EDAG Engineering Group AG:
Decline in revenues and EBIT due to ongoing market restraint in the first half of 2025, expansion of defence activities

• Decline in revenues by 14.5% to 366.7 m.€ in the first six months
• Growing strategic importance of our Global Delivery location in India
• Increased order intake and revenues with defence customers

Arbon, 28th August 2025 EDAG, one of the largest independent engineering service providers in the automotive industry with experts in mobility, industry and public solutions, today published its report for the first half of 2025. The ongoing restraint in investment in the mobility industry and other sectors led to a decline in order intake and revenues. The resulting underutilization of capacity in some departments resulted in a negative EBIT.

At 366.7 m.€, EDAG Group revenues were down 14.5 percent on the still strong prior-year level of 429.2 m.€.

The Group EBIT was down year-on-year from 21.8 m.€ to -7.5 m.€, resulting in an EBIT margin of -2.0 percent (previous year: 5.1 percent). The adjusted Group EBIT amounted to -7.6 m.€ (previous year: 21.8 m.€) and the adjusted EBIT margin was -2.1 percent (previous year: 5.1 percent). Due to the challenging market situation, all three segments were affected by a decline in revenues and a negative EBIT margin resulting from underutilization. The development in the first half of the year was unsatisfactory due to the difficult market environment.

In the first six months of 2025, the EDAG Group generated order intake of 409.4 m.€, which represents a decline of 71.7 m.€ (-15,3 percent) compared with H1 2024 (481.0 m.€). Operating cash flow fell to -9.4 (previous year: 23.4 m.€) and free cash flow to -14.6 m.€ (previous year: 11.2 m.€). As of June 30, EDAG employed 8,698 people worldwide (previous year: 9,051 employees).

Due to fewer project orders and the resulting underutilization, the Group Management has adopted further restructuring measures. This includes in particular measures to increase productivity and efficiency. In addition, the expansion of Global Delivery locations, especially in India, will be accelerated. This lays the foundation for sustainable economic success and enables a return to profitable growth. The growing strategic importance of our Global Delivery location in India is reflected in the opening of our fourth location, and the successful hosting of the first international Smart Industry Summit.

With decades of engineering experience, the EDAG Group is consistently expanding its business with the defence industry in the current geopolitical situation. In the first half of the year, EDAG recorded order intake of 11.4 m.€ and increased revenue by more than 50 percent. “Our aim is to offer customers in the defence industry holistic solutions with long-term benefits. With our project management experience and multidisciplinary expertise, we want to position ourselves as a strong partner, from the concept phase through to the industrialization,” says Harald Keller, CEO of the EDAG Group.
“With our focus on Germany, we are also building up additional dedicated resources for the defence sector. This includes the qualification of employees who already have essential skills from existing specialist areas, particularly from the automotive industry,” adds Holger Merz, CFO and labour director of the EDAG Group.

On August 11, 2025, the EDAG Group adjusted its revenue and earnings outlook for the full year 2025 against the backdrop of the expected weaker market environment in the second half of the year. In addition to opportunities, the forecast is also associated with risks, which arise primarily from ongoing market dynamics and geopolitical uncertainties for our customers and, by extension, for us.

Revenue is now expected to decline to up to about 15 percent (before: decline up to about 8 percent). The adjusted EBIT margin is now expected up to about -3 percent (before: positive level up to about 3 percent).

About the EDAG Group

The EDAG Group is a globally leading, independent engineering service provider to the mobility industry, with experts in mobility, industry and public solutions, that combines excellent engineering with the latest technology trends.

With an interdisciplinary team of some 8,700 experts, the EDAG Group, in its global network spanning approximately 70 sites, realizes projects for the automotive industry and other industrial sectors including semiconductors, chemicals, defence and medical devices. With over 55 years of engineering experience and its own 360-degree development approach, the EDAG Group covers the entire spectrum of modern mobility, combining innovative technologies and future-oriented concepts. Working across all industries, the EDAG Group develops products and production plants and facilities that take all manufacturing-relevant processes into full account and integrate them into a holistic network. Innovative strategies, data networking and a digital infrastructure are also at the center of the company's cross-industry engineering solutions, for the public sector, for example. The interdisciplinary approach and a strong partner network provide an optimal customer experience for a customer base of global market leaders.

The company has been listed on the stock exchange since 2015 and generated sales of € 822 million in 2024.

For more information, see the EDAG Group website: www.edag.com

Press contacts:

Public Relations

Felix Schuster 
Head of Marketing & Communications   
Mobil :    +49 (0) 173 - 7345473  
Email:      pr@edag.de 
www.edag.com

Investor Relations

Christian Schütze  
Head of Investor Relations   
Tel.  +49 (0) 611- 7375 360  
Mobil :     +49 (0) 175- 8020 226
Email:        ir@edag-group.ag
www.ir.edag.com

Predictive statements and forecasts

This communication contains predictive statements. These statements are based on current estimates and forecasts made by EDAG Group Management and the information currently available to its members. The predictive statements given here are not to be regarded as guarantees for future developments and results mentioned therein. The future performance and results will in fact depend on a number of factors; they involve various risks and uncertainties and are based on assumptions which may prove to be incorrect. EDAG undertakes no obligation to update the predictive statements made in this communication.