Machinery industry Oerlikon held back by exchange rates in the third quarter
Industrial group Oerlikon achieved a surprisingly good performance in the third quarter of 2025 despite weak end markets. Sales and order intake exceeded expectations.
04.11.2025, 07:42
SDA
Sales, which now comprise the former Surface Solutions and HRSflow divisions following the sale of the subsidiary Barmag, fell by 2.5 percent to CHF 380 million between July and the end of September, as the company announced on Tuesday. The reason for this is the strength of the Swiss franc: adjusted for currency effects, sales would have risen by 2.9 percent.
Meanwhile, incoming orders grew by 5.2 percent to 396 million Swiss francs. At constant exchange rates, order intake would have climbed by as much as 11.1 percent.
With these results, Oerlikon has exceeded analysts' expectations
Aerospace and toolmaking positive
These results demonstrate the company's resilience despite ongoing challenges in most end markets, Oerlikon wrote: "The quarter was characterized by geopolitical uncertainties and subdued industrial activity, particularly in the Eurozone."
There were particularly positive developments in the aerospace and tooling sectors. This compensated for the weaknesses in the automotive industry, general industry and the luxury goods sector.
"Overall, order momentum improved towards the end of the quarter. The service business remained under pressure, particularly in Europe, while the equipment business grew significantly, especially in Asia," the report continues. Market share has been gained. The cost-cutting program is also making progress.
Barmag sale on schedule
Meanwhile, the sale of the Barmag division to Rieter is "on track". Completion is expected in the final quarter of 2025, subject to regulatory approvals.
Barmag's order intake rose by 21 percent at constant exchange rates to CHF 186 million in the third quarter. This was in line with the company's expectations.
By contrast, sales fell by 17 percent at constant exchange rates to 150 million Swiss francs. The reason for this was the different seasonality.
Annual targets confirmed
The company is sticking to its annual targets, which were lowered three months ago: at constant exchange rates, sales for 2025 as a whole are likely to be stable to slightly lower. The Group also continues to expect an operating EBITDA margin of between 17.0% and 17.5%.
