SCHMID Group reported a sharp rebound in first-half 2026 revenue and order activity, although weaker-than-expected margins prompted the manufacturing equipment company to reduce its full-year adjusted EBITDA margin outlook.
First-half revenue increased to €46 million from €16.9 million, representing growth of approximately 172%. More than half of revenue came from China, where demand remained stronger than expected, while demand for machines produced at the company’s German plant accelerated later in the period.
Gross profit swung to positive €9.8 million from a €1.6 million gross loss a year earlier, producing gross margin of 21.2%. Adjusted EBITDA improved to a loss of just €0.6 million from a loss of €11.6 million.
Order momentum strengthened substantially after the end of the first half. Year-to-date order intake reached €96.6 million as of August 21, including €52.3 million of orders received during the third quarter through that date. Backlog increased to €95 million from €54.8 million at June 30.
Despite the order improvement, SCHMID lowered its full-year adjusted EBITDA margin guidance to 6% to 9% from more than 12%. Revenue guidance remains above €100 million, and order intake guidance remains €125 million to €150 million, with management now expecting results in the upper half of that order range.
SCHMID is also reducing costs. Its Sprint program identified more than 40 German overhead positions for reduction and is expected to generate €4 million of annual savings. A second program is targeting purchasing savings equal to approximately 5% of material expenses.
Reported net loss widened to €47.8 million from €10.2 million, largely because of non-cash accounting effects related to a liability converted into shares and fair-value movements in warrants.
KEY QUOTE:
“We have seen significant pickup in orders in Q2, first in China and now increasingly across our global markets. Focus is now on execution, margins and cashflow.”
Arthur Schuetz, Chief Financial Officer of SCHMID Group
