A sharp reduction in extraordinary items and the impact of last year’s huge US banknote printing orders enabled press maker Koenig & Bauer to almost double profits and free up cash.
Non-operating extraordinary items fell to 5.3 million Euros (A$8.69 million) in the 2025 financial year – from 50.4 million Euros the previous year – and cash jumped from negative 61.9 million Euros in the first nine months to 69.2 million Euros in the final quarter.
As a result, the company achieved its 2025 targets – more than doubling operating EBIT and ending with positive free cash flow – and can expect a stable performance in 2026 despite the volatile environment. A historically high order backlog of 970.6 million Euros provides a “solid basis” for the 2026 financial year.
Chief executive Stephen Kimmich said the results demonstrated the effectiveness of measures to increase efficiency and mark a step forward in operating profitability. “Despite massive macroeconomic headwinds, we met our forecast and closed the year with a positive free cash flow,” he said.
The order intake of 1,233.2 million Euros at the end of 2025 was an expected 12 per cent lower than the strong previous year, with the sheetfed paper and packaging systems segment proving “highly resilient”, and down by just 3.9 per cent on the previous (DRUPA) year.
The ‘special & new technologies’ segment – which includes web presses – was also down, largely because of the previous year’s orders from the US Bureau of Engraving and Printing.
The outlook for 2026 is now based on operating EBITDA, which chief financial officer Alexander Blum says underlines a focus on operating cash generation and makes an early contribution to the future requirements of IFRS 18. Detailed guidance will be published together with the annual report on 26 March 26.