Overview

• Netherlands-based energy solutions provider's FY 2025 revenue declined 10.7%, slightly missing analysts' expectations

• Adjusted EBITDA for FY 2025 slightly missed analysts' estimates

• Company undergoing transformation to focus on customer centricity and digitalization

Outlook

• Alfen expects 2026 revenue between €435m and €475m

• Company anticipates adjusted EBITDA margin between 4% and 7% for 2026

• Alfen plans CAPEX to remain below 4% of revenue in 2026

Result Drivers

• EV CHARGING DECLINE - Revenue in EV Charging fell 21.2% due to competitive pressure and reduced installation rates in the public segment

• SMART GRID CHALLENGES - Revenue in Smart Grid Solutions decreased 10.2% due to labor shortages and regulatory constraints faced by Dutch grid operators

• COST CONTROL - Alfen maintained a stable adjusted EBITDA margin at 5.8% through cost control measures, including a 15.2% reduction in personnel costs

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "sell" and the breakdown of recommendations is no "strong buy" or "buy", 7 "hold" and 4 "sell" or "strong sell"

• The average consensus recommendation for the heavy electrical equipment peer group is "buy."

• Wall Street's median 12-month price target for Alfen NV is €10.00, about 10.6% below its February 10 closing price of €11.19

• The stock recently traded at 52 times the next 12-month earnings vs. a P/E of 41 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)