KAP AG PUBLISHES ANNUAL REPORT 2025 AND GUIDANCE FORECAST FOR 2026

KAP AG PUBLISHES ANNUAL REPORT 2025 AND GUIDANCE FORECAST FOR 2026 

• Revenue confirmed at €241.4 million (previous year: €252.5 million); normalised EBITDA of €20.9 million (previous year: €21.9 million) slightly above the previously reported preliminary figure
• Flexible films segment enjoyed positive development; engineered products and surface technologies segments impacted by key customer sectors’ weak development
• Successful syndicated loan refinancing secures flexibility for the ongoing restructuring process
• Guidance forecast for 2026 projects revenue between €230.0 million and €250.0 million, with normalised EBITDA between €19.0 million and €23.0 million

 Fulda, 28 April 2026 – KAP AG (“KAP”), a medium-sized industrial holding company listed on the stock exchange (German securities identification number: WKN 620840; ISIN DE0006208408), today published its full audited annual report for the 2025 financial year. The final figures generally confirm the preliminary performance indicators published on 12 March 2026. Amid a challenging market environment, particularly in the automotive and industry sectors, the KAP Group generated revenue of €241.4 million in the 2025 financial year, down 4.4% on the previous year’s figure of €252.5 million. Normalised EBITDA totalled €20.9 million, up slightly on the preliminary figure, but was 4.6% short of the previous-year figure of €21.9 million. The normalised EBITDA margin remained unchanged at 8.7% (previous year: 8.7%).

Marten Julius, Spokesman of the Management Board of KAP AG: “Generally speaking, the operating performance in the 2025 financial year did not meet our expectations and clearly shows that we need to continue to consistently pursue the restructuring and optimisation measures we have initiated. The successful refinancing of the syndicated loan establishes a key prerequisite for implementing our measures on a solid financial basis. In 2026, we will focus sharply on adapting structures, the cost base and operating performance in the segments concerned: engineered products and surface technologies.”

The IDW S6 report we have received confirms the measures aimed at the Group’s operational and strategic realignment. Its findings help KAP to critically reexamine existing structures and implement further concrete measures to improve operational performance. These will include above all making capacity adjustments in individual operating segments, sharpening the product portfolio’s focus as well as adopting additional measures across the Group. Our objective is to reduce the cost base with lasting effect, enhance operating segment efficiency and make KAP as a whole profitable again.

Segment performance in the 2025 financial year
Overall, weak demand in key customer sectors still prevailed in the 2025 financial year. While the flexible films segment enjoyed positive development, the operating performance in the engineered products segment and particularly in the surface technologies segment fell significantly short of expectations. The efficiency and restructuring measures already initiated have not yet sufficiently compensated for the negative impact of the persistently difficult market environment.

The flexible films segment continued its positive performance again in the 2025 financial year, benefiting from strong demand for fabric-reinforced pool liners and an improved product mix. Revenue increased by 4.8% to €85.4 million (previous year: €81.5 million), while normalised EBITDA increased by 22.4% to €14.2 million (previous year: €11.6 million). The normalised EBITDA margin accordingly improved by 2.4 percentage points to 16.6% (previous year: 14.2%).

In the engineered products segment, weaker demand from key customer groups in the automotive and industrial sectors weighed on business development. Revenue was down 10.2% to €99.2 million (previous year: €110.5 million), while normalised EBITDA remained practically stable at €6.4 million (previous year: €6.5 million). Accordingly, the normalised EBITDA margin improved by 0.6 percentage points to 6.5%.

The surface technologies segment continued to be heavily affected by the weak level of demand, particularly from the automotive sector. Revenue decreased by 6.5% to €56.0 million (previous year: €59.9 million) and normalised EBITDA fell by 59.2% to €3.1 million (previous year: €7.6 million). The normalised EBITDA margin decreased as a result by 7.2 percentage points to 5.5% (previous year: 12.7%).

The annual impairment tests in accordance with IAS 36 resulted in impairment losses totalling €50.9 million that had to be recognised in the engineered products and surface technologies segments on account of the persistently difficult market conditions in the automotive sector. Of that amount, €44.2 million was attributable to the surface technologies segment and €6.7 million to the engineered products segment. Although the impairment losses have no effect on our liquidity, they are evidence of the structural challenges and of the limited profitability of the segments concerned in the current market conditions. Taking into account the impairment losses recognised, the consolidated net loss for the 2025 financial year came to €–67.5 million (previous year: €–45.7 million). Against this background and in view of the accumulated loss reported, no dividend will be distributed for the 2025 financial year. The equity ratio as of 31 December 2025 was 23.9% after 46.1% at the end of the previous year.

Refinancing creates flexibility for the ongoing transformation process
In connection with the ongoing measures, KAP successfully concluded talks with its financing partners and extended the term of the existing syndicated loan. This sets the Group’s financing structure on a new footing. The agreement reached, involving a total volume of €96.0 million and a three-year term, reflects the still challenging market environment and secures the flexibility needed to consistently implement the restructuring and optimisation measures initiated as well as further planned measures.

Guidance forecast for the 2026 financial year
For the 2026 financial year, the Management Board expects revenue at Group level to reach between €230.0 million and €250.0 million and normalised EBITDA between €19.0 million and €23.0 million. The guidance forecast reflects the challenging macroeconomic and sector-specific environment.

The complete audited annual report 2025, including the independent auditors’ report, is available to download on KAP’s website.

Contact:
KAP AG
Kai Knitter
Head of Investor Relations & Corporate Communications
investorrelations@kap.de
+49 661 103 327


About KAP AG
KAP AG is a listed industrial holding company focused on upper mid-size operating companies and currently focuses on three core segments: flexible films, engineered products and surface technologies. KAP AG currently has some 1,550 employees at 18 locations in ten countries. With active investment management, KAP focuses on continuously optimizing the existing portfolio and creating value. At the same time, the individual strengths and identities of the companies operating successfully on the market are preserved. KAP AG’s shares are listed on the Regulated Market of the Frankfurt Stock Exchange (General Standard, ISIN DE0006208408).