Wärtsilä (WRT1V) Pre-silent call summary

Executive summary

• Order intake remains strong in both Energy and Marine segments, with a robust pipeline and positive outlook for the remainder of the quarter.

• Completed divestments of Automation, Navigation & Control Systems, Marine Electrical Systems, Gas Solutions, and Water & Waste businesses between July 2025 and June 2026, resulting in no remaining Portfolio Business activities.

• A 50/50 joint venture for the Energy Storage business with RCT Solutions is set to close in Q3 2026, with no material P&L impact at closing.

Trading performance and revenue trends

• Net sales for the Energy Storage business are projected at EUR 700 million in 2025, with an operating result of EUR 23 million, representing 2.8% of total operating result.

• Gas Solutions divestment removed EUR 390 million in annual revenue for 2025; order book adjusted by approximately EUR 900 million.

• Water & Waste divestment removed EUR 50 million in annual revenue for 2025; order book to be adjusted by EUR 650 million in Q2 2026.

• Majority of sales volumes, especially for Energy equipment, are expected in the second half of the year.

• Equipment deliveries are expected to increase as capacity expands, particularly from 2028 onwards.

Profitability and margins

• The Energy Storage joint venture is expected to generate positive results by the end of 2027, but a loss of EUR 40-50 million is anticipated in 2026.