Kontron AG with Q1 results

• Revenues of EUR 363.7 million (PY: EUR 357.5 million adjusted)
• Adjusted EBITDA EUR 46.1 million (PY: 45.3 million)
• Order backlog rises to EUR 2,544 million (PY: EUR 2,187 million)

Linz, May 7, 2026 – Kontron, a leading global provider of IoT technology, today published its results for the first quarter of 2026.

Kontron increased sales on a comparable basis by 1.7% to EUR 363.7 million in the first quarter of 2026. The previous year's figure, adjusted for the deconsolidation of the COM business (EUR 19.4 million) and the sales of the IT services business in Hungary and Bulgaria (EUR 8.6 million), was EUR 357.5 million. The Aerospace & Defense and Transportation divisions developed particularly dynamically, benefiting from increasing investments in infrastructure and defense, growing by 27.8% (Transportation) and 25.2% (Defense) compared to Q1 2025.

Operating profit on a comparable basis amounted to EUR 46.1 million (reported: EUR 37.6 million) in the first quarter of 2026, compared to a prior-year figure of EUR 45.3 million (reported: EUR 48.0 million). EBITDA was impacted by restructuring expenses of EUR 8.5 million for the reduction of 339 employees. Adjusted net income after minority interests amounted to EUR 20.0 million in the first quarter of 2026 (reported: EUR 14.0 million) (PY: reported EUR 20.1 million).

Kontron is driving forward the strategic realignment of the Group. In the first quarter, 56% of all development expenditure was carried out in Software + Solutions, and 66% of all employees are now employed in this area. Kontron is the technology leader in key technologies such as VPX (defense), FRMCS (train traffic) or AI Cybersecurity.

A comprehensive restructuring program was initiated in the GreenTec division. A total of 500 jobs will be cut by August 2026, saving more than EUR 30 million in costs annually. The negative one-off effect is expected to amount to EUR 25 million in total. The aim is to sustainably improve profitability through high-margin growth areas.

Operating cash flow amounted to minus EUR 9.1 million in the first quarter (PY: EUR 2.8 million) and reflects in particular the temporary build-up of inventories in the wake of the supply chain distortions in Q1. Equity amounted to EUR 746.3 million, which corresponds to a stable equity ratio of around 42.5% and thus the level as of December 31, 2025. At the end of the first quarter, cash and cash equivalents amounted to EUR 200.9 million with net debt of EUR 190.5 million. By the end of the third quarter, Kontron expects to receive EUR 126 million from the disposal of the COM business.

Kontron AG's order backlog reached a record level of around EUR 2,544 million (December 31, 2025: EUR 2,495 million) with a book-to-bill ratio of 1.13.

For the 2026 financial year, Kontron expects sales to be slightly above the previous year's level, which corresponds to organic growth of 8%, despite the lack of EUR 75 million in sales of the units sold in 2025. The undelivered customer orders (delinquent backlog) of EUR 32.8 million in Q1 2026 due to disrupted supply chain distortions are to be reduced by the end of the year. We want to distance ourselves from the previously promised sales growth through acquisitions due to the current uncertain economic situation.

The Management Board continues to expect adjusted EBITDA of EUR 225 million before restructuring expenses of around EUR 25 million in the 2026 financial year. The GreenTec division is expected to return to profitability as early as the fourth quarter of 2026. Ennoconn, Kontron's largest shareholder, decided yesterday to make a mandatory offer if the 30% shareholding threshold is exceeded and at the same time authorized further share purchases. The price per share is expected to be EUR 23.50. In order not to hinder a potential mandatory offer, Kontron will adjust the price cap from EUR 24 to EUR 23.50 as part of its ongoing share buyback program.

The Q1 2026 Statement is available on the website at: https://www.kontron.com/en/group/investors/financial-reports

About Kontron

Kontron AG (www.kontron.com, ISIN AT0000A0E9W5, WKN A0X9EJ, KTN) is a leading IoT technology company. For more than 20 years, Kontron has been supporting companies from a wide range of industries to achieve their business goals with intelligent solutions. From automated industrial operations, smarter and safer transport to advanced communications, connectivity, medical, and energy solutions, the company delivers technologies that add value for its customers. Kontron has around 6,500 employees in over 20 countries worldwide and is listed on the SDAX® and TecDAX® of the German Stock Exchange.

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