Andritz: Post Q2 wrap - further progress towards 2026 guidance and medium term objectives, lift PT to €93

研报英文原文证据摘录

Andritz: Post Q2 wrap - further progress towards 2026 guidance and medium term objectives, lift PT to €93

Industrials

that smaller orders have faster turnaround times, this pick-up in base activity, (44-20) 7742-8733

sam.edmunds@jpmorgan.com

especially in the Metal Processing business, should help de-risk the FY revenue

guidance. The margin recovery in the quarter was driven by three out of the four Key Changes (FYE Dec)

segments, with E&E being the only segment seeing compression in margins on Prev Cur Δ

revenue decline. The E&E segment has seen continued weakness in demand, Adj. EPS - 26E (€) 5.35 5.31 -0.6%

Adj. EPS - 27E (€) 5.98 6.03 0.9%

which will be a headwind for Group margins in H2 given it is the highest margin

segment, and explains the largely flat margin guidance for 2026 (8.7-9.1% vs. Style Exposure

8.9% last year).

• 2027 revenue outlook appears more realistic: Andritz targets >€9bn

revenues by 2027, which includes both organic and inorganic contribution.

With a rolling 12 month book-to-bill at 1.25x, we expect organic growth to

accelerate in 2027, with further upside possible if the company lands any large

pulp orders (so far it has downplayed the potential award of a large pulp order

in the near term). We now forecast 2027 revenues of €8,875mn, which excludes

the prospects of a large pulp mill order this year and no recovery in the Metal

Processing business. It also doesn’t include any future M&A. Therefore, we

believe that the 2027 revenue outlook is more realistic after the continued

recovery in orders.

• CMD on October 6th: Andritz announced last Friday that it will host a CMD

on October 6th in Graz, Austria. The company is on track to achieve its current

medium term objectives set for 2027, and we believe the event could lay the