DMG MORI (GIL) investor relations material

Executive summary

• Order intake grew 19% year-over-year to €1,363.5 million in H1 2026, with double-digit increases in both Machine Tools and Industrial Services segments and strong growth in both domestic and international markets.

• Sales revenues rose 5% year-over-year to €995.5 million, driven by international markets (+11%) and robust customer demand.

• EBIT declined 30% to €31.5 million and net income from continuing operations fell 27% to €24.8 million, reflecting margin pressure and higher material costs.

• Free cash flow turned positive at €6.6 million (vs. -€44.8 million prior year), supported by improved operating cash flow and loan repayments.

• Raised full-year 2026 guidance for order intake, sales revenues, EBIT, and free cash flow.

Financial highlights

• Order backlog increased 18% to €1,860.3 million, providing a seven-month production range.

• EBITDA for H1 2026 was €70.3 million (down 15% year-over-year); EBIT margin declined to 3.2% from 4.7%.

• Gross profit remained stable at €520.2 million, but the materials ratio rose to 50.0% (from 45.7%), indicating higher input costs.

• Equity ratio improved to 57.9% (from 52.9% at year-end 2025), with total equity at €1,451.5 million.

• Export ratio increased to 66% from 62% year-over-year.

Outlook and guidance

• Global machine tool market expected to grow 6.1% in 2026, with stronger growth in the US (+8.2%) and China (+6.3%).

• Full-year 2026 targets raised: order intake €2.4–2.6 billion, sales revenues €2.1–2.3 billion, EBIT €100–120 million, free cash flow €90–110 million.

• Management expects positive momentum in H2 2026, supported by trade shows and continued innovation.

• Cautious optimism for H2 2026, contingent on easing geopolitical tensions and energy prices.

• Global economic outlook remains subdued due to geopolitical uncertainties and supply chain disruptions.