Schindler Forecasts Modest Growth for 2025 Amid Co…
From Financial Modeling Prep: 2025-02-12 02:27:09
- Swiss lift and escalator manufacturer Schindler projects low single-digit revenue growth for 2025, citing weak new construction activity but highlighting growth in modernization and services. Expectations include limited revenue expansion due to declining new construction demand and stronger momentum in the modernization and service segments.
- Schindler forecasts an EBIT margin of around 12% for 2025, slightly lower than Q4 2024 levels. Improved pricing strategies, restructuring measures, and digitization initiatives contributed to an adjusted EBIT margin of 12.5% in Q4 2024. Margin stability signals better cost control despite weaker revenue growth.
- In Q4 2024, Schindler’s quarterly sales reached 2.86 billion Swiss francs, missing analysts’ expectations. Key figures for Q4 2024 versus Q4 2023 include an EBIT margin of 12.5% (up from 11.4%) and revenue of 2.86 billion CHF (below the forecast of 2.95 billion CHF). Investors may be cautious due to the weaker top-line performance.
Final Thoughts: Schindler’s 2025 growth outlook is cautious, with declining new construction but expanding services. Investors should monitor profitability trends, service and modernization revenue growth, and macroeconomic factors affecting new construction. Service-based revenue models may outperform those reliant on new real estate development.
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