Netherlands' TKH Group Q2 revenue rises on electrification growth
Netherlands' TKH Group Q2 revenue rises on electrification growth
Overview
Netherlands industrial technology firm's Q2 revenue rose 18% organically, driven by Electrification segment
Adjusted EBITA for Q2 grew 67.5% organically, supported by Vision Technology and energy demand
Company reiterates outlook for organic growth in turnover and Adjusted EBITA for 2026
Outlook
TKH expects organic growth in both turnover and Adjusted EBITA in 2026
Company expects Electrification's improved operational performance to continue in H2 2026
Medium-term guidance for Electrification updated, targeting revenue growth of > 9% and EBITDA margin of > 19.0%
Result Drivers
ELECTRIFICATION GROWTH - Strong demand for onshore and offshore energy, improved Eemshaven plant output, and higher installation volumes drove Electrification segment gains
VISION TECHNOLOGY DEMAND - Automation segment benefited from strong demand in semiconductors, consumer electronics, and factory automation, with APAC making a strong contribution
TIRE BUILDING WEAKNESS - Automated Machinery performance was impacted by low order intake for Tire Building systems in previous quarters
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue |
| EUR 507.60 mln |
|
Q2 Adjusted EBITA |
| EUR 67.30 mln |
|
Q2 Orders |
| EUR 508.10 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the electrical components & equipment peer group is "buy"
Wall Street's median 12-month price target for TKH Group N.V. is €54.25, about 21.1% above its August 10 closing price of €44.80
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 14 three months ago
Reuters Recommended Reads
Aug 10 - Germany's GEA Group Q2 revenue rises, lifts revenue growth outlook
Aug 10 - Energy Services of America Q3 revenue rises 25.5% on strong segment demand
Aug 10 - CECO Environmental Q2 revenue slightly beats on increase in orders, backlog
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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.)