Mersen (MRN) Q2 2026 earnings summary

Executive summary

• First-half 2026 sales reached €611.5 million, up 3.9% organically year-over-year, driven by strong momentum in North America and Asia-Pacific, especially in data centers, electrical distribution, and semiconductors.

• Raised full-year 2026 guidance for sales and margins, reflecting confidence in continued growth and operational execution.

• Maintained margins through price increases and productivity measures, absorbing higher raw material costs.

• Selective strategy in EV market, focusing on high-value electrical protection and interconnection, with new contracts from Ford, Leapmotor, and CATL.

• Long-term growth opportunities identified in SMRs, with ongoing partnerships and prototype deliveries; only integrated graphite producer in the US for SMR projects.

Financial highlights

• H1 2026 sales: €611.5 million (+3.9% organic growth year-over-year).

• EBITDA before non-recurring items: €97.4 million (15.9% of sales); operating income before non-recurring items: €56.5 million (9.2% of sales).

• Net income attributable to shareholders: €31.1 million, up 5% year-over-year.

• Negative exchange rate impact of €22 million, mainly in Q1.

• Net debt increased to €400 million, mainly due to higher working capital requirements.

Outlook and guidance

• Full-year 2026 organic sales growth guidance raised to 4–6% (from 2–6%).

• EBITDA margin before non-recurring items now expected at 16–16.5% (was 15.5–16.5%); operating margin at 9–9.5% (was 8–9%).

• Capital expenditure guidance lowered to €80–90 million (from €90–100 million).

• Medium-term 2029 roadmap confirmed: sales ~€1.7 billion, EBITDA margin 19%, operating margin 12%, ROCE 13%.