Investing.com — Krones(ETR:KRNG) cut its 2026 currency-adjusted revenue growth forecast to 1% to 2% from 3% to 5%, saying cost increases for its customers from the geopolitical environment and economic uncertainty will hit fourth-quarter growth.
The German maker of filling and packaging equipment, revised the forecast on Oct. 22. It had confirmed the 3% to 5% forecast with first-half results, when currency-adjusted revenue growth was 1.8%.
Revenue for the first nine months was €4.10 billion versus €4.11 billion a year earlier. Currency translation reduced it by about €40 million and U.S. tariff refunds by about €20 million, which was not recognised in profit or loss. Adjusted for currency, revenue rose 0.8%.
Order backlog was €4.31 billion at the end of September, up 3% from the end of 2025 but below €4.33 billion at the end of June.
Krones said the backlog includes orders that will become revenue at the end of 2027 or later. Orders for the first nine months rose 2.9% to €4.22 billion from €4.10 billion a year earlier, including €2.85 billion in the first half.
Krones described customer demand as “robust overall”, but said rising operating costs for customers because of the geopolitical situation are having “some impact” on orders, which it has largely offset with its mix of customers and products.
Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 5.2% to €453.1 million from €430.7 million.
The EBITDA margin was 11.1% versus 10.5% a year earlier, including a gain of about €10 million from U.S. tariff refunds; without it, the margin was 10.8%. Krones credited measures to improve performance and cost structures and said prices for its machines and lines were stable overall. Net income rose 2.7% to €219.5 million, or €6.94 per share versus €6.75.
Free cash flow before acquisitions swung to an outflow of €5 million in the first nine months, from an inflow of €80.2 million a year earlier, reflecting significantly higher investment.
In the third quarter, it recovered to an inflow of €25.8 million, compared with an outflow of €21.3 million in the second quarter. Net cash stood at €410.2 million at the end of September, up from €361.2 million a year earlier.
