- Strong quarterly performance with 20% organic growth in order intake and 13% organic growth in net sales
- Comparable operating result up 18% and cash flow from operations nearly doubled year-over-year
- Record-high order book of EUR 8.8 billion, backed by robust demand in Marine and Energy Storage
Quarterly Financial Overview (April–June 2025)
- Order Intake: EUR 2,190 million, an 18% increase from last year (organic growth 20%)
- Service Orders: Decreased by 6% to EUR 926 million, due to lower retrofit and upgrade activity
- Net Sales: EUR 1,719 million, up 11% from last year (organic growth 13%)
- Book-to-Bill Ratio: 1.27, indicating strong order momentum
- Comparable Operating Result: EUR 207 million (up 18%), or 12.0% of net sales
- Operating Result: EUR 186 million, up 11%, holding steady at 10.8% margin
- Earnings Per Share: EUR 0.23 (vs. EUR 0.20)
- Cash Flow from Operations: EUR 416 million (vs. EUR 216 million), boosted by timely customer payments
Half-Year Performance (January–June 2025)
- Order Intake: Grew 8% year-over-year to EUR 4,092 million
- Service Orders: Stable at EUR 1,918 million
- Order Book: Reached a new high of EUR 8,764 million, up 15%
- Net Sales: EUR 3,279 million (14% growth)
- Book-to-Bill: 1.25, slightly down from 1.31 last year
- Comparable Operating Result: EUR 378 million, an increase of 23% (11.5% of net sales)
- Operating Result: EUR 352 million, up 19%
- Earnings Per Share: EUR 0.44 (vs. EUR 0.34)
- Operating Cash Flow: EUR 606 million (vs. EUR 475 million)
Market Outlook (Q3/2025–Q2/2026)
- Marine Sector: Demand expected to improve over the next 12 months
- Energy Sector: Demand anticipated to remain stable year-over-year
- Energy Storage: Growth outlook positive, but exposed to geopolitical volatility
CEO Commentary Highlights
- Achieved a record-high order book and strong quarterly earnings despite macroeconomic headwinds
- Marine demand is supported by regulatory pressure on decarbonisation and stable activity in key segments like cruise and ferry
- Energy markets are driven by rising electricity needs and growing renewables integration, with demand increasing for engine-based power plants and battery storage
- Landmark contracts include engine supply for a major mining project in Pakistan and a U.S. data center
- Launched a new carbon capture solution, enhancing environmental compliance for vessels
- Announced a EUR 50 million expansion of the Sustainable Technology Hub in Finland, enhancing R&D and manufacturing for green technologies
Operational Efficiency
- Equipment orders rose significantly, particularly in Energy and Marine segments
- Services experienced slight decline in retrofit/upgrades, but core service disciplines remain robust with 12-month book-to-bill above 1
- Improved cash flow and customer payment timing contributed to nearly doubled operating cash flow
- Negative working capital trend remains favorable but expected to normalize going forward
Forward View
- Near-term outlook for Marine and Energy Storage remains favorable
- Caution remains due to high geopolitical risk, shifting trade policy, and protectionist trends that could impact investment cycles
- Continued focus on sustainability and innovation positions the company well to benefit from long-term energy and marine transitions
Did you subscribe to our Daily newsletter?
It’s Free! Click here to Subscribe!
Source: Wärtsilä
