raises 2027 revenue forecast to EUR 600-650 mln from EUR 570-620 mln
2G Energy issues 2028 revenue forecast of EUR 750-850 mln
Result Drivers
UKRAINE ORDER VARIANCE - Fewer short-notice orders from Ukraine led to a decline in new plant revenue in H1 2026
SERVICE REVENUE NORMALIZATION - Service revenue improved in Q2 after ERP conversion effects were minimized
WORKFORCE EXPANSION - Personnel expenses rose due to consolidation of subsidiaries and expansion ahead of expected growth
Company press release: ID:nEQ9H0Bsja
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 EBIT |
| EUR 800,000 |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the heavy electrical equipment peer group is "buy"
Wall Street's median 12-month price target for 2G Energy AG is €80.00, about 42.6% above its September 28 closing price of €56.10
The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 32 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)