Highlights Q2 2025
• Turnover increased by 0.8% organically to €438.3 million, on the back of a strong performance in Smart Vision systems
• Adjusted EBITA declined by 27.8% organically to €40.2 million, impacted by completion of launching inter-array cable project at Eemshaven plant
Highlights H1 2025
• Turnover increased organically by 1.5% to €858.1 million
• Adjusted EBITA decreased by 18.1% organically to €80.2 million
• ROS at 9.3% (H1 2024: 11.0%)
• Most production issues at Eemshaven solved
• Order book at €1,080.2 million (December 31, 2024: €1,135.0 million)
• Announced divestment of Dewetron, expected one-off net profit of €36 million upon closing
Alexander van der Lof, CEO of technology company TKH: "Amidst challenging circumstances, we realized a slight organic increase in turnover in Q2 as well as in H1 2025. Smart Vision systems showed a strong performance, as Machine Vision was able to benefit from the improved market conditions in factory automation. Turnover in Smart Connectivity systems increased as well, despite the continued weakness in the digitalization market. The performance of Smart Manufacturing systems was lower, in line with expectations, due to the comparison with a very strong H1 2024, which benefitted from catch-up effects.
Although our underlying performance was solid, our results were impacted by our new inter-array cable plant in Eemshaven. During Q2, a number of longer length inter-array cables were successfully manufactured. However, the output was at a low level due to efforts to meet the requirements of the launching project. We were able to solve most of the production issues and production yields are improving gradually to the planned level. We are confident this will lead to a catch-up effect in the output in H2 2025.
We continue to make progress on our strategic agenda. The divestment of Dewetron, as announced in April, is expected to lead to a one-off profit of €36 million. We completed the integration of all fibre optic cable production in Digitalization into our plant in Poland, leading to further cost reductions. The long term outlook for our differentiating core technologies remains positive and we have a strong sales funnel totaling over 11,500 km currently under tender until 2030 for our inter-array cables.
For H2 2025, we expect Smart Vision systems to continue its strong performance, while Smart Manufacturing systems will not be improving yet. Due to the anticipated improvements in Smart Connectivity systems, TKH's performance in H2 2025 is expected to be substantially better than in H1 2025 and also better than in H2 2024. At our Capital Markets Day on September 25, 2025, we will present our strategy and targets for the next phase." Outlook
TKH expects the following developments per business segment:
Smart Vision systems
Smart Vision systems is expected to continue its strong performance. Turnover and Adjusted EBITA in H2 2025 are expected to grow compared to H1 2025, on the back of the delivery of some larger secured orders within Machine Vision as well as Security Vision.
Smart Manufacturing systems
As anticipated, Smart Manufacturing systems' H2 2025 turnover and Adjusted EBITA are expected to be lower than in H1 2025, due to a lower orderbook. The order intake during H1 2025 was impacted by uncertainties in trade tariffs and continued lower investments from the Tier 1s. The expected order intake for H2 2025 is promising.
Smart Connectivity systems
Turnover and Adjusted EBITA in H2 2025 are expected to grow substantially compared to H1 2025, due to a projected higher output level in the Eemshaven factory and an increase in accessories and service turnover. Furthermore, in onshore energy, we anticipate a further increase in demand from the network companies that support a higher utilization level within this segment. Within Digitalization a lower cost level and higher utilization will also support an improved result.
Subject to ongoing market uncertainties and barring unforeseen circumstances, on balance TKH expects turnover and Adjusted EBITA for H2 2025 to be substantially higher than H1 2025 and to be above H2 2024.
Download full press release:
https://storage.tkhgroup.com/cms/assets/Press_release_TKH_H1_2025_results_Final_fc2dc8e5f9.pdf
• Turnover increased by 0.8% organically to €438.3 million, on the back of a strong performance in Smart Vision systems
• Adjusted EBITA declined by 27.8% organically to €40.2 million, impacted by completion of launching inter-array cable project at Eemshaven plant
Highlights H1 2025
• Turnover increased organically by 1.5% to €858.1 million
• Adjusted EBITA decreased by 18.1% organically to €80.2 million
• ROS at 9.3% (H1 2024: 11.0%)
• Most production issues at Eemshaven solved
• Order book at €1,080.2 million (December 31, 2024: €1,135.0 million)
• Announced divestment of Dewetron, expected one-off net profit of €36 million upon closing
Alexander van der Lof, CEO of technology company TKH: "Amidst challenging circumstances, we realized a slight organic increase in turnover in Q2 as well as in H1 2025. Smart Vision systems showed a strong performance, as Machine Vision was able to benefit from the improved market conditions in factory automation. Turnover in Smart Connectivity systems increased as well, despite the continued weakness in the digitalization market. The performance of Smart Manufacturing systems was lower, in line with expectations, due to the comparison with a very strong H1 2024, which benefitted from catch-up effects.
Although our underlying performance was solid, our results were impacted by our new inter-array cable plant in Eemshaven. During Q2, a number of longer length inter-array cables were successfully manufactured. However, the output was at a low level due to efforts to meet the requirements of the launching project. We were able to solve most of the production issues and production yields are improving gradually to the planned level. We are confident this will lead to a catch-up effect in the output in H2 2025.
We continue to make progress on our strategic agenda. The divestment of Dewetron, as announced in April, is expected to lead to a one-off profit of €36 million. We completed the integration of all fibre optic cable production in Digitalization into our plant in Poland, leading to further cost reductions. The long term outlook for our differentiating core technologies remains positive and we have a strong sales funnel totaling over 11,500 km currently under tender until 2030 for our inter-array cables.
For H2 2025, we expect Smart Vision systems to continue its strong performance, while Smart Manufacturing systems will not be improving yet. Due to the anticipated improvements in Smart Connectivity systems, TKH's performance in H2 2025 is expected to be substantially better than in H1 2025 and also better than in H2 2024. At our Capital Markets Day on September 25, 2025, we will present our strategy and targets for the next phase." Outlook
TKH expects the following developments per business segment:
Smart Vision systems
Smart Vision systems is expected to continue its strong performance. Turnover and Adjusted EBITA in H2 2025 are expected to grow compared to H1 2025, on the back of the delivery of some larger secured orders within Machine Vision as well as Security Vision.
Smart Manufacturing systems
As anticipated, Smart Manufacturing systems' H2 2025 turnover and Adjusted EBITA are expected to be lower than in H1 2025, due to a lower orderbook. The order intake during H1 2025 was impacted by uncertainties in trade tariffs and continued lower investments from the Tier 1s. The expected order intake for H2 2025 is promising.
Smart Connectivity systems
Turnover and Adjusted EBITA in H2 2025 are expected to grow substantially compared to H1 2025, due to a projected higher output level in the Eemshaven factory and an increase in accessories and service turnover. Furthermore, in onshore energy, we anticipate a further increase in demand from the network companies that support a higher utilization level within this segment. Within Digitalization a lower cost level and higher utilization will also support an improved result.
Subject to ongoing market uncertainties and barring unforeseen circumstances, on balance TKH expects turnover and Adjusted EBITA for H2 2025 to be substantially higher than H1 2025 and to be above H2 2024.
Download full press release:
https://storage.tkhgroup.com/cms/assets/Press_release_TKH_H1_2025_results_Final_fc2dc8e5f9.pdf
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