Hensoldt Q2 2026 Results Overview
Hensoldt AG reported second‑quarter 2026 revenue of approximately €671 million, which exceeded analyst expectations by 3 percent. Adjusted EBITDA for the quarter was €93 million, 2 percent above the consensus estimate, delivering an adjusted EBITDA margin of roughly 13.9 percent, slightly below the 14.1 percent consensus.
The revenue increase was driven primarily by the Optronics division, which posted a 63 percent year‑on‑year growth and beat its own forecast by 6 percent. The Optronics segment’s EBITDA margin expanded by about 970 basis points year‑on‑year to approximately 9.7 percent. In contrast, the Sensors division saw its EBITDA margin decline by roughly 110 basis points year‑on‑year, attributed to higher pass‑through costs and increased R&D spending; when excluding pass‑throughs, the margin contraction was 70 basis points.
Total orders amounted to approximately €1.33 billion, surpassing analyst expectations by 9 percent and raising the book‑to‑bill ratio to around 2.0 times, up from 1.3 times in the second quarter of 2025.
Free cash flow recorded a seasonal outflow of about €41 million, an improvement from the €74 million outflow in Q2 2025, supported by higher advance payments from customers.
The company reaffirmed its fiscal‑2026 guidance, maintaining a revenue target of roughly €2.75 billion, a book‑to‑bill objective of 1.5 to 2.0 times, and an adjusted EBITDA margin outlook of 18.5 to 19.0 percent, which translates to adjusted EBITDA between €509 million and €523 million. The midpoint of €516 million aligns with prior expectations. Adjusted free‑cash‑flow conversion is still projected at about 50 percent, implying adjusted free cash flow of €258 million at the guidance midpoint. Pass‑through revenue is expected to remain in the mid‑single‑digit percentage range for 2026, and second‑half growth excluding pass‑throughs is implied at roughly 10 percent.