Kontron Kicks Off Q1 2025 with Strong Earnings Growth

• Significant increase in EBITDA by 35.6% to EUR 48.0 million (PY: EUR 35.4 million)
• Revenue up 8.2% to EUR 385.4 million (PY: EUR 356.1 million) with a significantly improved gross margin of 44.0% (PY: 41.3%)
• Order backlog continues to grow to EUR 2,187 million (book-to-bill ratio: 1.28)

Linz, May 6, 2025 – Kontron, a global leader in IoT technology, today announced its financial results for the first quarter of 2025, continuing the strong earnings growth seen in previous quarters.

Kontron increased its revenue in the first quarter of 2025 by 8.2% year-over-year to EUR 385.4 million (PY: EUR 356.1 million). At the same time, the quality of revenue improved significantly, with the gross margin rising to 44.0%, up from 41.3% in the prior year, resulting in a 15.1% increase in value creation. This substantial rise is due to the growing share of high-margin revenue from the Software + Solutions segment. In Q1 2025, the segment contributed 34.9% of total revenue (PY: 29.8%) with an EBITDA margin of 19.9% (PY: 17.7%).

Operating profit (EBITDA) saw particularly strong growth, increasing by 35.6% to EUR 48.0 million (PY: EUR 35.4 million). The EBITDA margin improved significantly to 12.4% (PY: 10.0%). Group earnings after minority interests rose to EUR 20.1 million (PY: EUR 16.3 million), or EUR 0.33 per share (PY: EUR 0.26).

Equity at the end of the quarter stood at EUR 668.8 million (Dec 31, 2024: EUR 652.3 million). With an increase in the equity ratio of 3.1% (Dec 31, 2024: 35.8%), Kontron now reports a solid equity ratio of 38.9%. Operating cash flow amounted to EUR 2.8 million (PY: EUR -10.7 million) and, adjusted for reduced factoring, stood at EUR 17.9 million (PY: EUR 23.8 million).

Kontron was again able to increase its already high order backlog, which reached EUR 2,187 million at the end of Q1 2025 (Dec 31, 2024: EUR 2,078 million). The project pipeline grew to EUR 7,447 million by the end of the first quarter (Dec 31, 2024: EUR 6,643 million), further underscoring Kontron’s growth potential beyond the 2025 financial year. The book-to-bill ratio in Q1 2025 stood at 1.28.

Kontron continues to expect significant EBITDA growth in 2025, reaching at least EUR 220 million.

Hannes Niederhauser, CEO of Kontron AG, commented: "We’ve had a strong start to fiscal year 2025. As in previous quarters, Q1 clearly shows that Kontron is delivering on the targeted margin improvements through growth in the Software + Solutions segment. We will continue along this path, including corresponding portfolio adjustments."

The Q1 2025 report is available on the company’s website at www.kontron.com under the Investor Relations section.

Follow Kontron:

• Kontron on LinkedIn
• News about Kontron can also be found in the official Kontron blog

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. With the acquisition of Katek SE in early 2024, Kontron significantly strengthens its portfolio with the new GreenTec division, focusing on solar energy and eMobility, and grows to around 7,000 employees in over 20 countries worldwide. Kontron is listed on the SDAX® and TecDAX® of the German Stock Exchange.

Media Contacts

All rights reserved. Kontron is a trademark or registered trademark of Kontron AG. All data is for information purposes only and not guaranteed for legal purposes. Information in this press release has been carefully checked and is believed to be accurate; however, no responsibility is assumed for inaccuracies.