Earnings Alerts

KION Group (KGX) Earnings Update: 2025 Free Cash Flow and Income Below Market Expectations

By February 4, 2025 No Comments
  • Kion’s preliminary adjusted EBIT for 2025 is approximately €917 million, exceeding the market estimate of €838 million.
  • The company reported preliminary revenue of around €11.50 billion, which is slightly above the market estimate of €11.45 billion.
  • The preliminary adjusted EBIT margin stands at about 8%, higher than the estimated 7.68%.
  • Kion has projected preliminary free cash flow of about €702 million for 2025.
  • An efficiency program aimed at achieving annual cost savings of €140 million to €160 million is expected to be fully effective in 2026.
  • Organizational changes for enhanced efficiency will impact personnel requirements, contingent on employee consultations.
  • The implementation of the cost-saving measures includes one-off expenses between €240 million to €260 million, primarily affecting cash flow in 2025.
  • Due to the efficiency program, Kion anticipates free cash flow and net income to fall short of market expectations in 2025.
  • Kion will issue its 4Q and full-year 2024 results along with an outlook for 2025 on February 27.
  • Kion shares rose by 4.9% to €36.62, with 215,688 shares traded recently.
  • Analyst recommendations for Kion include 14 buys, 8 holds, and no sells.

A look at KION Group Smart Scores

FactorScoreMagnitude
Value4
Dividend3
Growth3
Resilience2
Momentum4
OVERALL SMART SCORE3.2

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on Smartkarma Smart Scores, KION Group appears to have a positive long-term outlook. With a strong value score of 4 and momentum score of 4, the company seems well-positioned for growth. The above-average growth score of 3 indicates potential for expansion in the future. However, KION Group’s resilience score of 2 suggests some vulnerability to economic downturns. The dividend score of 3 shows a moderate level of dividend payments to investors. Overall, the company’s focus on material handling solutions, including forklifts and warehouse equipment, provides a foundation for continued success.

KION Group AG is a provider of material handling solutions, specializing in forklifts, warehouse equipment, and industrial trucks. The company’s Smartkarma Smart Scores paint a promising picture for its long-term performance. With a solid value score of 4 and strong momentum score of 4, KION Group demonstrates stability and growth potential. While its growth score of 3 indicates room for development, a resilience score of 2 suggests some susceptibility to market fluctuations. Investors may find the company’s moderate dividend score of 3 appealing. Overall, KION Group’s core business focus positions it well for future success in the material handling industry.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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