EU and US could reach trade deal this weekend - Reuters
On Monday, Deutsche Bank (ETR:DBKGn) raised the price target for Krones (ETR:KRNG) AG (KRN:GR) shares to €171 from €162 and maintained a Buy rating on the stock. The adjustment follows Krones AG’s reported revenue increase of 13% year-over-year for the first quarter of 2025, attributed to both the acquisition and consolidation of Netstal Maschinen AG, which had an approximate 4% impact, and improved capacity utilization coupled with beneficial pricing effects.
The company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) grew by 19% compared to the same period last year, with the EBITDA margin reaching 10.6%, a 53 basis points increase year-over-year. Despite the higher selling prices effectively balancing the rising input costs, the order intake showed a slight decrease of 3% year-over-year, although it increased by 7% compared to the previous quarter. The book-to-bill ratio was reported at 1.02 times.
Krones AG’s order backlog remained relatively unchanged year-over-year, with a minor 1% decline, but showed a 1% quarter-over-quarter increase. This stability in the order backlog is expected to secure the company’s revenue stream until spring 2026. Free cash flow (FCF) before acquisitions was reported at €165 million, which, while robust, marked a decrease from €184 million in the first quarter of 2024.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.