H1 2026: Record order intake for RENK with above-average increase in adjusted EBIT to underscore market position; annual forecast on track

H1 2026: Record order intake for RENK with above-average increase in adjusted EBIT to underscore market position; annual forecast on track

• Order intake rises to around €1.2 billion in first half of 2026 (H1 2025: €921.2 million; +29.7%) – highest single quarter order intake in company history of €612.8 million achieved in second quarter
• Strong order momentum from Q1 confirmed in Q2; H1 book-to-bill ratio of 1.9x (H1 2025: 1.5x)
• Increase in total order backlog to €7.4 billion (Dec. 31, 2025: €6.7 billion)
• Slight year-on-year increase in revenue to €637.2 million (H1 2025: €620.2 million; +2.7%) as projected and in line with customer project and delivery plans
• Continued above-average growth in adjusted EBIT (+10.1%) to €98.2 million (H1 2025: €89.2 million) with improved adjusted EBIT margin of 15.4% (H1 2025: 14.4%; +100 basis points)
• Forecast for current fiscal year confirmed

Augsburg, August 6, 2026 – RENK Group AG, a leading provider of propulsion solutions for the military and civilian sectors, has continued the successful trajectory it started in the first quarter of the year. Order intake rose to approximately €1.2 billion in the first six months of the year (H1 2025: €921.2 million; +29.7%) thanks to consistently high demand in the defense business. At €612.8 million, order intake in the second quarter was the highest ever recorded for the Company in a single quarter. A book-to-bill ratio of 1.9x (H1 2025: 1.5x) underscores the structurally consistent high international demand for RENK products. The total order backlog reached a new all-time high of €7.4 billion. Revenue grew by 2.7% year on year to €637.2 million (H1 2025: €620.2 million) as projected and in line with customer project and delivery plans.

“Our order intake of close to €1.2 billion for the six-month period almost matched the volume for the first nine months of the previous year. This consistently high demand shows that our customers continue to invest extensively in existing and new land and naval platforms worldwide. Their trust confirms the relevance of our technologies and our portfolio. At the same time, we are systematically realizing our growth strategy and making targeted investments in technology and additional capacities in order to continue to provide reliable long-term support to our customers,” said CEO of RENK Group AG Dr. Alexander Sagel.

Above-average growth in adjusted EBIT once again – margin up by 100 basis points

Adjusted EBIT rose again by an above-average 10.1% to €98.2 million (H1 2025: €89.2 million), resulting in further improvement in the adjusted EBIT margin to 15.4% (H1 2025: 14.4%), an increase of 100 basis points. This primarily reflects the positive economies of scale in the Vehicle Mobility Solutions (VMS) division and ongoing efficiency gains from the new modular production concept launched in September 2025. Operating performance remains fully on track, and the Company is also carrying out its planned capacity expansion at the Augsburg and Rheine sites as scheduled.

Vehicle Mobility Solutions (VMS) division

VMS, the Group’s largest division, remains the clear growth driver. Its order intake rose by 42.6% to €970.4 million in the first six months of the year (H1 2025: €680.6 million). This equates to a book-to-bill ratio of 2.3x (H1 2025: 1.7x) and underscores the structurally high demand for RENK products for the land domain.

Performance drivers in the second quarter included the extension of the framework agreement with Rheinmetall for the KF41 Lynx program, under which RENK will be providing transmissions and final drives worth around €270 million, including options for €63 million.

Another key factor was the follow-on order from the U.S. Army for the HMPT 800 transmission via the five-year THOR-IV framework agreement – the fourth contract in this series with a volume of up to US$691 million, of which around €121 million was recognized as order intake in the second quarter in accordance with the contractual minimum quantity. RENK also received its first series orders for propulsion systems for the Patria TRACKX all-terrain tracked armored vehicle. The service and spare part business remained at a high level in Germany, Europe and the USA.

Revenue rose by 7.6% to €418.6 million from the high prior-year level (H1 2025: €388.9 million). Adjusted EBIT rose by 20.5% to €80.3 million (H1 2025: €66.6 million) and the adjusted EBIT margin increased accordingly to 19.2% (H1 2025: 17.1%) – an increase of 210 basis points – thanks to positive economies of scale and the tangible results of the modular production concept in Augsburg.

Marine & Industry (M&I) division

M&I recorded a substantial recovery from the previous quarter in Q2 2026. Order intake for the first half of the year was €164.4 million (H1 2025: €182.6 million; -9.9%) with a book-to-bill ratio of 1.0x (H1 2025: 1.0x). The second quarter saw strong double-digit growth in order intake year on year, driven by the marine business, with significant orders from various international frigate programs.

By contrast, the industrial end markets remained under pressure from the weak overall industrial sector. At €165.1 million, revenue declined by 6.1% (H1 2025: €175.7 million). Adjusted EBIT amounted to €16.3 million (H1 2025: €18.8 million), and the adjusted EBIT margin to 9.9% (H1 2025: 10.7%) following 6.7% in the first quarter.

Slide Bearings (SB) division

The environment remains challenging for Slide Bearings, due largely to a weak industrial sector. Order intake for the first half of 2026 was €64.2 million (H1 2025: €66.3 million), a decline of 3.2%, with a book-to-bill ratio of 1.1x (H1 2025: 1.1x). At €59.9 million, revenue was down on the previous year (H1 2025: €62.7 million; -4.4%). Adjusted EBIT amounted to €7.5 million (H1 2025: €10.4 million), and the adjusted EBIT margin to 12.5% (H1 2025: 16.6%). The lower margin was attributable to economic pressure on the industrial end markets and the significantly higher US tariffs compared with the prior-year period.

Outlook

After a successful first half of the year, the Management Board of RENK Group AG confirmed the forecast for 2026 and continues to expect revenue in excess of €1.5 billion and adjusted EBIT of between €255 million and €285 million.

“Our positive financial performance and our new flexible financing provide a solid basis to continue pursuing our strategic ambitions for profitable growth and M&A,” said CFO of RENK Group AG Anja Mänz-Siebje.

The RENK Group is driving its focused M&A strategy forward with the planned acquisition of David Brown Defence, and boosting its portfolio with attractive technologies, long-term programs and additional growth potential in strategically important markets, such as the Five Eyes countries (USA, Canada, UK, Australia, and New Zealand).

This strategic investment is also associated with access to key marine programs in the years ahead, including the Global Combat Ship (GCS) with up to 34 ships for Canada, the United Kingdom, Australia, and Norway.

The transaction is subject to the customary regulatory approvals and is expected to close in the fourth quarter of 2026. 

RENK Group

VMS

M&I

Slide Bearings

About the RENK Group AG

Headquartered in Augsburg, Germany, RENK Group AG is a globally leading manufacturer of mission-critical propulsion solutions across diverse military and civil end markets. Our product portfolio includes gear units, transmissions, power-packs, hybrid propulsion systems, suspension systems, slide bearings, couplings & clutches and test systems. With this broad product portfolio RENK Group AG serves, in particular, customers in industries for military vehicles, naval, civil marine, and industrial applications focused on energy. In the fiscal year 2025, RENK Group AG generated revenue of approximately EUR 1.4 billion. RENK Group AG has been listed on the Frankfurt Stock Exchange since February 7, 2024, and has been a member of the MDAX since March 24, 2025.

For further information, please visit www.renk.com

Disclaimer

This Press Release contains forward-looking statements that are based on plans, expectations, estimates and projections of the management of RENK Group as at the date of this Press Release. These plans, expectations, estimates and projections depend on a variety of assumptions and are subject to unforeseeable events, uncertainties, known and unknown risks as well as other factors that may cause actual results or the actual financial situation, development or performance to differ from those expressed or implied in the forward-looking statements. RENK Group does not assume any obligation to update the forward-looking statements or make adjustments to them to reflect events or developments occurring after the date of this Press Release unless obliged by statutory law.