KH Group Q2 net sales EUR 54.2 mln, down from EUR 52.2 mln YoY.

• KH Group's net sales rose to EUR 54.2m in Q2 2025. • Comparable operating profit fell to EUR 0.8m from EUR 2.4m. • Operating profit dropped to EUR 0.5m from EUR 2.1m. • Net profit for the period was EUR -0.6m, down from EUR 0.6m. • Earnings per share fell to EUR -0.01 from EUR 0.01. • NRG performed well, with a record-high orderbook.

KH Group Plc reported mixed financial results for the second quarter of 2025, with net sales rising to EUR 54.2 million, a 4% increase from the previous year [1]. However, the company experienced a significant decline in profitability, with comparable operating profit falling to EUR 0.8 million from EUR 2.4 million. Operating profit dropped to EUR 0.5 million from EUR 2.1 million, and net profit for the period was EUR -0.6 million, down from EUR 0.6 million. Earnings per share fell to EUR -0.01 from EUR 0.01.

NRG Energy, a subsidiary of KH Group, reported strong performance with a record-high orderbook. The company secured 295 megawatts of long-term power deals with data centers, expandable to 1 gigawatt, validating its gas-fired power strategy [2].

KH Group's CEO, Ville Nikulainen, noted that while net sales from continuing operations increased, operating profit decreased year-on-year during the April-June review period. The machine dealership and rental business grew in Finland, but the machine rental business in Sweden generated lower net sales and operating profit than in the comparison period. Nordic Rescue Group's net sales declined, but operating profit for the second quarter was on par with the comparison period.

The company announced plans to divest Indoor Group and improve the profitability of its business areas. The extensive operating model reform program aims to achieve an annual improvement in operating profit of at least EUR 10 million by the end of 2026. KH Group also announced a performance share plan for KH-Koneet's key employees to align shareholder and employee goals.

KH Group's financial objectives for 2025 remain focused on securing net sales and operating profit, as well as improving the efficiency of working capital. The company aims to complete the divestment process for Indoor Group during the year and continue active developments in other business areas.

References:
[1] https://www.globenewswire.com/news-release/2025/08/15/3134043/0/en/KH-Group-Plc-s-Half-Year-Report-1-January-30-June-2025-KH-Koneet-s-profitability-declined-NRG-performed-well-orderbook-at-record-high-level.html
[2] https://www.ainvest.com/news/nrg-energy-2025-q2-earnings-call-discrepancies-data-center-margins-load-timelines-tax-implications-2508/