Germany's EDAG Engineering prelim 9M revenue falls on automotive customer restructuring, cuts FY26 outlook

EDAG Engineering AG

26/10/2026 18:16

Overview
Germany-based engineering services firm's preliminary 9-month revenue declined yr/yr
Preliminary adjusted EBIT turned positive for the first nine months
Company cut full-year 2026 revenue guidance, now sees up to 10% decline

Outlook
EDAG now expects 2026 revenue to decline by up to 10%, versus prior view of 5%
Company maintains 2026 EBIT margin guidance of up to 3%

Result Drivers
AUTOMOTIVE CUSTOMER RESTRAINT - Co said revenue decline was mainly due to continued restraint among automotive customers, linked to their restructuring and transformation
INDUSTRIAL CAUTION - Co said industrial sector remains cautious, weighing on demand
LOWER PROJECT CALLOFFS & INSOURCING - Co said lower project call-offs and increased insourcing by customers reduced demand for automotive engineering services

Company press release: ID:nEQ9G0jqja

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
9M Revenue
 
EUR 498.70 mln
 
9M Adjusted EBIT
 
EUR 4.70 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the auto, truck & motorcycle parts peer group is "buy"
Wall Street's median 12-month price target for Edag Engineering Group AG is €4.00, about 38.4% above its October 26 closing price of €2.89
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 8 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.)