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olivLaw · European equity research

Kendrion N.V. KENDR.AS

Netherlands · Euronext Amsterdam · Vertical: Listed companies from Netherlands

18.60EUR−2.82% · 1 dayClose 05 Nov 2026

Kendrion N.V. is a European industrial group that in 2025 focused exclusively on industrial divisions after divesting its automotive activities in Europe, the USA and China. The company could benefit from a more stable margin profile, targeting a normalized EBITDA margin of 15%-18% from 2026, but remains exposed to weak industrial demand in Europe.

At the close of 05 Nov 2026, Kendrion N.V. (KENDR.AS) stock was 18.60 EUR (−2.82% on the day), with market capitalisation 292.5 m EUR, P/E 15.0 on diluted EPS of 1.24 EUR over the last 12 months, dividend yield 7.80%, beta 0.79, 52-week range 13.40–21.60 EUR.

Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.

Market cap
292.5 m EUR
shares as of 31 Dec 2025
P/E (TTM)
15.0
Diluted EPS TTM 1.24 · TTM to 31 Dec 2025
E/P (TTM)
6.67%
TTM to 31 Dec 2025
Dividend yield
7.80%
DPS 12m 1.45
Beta (2y)
0.79
Volatility (1y) 29%
52-week range
13.4021.60

Price history

Loading chart…

Technical reading

RSI (14)
39.9
weak (30–45)
Bollinger (20, 2)
18.34 – 19.58
in the lower half of the band · %B 0.21 · band width 6.5%
SMA 50 / 200
19.51 / 18.52
mixed trend
MACD (12, 26, 9)
-0.18 / -0.20
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyEURO STOXX 50vs EURO STOXX 50Vertical median
1 month−9.3%−0.6%−8.6 pp—
3 months−5.3%−4.2%−1.1 pp—
6 months+5.7%+4.3%+1.3 pp—
Year to date+32.9%+7.5%+25.3 pp—
1 year+31.7%+9.9%+21.8 pp−0.2%
3 years+60.9%+49.8%+11.1 pp+2.2%
5 years−7.5%+42.8%−50.3 pp—
Max drawdown (1y)
−15.6%
14 May 2026 → 23 Oct 2026
Max drawdown (5y)
−57.5%
06 Jan 2022 → 07 Apr 2025
Compound annual growth (5y)
−1.5%
EURO STOXX 50 +7.4%

Price returns, dividends excluded.

Quarterly results

ESEF annual reports carry no quarters: the results are annual (below).

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Today's P/E sits at the 50 percentile of its own 2-quarter history (min 11.3, median 15.1, max 18.9; quarters with earnings only).

Fiscal years

Fiscal year202320242025
Revenue309.0 m247.5 m245.5 m
Revenue YoYunavailable−19.9%−0.8%
Net income9.9 m-4.5 m19.5 m
Net income YoYunavailable−145.5%unavailable
Diluted EPS0.64-0.291.24
Diluted EPS YoYunavailable−145.3%unavailable
net %3.2%-1.8%7.9%
Free cash flow12.5 m900.0 k24.2 m

Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
29.4 m EUR
Financial debt
59.7 m EUR
Net debt
30.3 m EUR
Equity
153.4 m EUR
Total assets
272.2 m EUR
Debt / equity
0.39x
Current ratio
2.42x
ROE
12.5%
ROA
6.1%
FCF margin
9.9%

Financial statements (source on every figure)

Revenue and net income (EUR)

Margins

Income statement · EUR

Revenue
2023
309.0 m
2024
247.5 m
2025
245.5 m

esef· 04 Mar 2026verified

Operating income
2023
22.2 m
2024
14.6 m
2025
21.3 m

esef· 04 Mar 2026verified

Depreciation & amortisation
2023
17.3 m
2024
16.0 m
2025
15.0 m

esef· 04 Mar 2026verified

EBITDA
2023
39.5 m ≈
2024
30.6 m ≈
2025
36.3 m ≈

esef· 04 Mar 2026derived

Interest expense
2023
6.3 m
2024
4.0 m
2025
3.8 m

esef· 04 Mar 2026verified

Pre-tax income
2023
16.1 m
2024
10.6 m
2025
17.3 m

esef· 04 Mar 2026verified

Income tax
2023
4.3 m
2024
2.2 m
2025
3.7 m

esef· 04 Mar 2026verified

Net income
2023
9.9 m
2024
-4.5 m
2025
19.5 m

esef· 04 Mar 2026verified

Diluted EPS
2023
0.64
2024
-0.29
2025
1.24

esef· 04 Mar 2026verified

Dividend per share
2023
0.72
2024
0.45
2025
1.45

esef· 04 Mar 2026verified

Balance sheet · EUR

Cash
2023
20.6 m
2024
8.5 m
2025
29.4 m

esef· 04 Mar 2026verified

Receivables
2023
65.2 m
2024
58.6 m
2025
23.6 m

esef· 04 Mar 2026verified

Inventories
2023
87.4 m
2024
58.5 m
2025
44.5 m

esef· 04 Mar 2026verified

Current assets
2023
180.8 m
2024
130.7 m
2025
98.9 m

esef· 04 Mar 2026verified

Property, plant & equipment, net
2023
134.5 m
2024
96.0 m
2025
52.4 m

esef· 04 Mar 2026verified

Total assets
2023
462.3 m
2024
364.8 m
2025
272.2 m

esef· 04 Mar 2026verified

Accounts payable
2023
84.5 m
2024
58.9 m
2025
33.7 m

esef· 04 Mar 2026verified

Short-term debt
2023
5.3 m
2024
12.4 m
2025
2.4 m

esef· 04 Mar 2026verified

Long-term debt
2023
153.2 m
2024
97.8 m
2025
57.3 m

esef· 04 Mar 2026verified

Current liabilities
2023
108.7 m
2024
85.8 m
2025
40.8 m

esef· 04 Mar 2026verified

Total liabilities
2023
290.3 m
2024
206.3 m
2025
118.8 m

esef· 04 Mar 2026verified

Equity
2023
172.0 m
2024
158.5 m
2025
153.4 m

esef· 04 Mar 2026verified

Shares outstanding at year end
2023
15.2 m
2024
15.5 m
2025
15.7 m

esef· 04 Mar 2026derived

Cash flow · EUR

Operating cash flow
2023
36.4 m
2024
18.5 m
2025
30.4 m

esef· 04 Mar 2026verified

Capex
2023
23.9 m
2024
17.6 m
2025
6.2 m

esef· 04 Mar 2026verified

Free cash flow
2023
12.5 m ≈
2024
900.0 k ≈
2025
24.2 m ≈

esef· 04 Mar 2026derived

Investing cash flow
2023
-29.6 m
2024
25.8 m
2025
53.5 m

esef· 04 Mar 2026verified

Financing cash flow
2023
-27.8 m
2024
-51.2 m
2025
-61.0 m

esef· 04 Mar 2026verified

Dividends paid
2023
7.1 m
2024
4.2 m
2025
19.7 m

esef· 04 Mar 2026verified

Share repurchases
2023
—
2024
0
2025
2.5 m

esef· 04 Mar 2026verified

Computed indicators

Growth

Revenue growth (YoY)
-0.8%
computed by olivLawFY 2025
Revenue CAGR 3Y
unavailable
input data missing
Revenue CAGR 5Y
unavailable
input data missing
EBIT growth (YoY)
45.9%
computed by olivLawFY 2025
Net income growth (YoY)
unavailable
the base of the ratio is not positive
Net income CAGR 3Y
unavailable
input data missing
Net income CAGR 5Y
unavailable
input data missing
EPS growth (YoY)
unavailable
the base of the ratio is not positive
EPS CAGR 3Y
unavailable
input data missing
EPS CAGR 5Y
unavailable
input data missing
FCF growth (YoY)
2,588.9%
computed by olivLawFY 2025

Profitability

Gross margin
unavailable
input data missing
EBITDA margin
14.8%
computed by olivLawFY 2025
EBIT margin
8.7%
computed by olivLawFY 2025
Net margin
7.9%
computed by olivLawFY 2025
FCF margin
9.9%
computed by olivLawFY 2025

Returns

ROE
12.5%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROA
6.1%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROIC
7.5%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROCE
9.2%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Payout ratio (EPS)
116.9%
computed by olivLawFY 2025
Payout ratio (FCF)
81.4%
computed by olivLawFY 2025

Balance sheet

Net debt
30.3 m EUR
computed by olivLawbalance sheet at 31 Dec 2025
Net debt / EBITDA
0.8x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Debt / equity
0.4x
computed by olivLawbalance sheet at 31 Dec 2025
Interest coverage
5.6x
computed by olivLawFY 2025

Liquidity

Current ratio
2.4x
computed by olivLawbalance sheet at 31 Dec 2025
Quick ratio
1.3x
computed by olivLawbalance sheet at 31 Dec 2025
Cash ratio
0.7x
computed by olivLawbalance sheet at 31 Dec 2025

Cash

Operating cash flow
30.4 m EUR
computed by olivLawFY 2025
Capital expenditure
6.2 m EUR
computed by olivLawFY 2025
Free cash flow
24.2 m EUR
computed by olivLawFY 2025
FCF conversion
124.1%
computed by olivLawFY 2025
Cash conversion
83.7%
computed by olivLawFY 2025

Efficiency

Days sales outstanding
61 days
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Days inventory outstanding
unavailable
input data missing
Days payables outstanding
unavailable
input data missing
Cash conversion cycle
unavailable
input data missing

Market and valuation

Market capitalisation
292.5 m EUR
computed by olivLawbalance sheet at 31 Dec 2025
Enterprise value
322.8 m EUR
computed by olivLawbalance sheet at 31 Dec 2025
Market cap / net income TTM
15.0x
computed by olivLawFY 2025
P/E (TTM)
15.0x
computed by olivLawFY 2025
Earnings yield
6.7%
computed by olivLawFY 2025
P/B
1.9x
computed by olivLawbalance sheet at 31 Dec 2025
P/S
1.2x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
EV/EBITDA
8.9x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
EV/EBIT
15.2x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
EV/Sales
1.3x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
P/FCF
12.1x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
FCF yield
8.3%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Dividend yield
7.8%
computed by olivLawFY 2025
Shareholder yield (distributions)
7.6%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025

1 indicators that do not apply to the sector.

Valuation

olivLaw classification

Attractive profile

Score: 73 / 100

A scoring methodology on indicators and valuation, not investment advice.

score >= 65 · margin_of_safety >= 0.15 · agreement in ['high', 'medium']

Closing price

18.60 EUR

05 Nov 2026Source: olivLaw, closing series

Market cap: 292.5 m EUR

Key indicators

Market capitalisation
292.5 m EUR
computed by olivLawbalance sheet at 31 Dec 2025
P/E (TTM)
15.0x
computed by olivLawFY 2025
P/B
1.9x
computed by olivLawbalance sheet at 31 Dec 2025
EV/EBITDA
8.9x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROE
12.5%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Net margin
7.9%
computed by olivLawFY 2025
Revenue growth (YoY)
-0.8%
computed by olivLawFY 2025
Dividend yield
7.8%
computed by olivLawFY 2025

Coverage and freshness

30/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 31 Dec 2025
Latest balance sheet date: 31 Dec 2025
Share count (cover of the latest filing), as of: 31 Dec 2025
Source: esefpublished 04 Mar 2026
verified 84derived 3

Score by group

  • Quality73
  • Returns82
  • Balance sheet59
  • Valuation79

Estimated value range

Low
19.60
EUR per share
Mid
22.66
EUR per share
High
30.32
EUR per share
Price: 18.60 EUR
The price is below the range
Potential to the central value: 21.8% (value / price − 1)
Margin of safety: 17.9% (1 − price / value)
Agreement between methods: high · 4 methods used · 3 independent bases

The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 13.09 – 36.43 EUR.

Valuation assumptions are editorial choices, not measured; beta is not measured.

Method ranges (EUR per share)

— — Mid · ▏ Price

Valuation methods

  • DCF (discounted cash flow)21.32 – 36.43 (Mid 26.91)
    WACC 7.7% · starting FCFF 27.2 m EUR · terminal value share of EV 76%
    The WACC × g sensitivity gives the method's bounds; these are not probabilities.
    Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): -14.4%
  • Peers: EV/EBITDA19.48 – 28.82 (Mid 22.57)
    5 companies used · median multiple 10.6x · quartiles 9.3x – 13.3x
    ARCAD.AS, BAMNB.AS, BNJ.AS, BRNL.AS, CMCOM.AS
  • Peers: P/E13.09 – 31.83 (Mid 17.99)
    16 companies used · median multiple 14.5x · quartiles 10.6x – 25.7x
    AALB.AS, ACOMO.AS, AD.AS, ADYEN.AS, AKZA.AS, ARCAD.AS, ASM.AS, ASML.AS, AXS.AS, BAMNB.AS, BNJ.AS, CRBN.AS, CTAC.AS, ECMPA.AS, FFARM.AS, HAL.AS
  • Dividend discount (DDM)19.72 – 26.89 (Mid 22.75)

Assumptions (illustrative, editorial)

Risk-free rate
3.0%
Equity risk premium
5.5%
Beta (default)
1.00
Cost of equity
8.5%
Terminal growth
2.0%

Factor scorecard

Attractive profile · Score 73/100

FactorValueScoreWeight used
ROIC · Quality7.5%54 (vs peers)13%
Net margin · Quality7.9%78 (vs peers)8%
FCF conversion · Quality124.1%100 (on a fixed band)8%
Revenue CAGR 3Y · Growthunavailableunavailable—
EPS CAGR 3Y · Growthunavailableunavailable—
Net debt / EBITDA · Balance sheet0.8x40 (vs peers)13%
Interest coverage · Balance sheet5.6x63 (on a fixed band)8%
Current ratio · Balance sheet2.4x100 (on a fixed band)5%
P/E (TTM) · Valuation15.0x62 (vs peers)13%
EV/EBITDA · Valuation8.9x80 (vs peers)13%
FCF yield · Valuation8.3%100 (on a fixed band)10%
Shareholder yield (distributions) · Returns7.6%100 (on a fixed band)8%
Payout ratio (FCF) · Returns81.4%55 (on a fixed band)5%

Factors without a value were dropped; the remaining weights were renormalised.

Score groups

  • Balance sheet59/100 · 3/3 factors with a value
  • Growth· partialunavailable · 0/2 factors with a value
  • Quality73/100 · 3/3 factors with a value
  • Returns82/100 · 2/2 factors with a value
  • Valuation79/100 · 3/3 factors with a value

A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.

Memo

Kendrion N.V. (KENDR.AS). Latest full fiscal year: 2025; data up to 2025-12-31.

Figures computed from the financial statements: revenue 245.5 m EUR in 2025; YoY growth -0.8%; net margin 7.9%; ROE 12.5%; net debt/EBITDA 0.8x.

The estimated value range is 19.60–30.32 EUR per share (median of 4 methods, agreement: high); assumptions are illustrative. Against the central value of 22.66 EUR, the price of 18.60 EUR leaves a potential of 21.8% (value / price − 1) and a margin of safety of 17.9% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.

olivLaw score 73/100, methodological classification: attractive profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: growth. Not investment advice.

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

  • Net margin: 7.9%
  • FCF conversion: 124.1%
  • Current ratio: 2.4x
  • EV/EBITDA: 8.9x
  • FCF yield: 8.3%
  • Shareholder yield (distributions): 7.6%
  • The price is below the estimated value range

What contradicts it

No signal among the computed factors. That is not an absence of risk: factors without data were not assessed, and business risks (margins, inventory, demand) are in the source-based analysis.

Not assessed (insufficient data or a ratio without meaning): Revenue CAGR 3Y, EPS CAGR 3Y.

Versus the vertical median

Listed companies from Netherlands · same country · compared with 39 companies

Multiples and returns vs the median

P/E
15.0x
vertical median 20.2x
below median (−25.8%)
EV/EBITDA
8.9x
vertical median 10.6x
below median (−16.2%)
P/S
1.2x
vertical median 0.8x
above median (+44.1%)
P/B
1.9x
vertical median 2.2x
below median (−12.0%)
ROE
12.5%
vertical median 4.3%
above median (+189.4%)
Net margin
7.9%
vertical median 1.9%
above median (+321.4%)
EBIT margin
8.7%
vertical median 3.9%
above median (+119.9%)
Revenue YoY
-0.8%
vertical median 3.4%
below median (−124.1%)
Net debt/EBITDA
0.8x
vertical median 0.7x
above median (+23.0%)
Dividend yield
7.8%
vertical median 2.6%
above median (+195.7%)

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
ASML.ASASML Holding N.V.485.6 bn47.644.2%31.3%+15.6%+38% / +101%
DSFIR.ASDSM-Firmenich AG33.7 bn120.51.2%2.2%+20.4%+60% / +30%
AD.ASKoninklijke Ahold Delhaize N.V.31.2 bn13.915.3%2.5%+3.4%−3% / +30%
ASM.ASASM International N.V.31.2 bn43.318.7%22.8%+8.2%+34% / +35%
ADYEN.ASAdyen N.V.28.1 bn26.622.3%40.1%+18.9%−33% / −17%
HAL.ASHAL Trust15.5 bn9.710.5%12.8%+1.2%+22% / +47%
EXO.ASExor N.V.15.0 bn—-10.6%—−100.0%+1% / −18%
BESI.ASBE Semiconductor Industries N.V.11.2 bn84.928.7%22.3%−2.7%+8% / +10%
AKZA.ASAkzo Nobel N.V.10.7 bn17.013.8%6.3%−5.2%+12% / −11%
AALB.ASAalberts N.V.4.5 bn25.47.2%5.7%−5.3%+48% / +13%
ARCAD.ASArcadis N.V.4.2 bn20.218.3%4.3%−2.4%+24% / +2%
BNJ.ASBanijay Group N.V.3.4 bn13.8343.8%5.1%+1.6%−11% / −8%
BAMNB.ASKoninklijke BAM Groep N.V.3.3 bn41.89.1%1.3%+2.9%+47% / +400%
BFIT.ASBasic-Fit N.V.2.0 bn138.23.6%1.0%+16.9%+7% / +16%
CRBN.ASCorbion N.V.1.6 bn8.327.3%14.9%+1.9%+40% / +55%
ECMPA.ASEurocommercial Properties N.V.1.4 bn11.25.9%45.4%+4.2%−4% / +19%
FUR.ASFugro N.V.985.3 m—-1.5%-1.1%−18.8%−0% / −49%
ACOMO.ASAcomo N.V.685.9 m15.210.7%3.3%+7.6%−3% / +37%
FAST.ASFastned B.V.663.0 m—-28.2%-21.7%+66.1%+60% / +25%
FFARM.ASForFarmers N.V.479.4 m9.614.5%1.6%+14.8%+22% / +123%
BRNL.ASBrunel International N.V.383.2 m125.51.0%0.3%−10.8%−6% / −29%
KENDR.ASKendrion N.V.292.5 m15.012.5%7.9%−0.8%+34% / +70%
ENVI.ASEnvipco Holding N.V.224.1 m—-12.7%-11.9%−20.8%−25% / +47%
ALFEN.ASAlfen N.V.219.8 m—-0.1%-0.0%−10.7%−4% / −78%
CMCOM.ASCM.com N.V.192.5 m—-22.2%-1.5%−5.4%+23% / −30%

1- and 3-year price returns: for KENDR.AS from daily closes (the same as the performance table), for the other companies from month-end closes.

olivLaw engine forecast

The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

The engine has no published run for this company yet.

Valuation scenarios (editable assumptions)

Illustrative scenarios

Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.

Bear
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Base
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Bull
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Nothing is saved.

Estimated price (EUR)

Estimated priceBearBaseBull
1 years
10.41
Total return -39% · Per year -39%
18.45
Total return 6% · Per year 6%
27.86
Total return 58% · Per year 58%
3 years
9.05
Total return -37% · Per year -14%
18.15
Total return 17% · Per year 5%
30.24
Total return 88% · Per year 23%
5 years
7.87
Total return -36% · Per year -9%
17.86
Total return 29% · Per year 5%
32.83
Total return 120% · Per year 17%
What moves the 3-year price the most
  • Exit P/E± 4.54
  • Net margin± 3.18
  • Annual revenue growth± 2.75
  • Annual dilution± 0.27

AI analysis

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

In brief

Kendrion N.V. is a European industrial group that in 2025 focused exclusively on industrial divisions after divesting its automotive activities in Europe, the USA and China. The company could benefit from a more stable margin profile, targeting a normalized EBITDA margin of 15%-18% from 2026, but remains exposed to weak industrial demand in Europe.

SWOT

Strengths

  • The company reached its minimum EBITDA profitability target in 2025 ahead of schedule and generated solid cash flow.
  • The industrial portfolio is concentrated in niches where the company has expertise in valves, actuators, brakes and controls.
  • Its dividend policy and clear financial commitments give shareholders transparency.

Weaknesses

  • The company depends on industrial demand in Europe, which remained weak, particularly in Germany.
  • The phased transfer of the Sibiu facility and the post-divestment reorganisation add operational complexity.
  • Reliance on industrial projects that can be postponed or cancelled reduces revenue visibility.

Opportunities

  • Rising investment in automation and robotics could expand demand for the company's brakes and controls.
  • If margin and ROI targets are met, the company could finance growth from its own cash flow.
  • Expansion in Asia alongside Europe and the USA could diversify revenue sources.

Threats

  • If the European economy does not recover, industrial orders could remain below expectations.
  • Supply chain disruptions and rising purchase prices could weigh on margins.
  • Cyber attacks or IT system failures could interrupt operations and damage reputation.

Risks

  • Strategic projects and M&A failuremedium

    Transactions and strategic projects may not deliver the expected benefits, affecting financial performance.

  • Economic and political uncertaintyhigh

    Volatile economic and political conditions could affect customer investment behaviour and planning.

  • Order volatilityhigh

    Cancelled or postponed projects could reduce capacity utilisation and cash flow.

  • Cyber and IT riskmedium

    Cyber attacks or ERP implementation problems could interrupt operations.

  • Sourcing and purchase pricesmedium

    Shortages of materials or rising purchase prices could affect production continuity and margins.

Investment thesis

What would need to be true (bull case)

  • If the focus on industry continues to deliver stable margins and solid cash flow, the company could sustain consistent dividends.
  • Demand in robotics and automation could support revenue growth in segments where the company has technical expertise.
  • Financial discipline and medium-term profitability targets could improve profitability in the coming years.

What would break the thesis

  • If the European economy stays weak, industrial orders could stagnate and limit growth.
  • Reorganisation and the transfer of units could generate unforeseen costs and delays.
  • Dependence on projects that can be postponed could make revenue harder to forecast.

What to watch

  • Achievement of the normalized EBITDA margin target of 15%-18%2026
  • Progress toward the ROI target of 23%-27%2027
  • Timetable for the phased transfer of the Sibiu facility to Knorr-Bremsecoming years
  • Order intake in Europe and development of industrial output2026

Products, market & competition

AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

The business

According to the 2025 integrated annual report, Kendrion completed in February the divestment of its European and USA automotive operations to Solero Technologies, and in August sold its China automotive business to local management. In September it entered into a cooperation agreement with Knorr-Bremse to transfer the Sibiu mobility electronics facility in phases. The company now focuses on two industrial business groups, Industrial Brakes (IB) and Industrial Actuators and Controls (IAC), in Europe, the USA and Asia.

The forward strategy states that Kendrion invests only where it has a clear edge, drawing on its expertise in valves, actuators, brakes and control technology. Management says it targets projects with a minimum EBITDA of 20% and annual revenue growth of at least 10% in investment areas. Key strategic sectors include induction heating systems, industrial locks for professional kitchens, laboratory equipment, parcel lockers, safety valves for nuclear facilities, brakes for robotics and intra-logistics.

Financially, the company reached its minimum EBITDA profitability target ahead of schedule in 2025 and paid both regular and special dividends. Medium-term commitments include a normalized EBITDA margin target, an ROI target by 2027, and a policy of distributing at least half of normalized net profit before amortization.

Segments

Industrial Brakes (IB)

The industrial brakes division serves applications in industrial and collaborative robotics as well as intra-logistics. It is one of the two business groups the company says it will develop exclusively going forward.

Industrial Actuators and Controls (IAC)

This division covers valves, actuators and control technologies, including induction heating systems and safety valves for nuclear facilities. The company regards it as the main driver of profitable growth after exiting automotive.

Market context

According to the report, the European economy, particularly Germany, remained weak in 2025, and interest rate cuts did not produce a meaningful rise in capital investment. For 2026 the company expects industrial output across Europe, the USA and China to remain broadly in line with 2025 levels.

Demand in Kendrion's industrial segments depends on customer investment, which can be postponed or cancelled. The company flags order volatility and project cancellations as relevant risks for capacity utilisation and cash flow.

Trends

  • Industrial focustailwind

    Exiting automotive and concentrating on industrial projects could support more stable margins if profitability targets are met.

  • Weak European economyheadwind

    A weak European economy, especially in Germany, could limit orders and customer investment in industrial markets.

  • Automation and roboticstailwind

    Demand for brakes and controls in industrial and collaborative robotics could grow if automation investment continues.

  • Costs and sourcingmixed

    Supply disruptions and rising purchase prices could affect margins, although the company diversifies suppliers and applies a local-for-local sourcing strategy.

Competitive position

The annual report does not explicitly name direct competitors. The company operates in niche industrial markets such as brakes, actuators, valves and control systems, where it relies on technical expertise and protection of its intellectual property.

Protection of intellectual property through patents, trademarks and confidentiality agreements is cited as a means of preserving its competitive edge. Losing that edge could reduce market share and profitability.

  • Competitors not named in source

    The annual report does not name competitors, so no ticker can be attributed from the source.

  • Brake and actuator technology suppliers

    The source does not identify competing companies in this category.

  • Valve and control system manufacturers

    The source does not identify competing companies in this category.

  • Induction heating equipment suppliers

    The source does not identify competing companies in this field.

News & filings

In the press

No news in our archive over the last 180 days.

Annual reports (ESEF)

Sources

  1. [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / Kendrion N.V. · 31 Dec 2025

Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.