Sogefi raises net profit 19.6% to €33.6 million in nine months
Key Facts
Sogefi reported results for the first nine months of 2026 on October 26, with revenue of €732.8 million, up 1.2% from the same period in 2025, according to figures cited by Borsa Italiana. Net profit rose 19.6% to €33.6 million, compared with €28.1 million a year earlier. Profit growth outpaced revenue growth, with adjusted EBITDA up 8.2% to €111.8 million. The margin on this measure widened to 15.3% from 14.3% in the first nine months of 2025. The published comparison did not include analyst estimates or market consensus, while the share-price advance came in the session after the results announcement.
In the third quarter alone, revenue increased 4.8% to €240.3 million, while net profit rose to €14.9 million from €9.4 million in the same period of 2025. For the nine-month period, CFO Michele Cavioli said revenue growth at constant exchange rates was 0.7%, while global market production grew 1.4%. The difference between the rates indicates that the company’s revenue growth fell short of global production growth during the period, despite improvements in third-quarter figures and reported revenue. Cavioli also said a roughly €5.3 million increase in depreciation and amortization expenses limited the pace of EBIT improvement compared with EBITDA. He attributed this to the start of production on new projects and sales of non-recurring tools.
Revenue performance varied across geographic markets: the company recorded growth of 4.4% in Europe, 1.8% in North America, 4.6% in South America and 5.1% in India during the first nine months. By contrast, revenue in China fell 15.3%, according to figures cited by Borsa Italiana. On the results call, Cavioli said Sogefi’s sales in North America rose 5.2% at constant exchange rates, while market production there declined 1.8%. In China, the company’s sales fell 16.8%, compared with a 5.5% decline in market production, while local sales dropped about 20%. “In North America, we are much better than the market,” the CFO said, adding of China that “local sales declined by about 20%.”
The company’s financial position shifted to net cash of €18.3 million at September 30, excluding IFRS 16 liabilities, from net debt of €19.2 million at the end of 2025. Sogefi attributed the improvement to cash generation and the €21 million it received from the sale of Precision Springs. Operating free cash flow, before the impact of IFRS 16 and dividends, was €18.5 million in the first nine months, compared with €15 million in the same period of 2025. On the results call, Cavioli noted that the impact of higher raw-material prices had not yet been fully reflected in the income statement because of the usual delay, while the impact of higher energy costs remained limited during the period. Liquidity and cash flow thus improved even as cost pressures persisted and had yet to be fully reflected.
In the markets, Sogefi shares rose 7.4% in the October 27 session, reaching their highest levels since late July, according to FTA Online. The move followed the company’s approval and publication of its results on October 26, according to the timing cited in Borsa Italiana’s report. Alongside the session’s gains, the company reaffirmed its 2026 outlook for revenue to decline by about 1% to 2%, with adjusted EBIT broadly stable compared with 2025. It cited continued geopolitical uncertainty. It lowered its full-year capital expenditure forecast to a range of €70–75 million from €75–80 million, attributing the change to project timing. It also forecast heavy-vehicle segment revenue of about €100 million in 2026, with a significant improvement in adjusted EBITDA and a shift in the mix toward rail and defense business.