Business performance in the Group
Solid business performance, with most measures under the efficiency program now implemented
Overall, the KION Group delivered a solid business performance in 2025. As had been anticipated, consolidated revenue was slightly lower than in 2024 owing to the smaller order book at the start of the reporting year. The Group’s adjusted EBIT and the adjusted EBIT margin also decreased year on year, largely due to the decline in revenue and the narrower gross margin on new business in the Industrial Trucks & Services segment. Revenue and profitability in the Supply Chain Solutions segment, on the other hand, saw a clear uptrend.
Market conditions were predominantly favorable, and the KION Group was able to increase its order intake significantly compared with 2024. The two operating segments contributed to this increase, registering growth in their main product categories. In the Supply Chain Solutions segment, the project business in particular saw a significant improvement in momentum following muted demand from customers in previous years.
In view of increasing competitive pressures and ongoing macroeconomic uncertainties, the Executive Board of KION GROUP AG signed off an efficiency program on February 4, 2025 (‘efficiency program’) that is aimed at strengthening long-term competitiveness and capacity to carry out capital investment. The measures to be taken under the program involved adapting organizational structures and capacity in affected areas of the Industrial Trucks & Services segment and in Corporate Services in the EMEA region. Most of these measures had been completed by the end of 2025. The vast majority (€168.8 million) of the total expenses expected from the implementation of the program was recognized as non-recurring items in 2025. However, much of this amount will not be recognized as a cash outflow until 2026. The efficiency program will result in permanent cost savings of around €150 million per year. Its first positive effects on earnings were already discernible in 2025 and should be almost entirely unlocked during 2026.
Strong liquidity position thanks to sustained high level of free cash flow
The KION Group maintained its very encouraging liquidity position in 2025, once again generating a high level of free cash flow. This allowed the Group to further reduce its net financial debt, for example by making the repayment that was due in respect of the first corporate bond issued under the EMTN program. It also contributed to the continuous improvement in leverage.