Iveco Group (IVG) Q1 2026 earnings summary

Executive summary

• Q1 2026 focused on quality improvements, impacting short-term profitability but aiming for long-term gains in products and services.

• Consolidated revenues reached €2,828 million, up slightly from €2,806 million in Q1 2025, driven by higher Bus volumes but offset by declines in Truck (South America) and FX headwinds.

• Adjusted EBIT loss was €55 million (vs. €117 million profit in Q1 2025), with a negative margin of 1.9%, mainly due to higher production and rework costs.

• Leadership maintained in European LCV and electric bus markets; strong order intake in Europe.

• Extraordinary interim dividend of €1,551 million paid from Defence business sale proceeds.

Financial highlights

• Consolidated net revenues: €2.83 billion, up 1% year-over-year.

• Adjusted EBIT: -€55 million (down from €117 million in Q1 2025); margin at -1.9%.

• Adjusted diluted EPS: -€0.28.

• Free cash flow of industrial activities: -€681 million, a €166 million improvement year-over-year.

• Available liquidity: €5.5 billion before dividend distribution.

Outlook and guidance

• Profitability expected to recover in H2 2026, supported by H1 actions and efficiency program.

• Management highlights ongoing risks from macroeconomic and geopolitical uncertainties, FX volatility, and production costs.

• European truck market forecasted to grow ~5% in LCV and M&H for FY 2026; South America remains uncertain.

• Tata Motors' acquisition expected to close by Q3 2026.