Electronics

Electronics

Key figures

 

 

 

 

 

 

 

 

 

 

 

 

Change

€ million

 

2025

 

2024

 

€ million

 

%

Net sales

 

3,515

 

3,785

 

-271

 

-7.1%

Operating result (EBIT)1

 

381

 

360

 

21

 

5.9%

Margin (% of net sales)1

 

10.8%

 

9.5%

 

 

 

 

EBITDA2

 

903

 

887

 

16

 

1.8%

Margin (% of net sales)1

 

25.7%

 

23.4%

 

 

 

 

EBITDA pre1

 

833

 

970

 

-137

 

-14.1%

Margin (% of net sales)1

 

23.7%

 

25.6%

 

 

 

 

1

Not defined by IFRS Accounting Standards.

2

Not defined by IFRS Accounting Standards; EBITDA corresponds to operating result (EBIT) adjusted by depreciation, amortization, impairment losses, and reversals of impairment losses.

Development of sales and results of operations

The development of net sales in the individual quarters in comparison with 2024 as well as the respective organic growth rates are presented in the following chart:

Electronics

Net sales and organic growth1 by quarter2
€ million/organic growth in %

Electronics – Net sales and organic growth by quarter (Bar chart)
1 Not defined by IFRS Accounting Standards.
2 Quarterly breakdown unaudited.
Electronics

Net sales by business unit

 

 

 

 

 

 

 

 

 

 

€ million

 

2025

 

Share

 

Organic growth1

 

Exchange rate effects1

 

Acqui­sitions/divest­ments1

 

Total change

 

2024

 

Share

Semiconductor Solutions

 

2,494

 

71%

 

-1.4%

 

-3.7%

 

-0.1%

 

-5.2%

 

2,631

 

69%

Optronics

 

772

 

22%

 

0.6%

 

-3.2%

 

5.8%

 

3.2%

 

748

 

20%

Surface Solutions

 

249

 

7%

 

1.9%

 

-1.3%

 

-39.5%

 

-38.8%

 

406

 

11%

Electronics

 

3,515

 

100%

 

-0.6%

 

-3.3%

 

-3.2%

 

-7.1%

 

3,785

 

100%

1

Not defined by IFRS Accounting Standards.

  • The Semiconductor Solutions business unit, which comprises the Semiconductor Materials and Delivery Systems & Services (DS&S) businesses, posted around stable organic sales development in fiscal 2025 compared with the previous year. Semiconductor Materials achieved strong organic sales growth, which was driven by demand for state-of-the-art microchips (advanced nodes) in the field of artificial intelligence as well as for mature microchips (mature nodes). By contrast, DS&S recorded a sales decline in the low double-digit percentage range, caused by ongoing delays to large projects on the part of our customers. Alongside negative foreign exchange effects, this led to a significant overall decline in sales in the Semiconductor Solutions business unit.

  • Net sales of the Optronics business unit, consisting mainly of the business with liquid crystals, photoresists for display applications, OLED materials, and metrology and inspection equipment, delivered moderate growth in fiscal 2025. At the end of fiscal 2025, Unity-SC SAS, France, contributed to organic growth for the first time since the acquisition, which was completed October 31, 2024. The continuing price pressure in the field of liquid crystals was partially offset by increased volume.

  • The Surface Solutions business unit achieved slight organic sales growth in fiscal 2025. The Coatings business field contributed to this with moderate organic growth, while the Cosmetics business field recorded around stable organic development. Due to the divestment of the business unit to Global New Material International Holdings Ltd., Cayman Islands, which closed on July 31, 2025, and the associated divestment effect, net sales were significantly below the level of the previous year overall.

Net sales of the Electronics business sector by region developed as follows:

Electronics

Net sales by region

 

 

 

 

 

 

 

 

 

 

€ million

 

2025

 

Share

 

Organic growth1

 

Exchange rate effects1

 

Acqui­sitions/divest­ments1

 

Total change

 

2024

 

Share

Europe

 

266

 

8%

 

0.2%

 

-0.5%

 

-15.3%

 

-15.6%

 

316

 

8%

North America

 

642

 

18%

 

-11.8%

 

-3.1%

 

-3.4%

 

-18.2%

 

785

 

21%

Asia-Pacific (APAC)

 

2,533

 

72%

 

3.5%

 

-3.7%

 

-1.1%

 

-1.4%

 

2,569

 

68%

Latin America

 

23

 

1%

 

5.1%

 

-7.9%

 

-36.2%

 

-39.0%

 

38

 

1%

Middle East and Africa (MEA)

 

50

 

1%

 

-28.1%

 

-2.8%

 

-4.3%

 

-35.2%

 

77

 

2%

Electronics

 

3,515

 

100%

 

-0.6%

 

-3.3%

 

-3.2%

 

-7.1%

 

3,785

 

100%

1

Not defined by IFRS Accounting Standards.

The following table presents the composition of EBITDA pre for 2025 in comparison with 2024. The IFRS Accounting Standards figures have been modified to reflect the elimination of adjustments included in the respective functional costs.

Electronics

Reconciliation EBITDA pre1

 

 

 

 

 

 

 

 

 

 

2025

 

2024

 

Change

€ million

 

IFRS

 

Elimination of adjust­ments

 

Pre1

 

IFRS

 

Elimination of adjust­ments

 

Pre1

 

Pre1

Net sales

 

3,515

 

 

3,515

 

3,785

 

 

3,785

 

-7.1%

Cost of sales

 

-2,162

 

19

 

-2,143

 

-2,319

 

16

 

-2,303

 

-6.9%

Gross profit

 

1,352

 

19

 

1,371

 

1,466

 

16

 

1,483

 

-7.5%

Marketing and selling expenses

 

-519

 

2

 

-517

 

-568

 

2

 

-566

 

-8.7%

Administration expenses

 

-151

 

15

 

-136

 

-166

 

33

 

-133

 

2.6%

Research and development costs

 

-291

 

1

 

-290

 

-297

 

1

 

-296

 

-2.1%

Impairment losses and reversals of impairment losses on financial assets(net)

 

-2

 

 

-2

 

-2

 

2

 

 

>100.0%

Other operating income and expenses

 

-9

 

-34

 

-43

 

-75

 

58

 

-16

 

>100.0%

Operating result (EBIT)1

 

381

 

 

 

 

 

360

 

 

 

 

 

 

Depreciation/amortization/impairment losses/reversals of impairment losses

 

522

 

-73

 

448

 

527

 

-29

 

498

 

-9.9%

EBITDA2

 

903

 

 

 

 

 

887

 

 

 

 

 

 

Restructuring expenses

 

29

 

-29

 

 

22

 

-22

 

 

 

Integration expenses/IT expenses

 

15

 

-15

 

 

32

 

-32

 

 

 

Gains (-)/losses (+) on the divestment of businesses

 

-113

 

113

 

 

17

 

-17

 

 

 

Acquisition-related adjustments

 

 

 

 

12

 

-12

 

 

 

Other adjustments

 

 

 

 

 

 

 

 

EBITDA pre1

 

833

 

 

833

 

970

 

 

970

 

-14.1%

of which: organic growth1

 

 

 

 

 

 

 

 

 

 

 

 

 

-9.0%

of which: exchange rate effects

 

 

 

 

 

 

 

 

 

 

 

 

 

-4.4%

of which: acquisitions/divestments

 

 

 

 

 

 

 

 

 

 

 

 

 

-0.7%

1

Not defined by IFRS Accounting Standards.

2

Not defined by IFRS Accounting Standards; EBITDA corresponds to operating result (EBIT) adjusted by depreciation, amortization, impairment losses, and reversals of impairment losses.

  • Due to the aforementioned decline in sales, gross profit of the Electronics business sector after eliminating adjustments declined significantly in fiscal 2025, primarily as a result of lower sales volumes and the poorer coverage of fixed costs associated with this. The gross margin after eliminating adjustments stood at 39.0% and was therefore around stable compared with the previous year (2024: 39.2%).

  • Marketing and selling expenses decreased significantly compared with the previous year, which was attributable to the successful implementation of initiatives for lowering costs and raising efficiency. The divestment of the Surface Solutions business unit also had a positive effect. Conversely, administration expenses increased moderately, due primarily to higher project costs for cybersecurity and inflation.

  • The negative net balance of other operating income and expenses before adjustments decreased considerably year-on-year. This resulted primarily from the proceeds from the divestment of the Surface Solutions business unit.

  • Overall, EBITDA pre declined by € 137 million year-on-year in fiscal 2025. The EBITDA pre margin declined to 23.7% (2024: 25.6%).

  • The development of EBITDA pre in the individual quarters in comparison with 2024 is presented in the following overview:

Electronics

EBITDA pre1 and change by quarter2
€ million/change in %

Electronics – EBITDA pre and change by quarter (Bar chart)
1 Not defined by IFRS Accounting Standards.
2 Quarterly breakdown unaudited.

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