First Read Zehnder Group AG 1H26 results - takeaways from conference call with CEO and CFO

Research evidence excerpt

First Read Zehnder Group AG 1H26 results - takeaways from conference call with CEO and CFO

Global Research

30 July 2026ab

First Read

EquitiesZehnder Group AG

1H26 results - takeaways from conference call Switzerland

with CEO and CFO Building Materials

12-month rating Buy

12m price target CHF87.00

Outlook for the remainder of FY26

Zehnder expects a modest recovery of its end-markets, with increasing positive support

in ventilation from NA, European pockets of growth and ongoing EVO product-role out, Price (30 Jul 2026) CHF68.60

while UK will likely remain a drag. In Radiators, mgmt expects renovation markets to RIC: ZEHN.S BBG: ZEHN SW

stabilise, which should provide a floor for radiator volumes, as noted in 1H. HOwever,

Trading data and key metrics

competitive pricing and unfavourable mix are expected to persist

52-wk range CHF90.30-59.80

FY26E guidance in detail, FCF normalization expected in 2H26 Market cap. CHF0.77b/US$0.94b

Zehnder expects to reach revenues of EUR770m-EUR790m (lc growth 2-5%, c-1%FX) Shares o/s 11.2m (ORD)

and an adj. EBIT margin comparable to 1H26 of 9.5% for FY26E. At mid-point, this Free float 78%

implies revenues of EUR385m for 2H26, reflecting normal seasonality of Ventilation and Avg. daily volume ('000) 19.6

Radiators. We understand that growth in 2H26 will be driven by: 1) revenues in Avg. daily value (m) CHF1.3

ventilation from NA (US expansion, multi-family and renovation); 2) continued Common s/h equity (12/26E) €0.28b

momentum in key European markets (Netherlands, Spain, Germany and Eastern P/BV (12/26E) 2.7x

Europe); and 3) broader roll-out of EVO products (e.g. introduction to Nordics, Siber One Net debt to EBITDA (12/26E) NM

cooling). Additional price increases of 5% introduced in July should also be a benefit for