2025 was another record year for NKT – but growth will slow down in 2026

The Danish cable manufacturer NKT A/S delivered another strong and growth-filled result in 2025. Here, the company managed to increase revenue to 2,722 million euros from 2,489 million euros the previous year, corresponding to organic growth of 6 percent. Operational EBITDA increased to 390 million euros against 344 million euros in 2024, thus reaching the highest level in the company's history. The year's profit amounted to 275 million euros against 236 million euros the previous year.

The record result came despite a fourth quarter that featured negative organic growth. Here, revenue thus fell to 643 million euros from 693 million euros the previous year, corresponding to organic growth of -8 percent. Operational EBITDA amounted to 85 million euros against 90 million euros in the same period the previous year. The decline was primarily due to the scaling back of a major high-voltage project in Solutions, while both Applications and Service & Accessories increased their contribution in the quarter. The EBITDA margin increased to 13.2 percent from 13.0 percent the previous year. However, this did not prevent the record result for the year, which naturally pleases NKT's CEO.

- 2025 was another strong year for NKT, characterized by disciplined execution and continued progress on strategic priorities. We improved our financial performance, maintained our leading position in the cable industry and continued to drive the ongoing investments in capacity expansions with a view to creating future growth. We also launched our new strategy, Charging Forward, together with new financial ambitions towards 2030, says Claes Westerlind, CEO of NKT, in a press release.

The record result continues a significant improvement over several years. Since 2021, revenue measured in standard metal prices has increased from EUR 1,263 million to EUR 2,722 million, while operational EBITDA has grown from EUR 131 million to EUR 390 million in the same period.

All three business areas contributed to the progress in 2025. Solutions increased revenue by EUR 108 million and delivered 7% organic growth, while operational EBITDA increased to EUR 258 ​​million. Applications grew by 11% organically and lifted operational EBITDA to EUR 89 million. Service & Accessories delivered 22% organic growth and an operational EBITDA of EUR 60 million.

The high-voltage order book amounted to EUR 10.2 billion at the end of the year. In addition, the company had capacity reservations of over EUR 3.5 billion. euros.

Expects slowdown in 2026

With the new strategy, Charging Forward, NKT will continue investments in expanding production capacity within high voltage up to 2027. The strategy includes financial ambitions to raise operational EBITDA to over 900 million euros by 2030.

However, NKT does not expect a large part of this target to be achieved in 2026. In the coming year, NKT expects revenue of 2.63-2.78 billion euros measured in standard metal prices and operational EBITDA of 360-410 million euros. This corresponds to an expected EBITDA margin of approximately 13-15.5 percent compared to 14.3 percent. in 2025. So at best only modest growth compared to the growth rates of recent years, where operational EBITDA has almost tripled since 2021.. 

In 2025, the margin was negatively affected by around 1 percentage point due to increased costs and hiring. According to the company, the margin is expected to be temporarily pressured in 2026, when costs and staffing increase ahead of the production scale-up in 2027.

"The financial expectations for 2026 reflect slightly negative growth in Solutions due to a lack of additional production capacity, a normalized level of additional orders and a lower level of subcontracting revenue compared to 2025," NKT states in the annual report.

At the end of 2025, net interest-bearing debt amounted to -963 million euros compared to -1,280 million euros. euros the year before.

amp