Diebold Nixdorf 2025 Q2 Earnings Misses Targets as Net Income Falls 14.2%

Diebold Nixdorf (DBD) reported its fiscal 2025 Q2 earnings on August 7, 2025. The results largely missed expectations with a decline in both revenue and earnings. The company maintained full-year guidance, trending toward the higher end of its revenue and EBITDA ranges.

Diebold Nixdorf's total revenue fell by 2.6% to $915.20 million in the second quarter of 2025, compared to $939.70 million in the same period in 2024. The decline was broad-based across its business lines, with the Banking segment remaining the largest contributor at $679.20 million. The Services segment, which includes both Banking and Retail services, generated $407.40 million, with Retail services alone accounting for $236 million. The Products segment also saw a decline, with Banking products at $271.80 million and Retail products contributing $100.80 million.

Earnings per share declined by 17.5% to $0.33 in the second quarter of 2025, compared to $0.40 in the same period in 2024. The company's net income also fell to $12.70 million in the quarter, down 14.2% from $14.80 million a year ago. These results indicate a challenging quarter for profitability, despite strong order entry and cash flow.

Post-earnings price action revealed that a strategy of buying shares following a revenue increase and holding for 30 days delivered strong returns over the past three years. The approach achieved a 173.87% return, far outperforming the benchmark return of 43.56%. This strategy showed an excess return of 130.31% and a maximum drawdown of 0%, underscoring its robust risk management. The Sharpe ratio of 1.61 and an annualized CAGR of 67.89% highlight its consistent and strong performance.

CEO Octavio Marquez highlighted solid performance in the second quarter, noting strong order entry across all geographies and a historic first-half free cash flow. He emphasized continued focus on working capital discipline, local supply chain optimization, and operational efficiency to support long-term growth. Despite macroeconomic headwinds, Marquez expressed confidence in the team’s ability to meet full-year objectives.

Diebold Nixdorf reaffirmed its full-year 2025 guidance, with revenue expected to be flat to up low single digits, adjusted EBITDA in the range of $470M-$490M, and free cash flow of $190M-$210M. The company expects revenue to be weighted toward the second half of the year and continues to monitor FX volatility and macroeconomic risks.

Additional news from the company included a $38 million share repurchase under its $100 million authorization, the third consecutive quarter of positive free cash flow, and a strong first-half order entry supporting a favorable second-half revenue outlook. The company also announced a conference call with management to discuss the quarter's performance, offering investors an opportunity to gain deeper insights into its strategic direction.