Stadler Reports Higher Revenue and Profitability in First Half of 2025

Stadler has reported growth in both revenue and earnings for the first half of 2025, despite ongoing challenges caused by supply chain disruptions and economic challenges in parts of Europe.

Revenue for the six months to June reached 1.4 billion CHF, compared with 1.3 billion CHF in the same period of 2024. Earnings before interest and taxes (EBIT) increased to 36.9 million CHF from 28.2 million CHF, giving an EBIT margin of 2.6 per cent, up from 2.2 percent a year earlier. The group result rose by 12 percent to 30.9 million CHF.

Production output in the period was almost 1 billion CHF higher than reported revenue, reflecting Stadler’s method of recognising revenue only on completed deliveries.

Market Conditions

The company continues to deal with the effects of the severe flooding in 2024 in Switzerland, Austria and Spain. The Valencia region, where 40 suppliers were affected, experienced particular disruption, with some factories heavily damaged. Stadler has launched a recovery programme and negotiations with insurers are ongoing.

Weaker economic conditions in Germany have added to pressure on Stadler’s Berlin-Brandenburg plants. A long-term agreement reached with trade unions earlier this year secures the Pankow site until 2032 and guarantees employment until at least 2029.

The majority of vehicle deliveries and associated payments are expected in the second half of 2025.

Order Intake

Orders valued at 1.7 billion CHF were secured in the first half of 2025, down from 2.5 billion CHF in the same period last year, which included a major Saudi Arabian contract. The order backlog remains high at 29.4 billion CHF.

Key contracts have included:

• 14 additional FLIRT multiple units and a long-term maintenance contract for Koleje Mazowieckie in Poland
• Safety technology for the Bergen tram expansion in Norway
• Seven FLIRT trains for services between Arlanda Airport and Stockholm Central Station
• Nineteen battery-electric multiple units for Deutsche Bahn Regio in Germany
• Eight hybrid metre-gauge trains for the French region of Sud

Segment Performance

Rolling Stock : Order intake reached 1.4 billion CHF, 30 percent lower than in H1 2024 due to the absence of last year’s large Saudi order. Revenue increased 9 percent to 1.1 billion CHF.

Service & Components : Revenue rose 17 percent to 270.7 million CHF. Order intake was down 48 percent year-on-year, again reflecting the prior-year Saudi contract. Backlog increased slightly to 7.8 billion CHF.

Signalling : Orders grew 57 percent to 52 million CHF. Revenue fell to 21.9 million CHF from 42.3 million CHF in H1 2024. Backlog stood at 594.8 million CHF.

US Market and Tariffs

US import tariffs on rail vehicles have limited impact on Stadler due to production localisation. Stadler North America currently generates 70 to 80 percent of its added value domestically, in line with Buy America requirements. New car body production facilities in Salt Lake City are expected to reduce exposure to tariffs further when operational later in 2025.

Stadler has confirmed its full-year outlook. Revenue for 2025 is expected to increase by more than 10 percent compared with 2024, with an EBIT margin of between 4 and 5 percent. A stronger increase in revenue, to more than 5 billion CHF, is forecast for 2026 on the back of a high order backlog and increased production capacity.

Chief Executive Markus Bernsteiner said Stadler is currently working on 306 orders worldwide and continues to invest in its production facilities. However, he noted that additional orders will be required to secure employment in the longer term.