SFS proves resilience in financial year 2025

Ad hoc announcement pursuant to Art. 53 LR – March 6, 2026

The end markets were characterized by enormous uncertainty and a reluctance to invest in the year 2025. The sales generated of CHF 3,056.6 million and an adjusted EBIT margin of 12.2% are the result of the broad positioning across different end markets and regions but also the extraordinary commitment of the employees. This was also a key factor in the major progress we made in the area of sustainability.

The 2025 financial year proved to be another intense year against the backdrop of an adverse market environment. Uncertainty remained high in the end markets and reluctance to invest continued to put a damper on market momentum. Excess capacity, particularly in the automotive industry and industrial manufacturing in Europe, has caused demand to drop.

The SFS Group succeeded in achieving the financial targets thanks to its broad positioning across different end markets and regions as well as the measures implemented to boost profitability. Major investments made in the past few years continued to have their intended impact and contributed significantly to the overall results, while the local-for-local strategy systematically leverages opportunities arising from changing framework conditions.

SFS generated sales of CHF 3,056.6 million and growth of 0.6% in the 2025 financial year. Currency effects reduced sales growth by –2.9%. Organic growth amounted to 2.9%.

Solid financial basis
Profitability was impacted by occasionally low capacity utilization as well as non-recurring effects arising as a result of changes to the production and distribution network. Adjusted for these non-recurring effects, operating profit (EBIT) came to CHF 371.0 million, which corresponds to an adjusted EBIT margin of 12.2% (PY 11.6%). Operating profit (EBIT) including non-recurring effects declined to CHF 324.3 million (PY CHF 350.2 million) at an EBIT margin of 10.6% (PY 11.6%).

Sustainability is a priority
The SFS Group successfully advanced the implementation of its climate strategy. Scope 1 and 2 greenhouse gas emissions were reduced by –9.9% versus the previous year. Compared to the 2020 reference year, this equates to a reduction of –77.1% in relation to net sales. A slight decline was also recorded for Scope 3 emissions. The share of renewable electricity exceeded the interim target for 2025 significantly, totaling 81.5%. The accident rate was lowered to 2.9 accidents per million hours worked (PY 4.2). With the aid of risk analyses, sustainability monitoring and the mandatory Supplier Code of Conduct, the SFS Group reduced the number of potentially critical suppliers to 249 (PY 621) and increased the level of transparency in the value chain.

Development by segment
In the Engineered Components (EC) segment, SFS successfully made major progress in all end markets and continued its positive development. The Fastening Systems (FS) segment continued to be characterized by subdued demand, with the North American construction industry proving more dynamic than its European counterpart. In the Distribution & Logistics (D&L) segment, volumes remained at the previous year’s level despite lower customer willingness to invest. With its planned acquisition of three partner companies – Gödde GmbH, Oltrogge Werkzeuge GmbH and Hch. Perschmann GmbH – by the end of March 2026, the SFS Group will consolidate its market position in the trading business.

Changes in the Group Executive Board
The SFS Group made changes to its organizational structure and restructured its FS and D&L segments as of January 1, 2025. These efforts were aimed at sharpening the Group’s focus on selected end markets, streamlining its decision-making processes and strengthening collaboration among the segments. Against this same backdrop, the divisions in the EC segment were disbanded as at January 1, 2026, and the responsibilities were reassigned according to application areas. To strengthen and further develop all business areas in the Asian growth market, SFS has additionally merged them into the new Region Asia. Urs Langenauer, previously Head of Division Automotive, has been put in charge of the EC segment within the context of these changes. Martin Reichenecker took on the role of Head of Region Asia as of January 1, 2026. Iso Raunjak succeeded Martin Reichenecker at the helm of the D&L segment. Christina Burri strengthens the Group Executive Board in her role as Head of Corporate HR, Communications & ESG.

Looking ahead to the 33rd Annual General Meeting on April 22, 2026
The next Annual General Meeting of SFS Group AG will be held at Sportzentrum Aegeten in Widnau (Switzerland) on April 22, 2026. The Board of Directors proposes the payment of a dividend in the amount of CHF 2.50 per share (PY CHF 2.50), of which CHF 0.50 is to be distributed from the statutory capital reserve. CHF 2.00 will be paid from retained earnings. Further details will be provided with the invitation at the end of March 2026.

Outlook for the 2026 financial year
The outlook is still characterized by considerable uncertainty. Against this backdrop, the Group will continue to focus on its rigorous customer orientation, pushing ahead with innovation projects and ensuring efficient and profitable business processes. We will steadfastly continue to pursue and implement the global production and distribution network streamlining program introduced in the 2025 financial year.

For the 2026 financial year, the SFS Group is focusing on the mid-term guidance and expects sales growth in local currencies, including scope of consolidation effects, of 3–6% as well as an adjusted EBIT margin of 12–15%.