KONE (KNEBV) Q4 2025 earnings summary

Executive summary

• Service and Modernization became the largest segments, now comprising up to 65% of sales, driving order growth, margin expansion, and resilience in 2025.

• Digital transformation accelerated, with over 40% of the maintenance/service base connected and productivity tools deployed across two-thirds of the installed base.

• Sustainability targets exceeded, including a 13% reduction in Scope 3 emissions and over 20% growth in impact revenue.

• Board proposes a €1.80 per Class B share dividend, yielding nearly 3%.

Financial highlights

• Orders grew 12.2% year-over-year in Q4 at comparable rates, with double-digit growth in Americas and APMEA.

• Sales increased 4.3% year-over-year in Q4 at comparable rates, led by 15%–17.4% growth in modernization and 6%–7.6% in services.

• Adjusted EBIT margin improved by 60bps in Q4 to 13.6%, and for FY 2025 reached 12.2%.

• Full-year cash flow from operations rose to €1,761.3 million.

• FY 2025 net income increased 3.2% to €991.9 million; basic EPS €1.89.

Outlook and guidance

• 2026 sales expected to grow 2%–6% at comparable currencies; adjusted EBIT margin guided at 12.3%–13.0%, with a 10bps negative FX impact if rates persist.

• Modernization and services markets expected to remain active globally; NBS decline in China to continue but at a lower rate.

• Geopolitical risks, wage inflation, and FX remain headwinds, but strong order book and performance initiatives provide tailwinds.