Exel Composites (EXEL) Q2 2026 earnings summary

Executive summary

• Revenue grew 40% year-over-year in Q2 2026 to EUR 34.6 million, with both Engineered Solutions and Industrial Solutions contributing significantly to profitability and cash generation.

• Adjusted operating profit more than doubled to EUR 2.5 million, with margin improving to 7.3%.

• Order intake and backlog remained robust, with order backlog more than doubling year-over-year to EUR 98.6 million, providing strong visibility for the remainder of the year.

• Growth was driven by strong demand in energy (especially wind and conductor core), defense, and infrastructure sectors.

Financial highlights

• Q2 2026 revenue reached EUR 34.6 million (+40% y/y); H1 2026 revenue was EUR 64.8 million (+29.4% y/y).

• Adjusted operating profit for Q2 was EUR 2.5 million (7.3% margin); operating profit was EUR 2.4 million (6.9% margin), both up significantly year-over-year.

• Order backlog doubled to EUR 98.6 million, driven by long-term contracts.

• Net cash flow from operating activities improved to EUR 3.6 million in Q2 and EUR 6.3 million in H1.

• Gross margin was slightly down year-over-year due to cost pressures and sales mix.

Outlook and guidance

• Guidance for 2026 reiterated: significant increases in revenue and adjusted operating profit expected compared to 2025.

• Some revenue was realized earlier than anticipated due to customer call-offs, but overall outlook remains unchanged.

• Long-term targets include annual revenue over EUR 200 million and adjusted operating profit margin above 10% by 2028.

• Management remains confident for the second half, with timing adjustments rather than changes in expectations.