Business Review

Improved profitability in continued uncertain market environment

Geopolitical uncertainty and a sluggish economic recovery impacted the market situation in the first half of 2025. Order intake increased slightly by 1.5% to CHF 309 million (+3.5% at constant exchange rates). Sales declined slightly, as expected, to CHF 305 million (–6.2% at constant exchange rates). The optimized cost base led to improved profitability. As a result, EBIT loss of CHF –8 million was lower than that in the first half of the previous year (H1 2024: CHF –23 million).

Order intake and sales development

Despite the continued tense market situation, order intake for the Group was at the previous yearʼs level. Sectors such as agriculture, in which many of our customers are involved, especially in the USA, saw a decline. There was a reluctance to invest due to low corn prices. Bystronic felt this too. The Group is just now seeing the first signs of improvement.

In Europe, the kitchen and household appliance branch as well as the construction industry with fittings and window frames are important. While business in southern Europe developed more positively overall, central Europe, including Germany, was more restrained.

In Asia, the market situation became more stable and in China, conditions improved – although from a low level to start with.

In total, order intake was CHF 309 million. The Systems Division was able to increase new orders to CHF 209 million. The tube laser cutting business showed positive development. And the new tube laser system ByTube Star 330 was very well received and was increasingly in demand.

In the Service Division, order intake fell 8.2% (–6.2% at constant exchange rates) to CHF 100 million.

For the entire Group, sales were CHF 305 million, slightly below the previous year (–6.2% at constant exchange rates), as expected.

Profitability and cash flow

The restructuring introduced in the second half of 2024 has been successfully implemented. The transition from a regional organization to a divisional one positioned Bystronic closer to the customer. In addition the company has aligned itself to new market realities with a considerably lower cost basis. Combining machinery, automation and software solutions into the Systems Division allows the product portfolio to be better aligned to customer needs. Closing and concentrating locations has helped achieve efficiency gains and realize synergies. At the same time, Bystronic is further strengthening its position as a full solutions provider and continues to invest in digitalization and innovation to ensure long-term competitiveness and create the basis for future growth.

The optimized cost base led to improved profitability. As a result, EBIT loss at CHF –8 million was less than in the same period in the previous year (H1 2024: CHF –23 million). Operating free cash flow was CHF –23 million. (H1 2024: CHF –27 million). Liquidity amounted to CHF 307 million.

Outlook

In the first half of the year, order intake stabilized compared to the previous year. Bystronic expects a continued difficult market situation. Should the markets recover, the company expects order intake in the second half of the year to increase slightly over the first half of the year. Assuming the geopolitical situation does not get worse, Bystronic expects slightly lower sales and an improved operating result for full year 2025 compared to the previous year.