EQS-News: 2G Energy AG adjusts its forecast for the current 2025 financial year in terms of sales revenues and EBIT margin

2G Energy AG adjusts its forecast for the current 2025 financial year in terms of sales revenues and EBIT margin

• Sales revenue forecast lowered to EUR 380 to 400 million (previous forecast EUR 430 to 440 million), still representing growth of up to 7% compared to the previous year.
• The temporary slowdown is due to delays regarding incoming orders in Eastern Europe and a temporary decline in service volume as a result of the ERP changeover in Germany.
• A reduced EBIT margin of 6.5 to 8.0% (previously 8.5 to 9.5%) is anticipated due to lacking sales volumes and one-off expenses in connection with the ERP project.
• Incoming orders in the third quarter outside Ukraine are exceeding the previous year's quarter by 30%.
• Outlook remains optimistic: Growth forecast for 2026 unchanged (sales revenues EUR 440 to 490 million, EBIT margin 9.0 to 11.0%).
• Specific projects in the newly targeted data center market in Europe and North America and, in particular, the German biomass package will secure growth for 2027 and subsequent years.

Heek, October 29, 2025 - 2G Energy AG (ISIN DE000A0HL8N9), one of the leading international manufacturers of sustainable power plants and combined heat and power (CHP) systems as well as a producer of heat pumps, experienced project delays in the third quarter that cannot be made up for in the fourth quarter – therefore leading to a decline in sales revenues for the year as a whole. In spite of this temporary setback, 2G Energy AG continues to chart a successful growth path. Compared to the previous year, revenue growth of up to 7% is expected. The main reasons for the adjusted forecast this year are, on the one hand, an extended hyper-care phase of the current ERP rollout. Secondly – and contrary to expectations – no relevant tenders for short-term CHP deliveries for the Ukrainian market were awarded in the second half of 2025.

Sales revenue forecast lowered to EUR 380 to 400 million (previously EUR 430 to 440 million).

With regard to CHP plant deliveries and final invoices in the second half of the year, the Management Board had previously assumed that, as in the previous year, major customers would place a sufficient number of orders for short-term deliveries to Ukraine in the second half of the year. As the Ukrainian market unexpectedly failed to pick up for the entire industry in the late summer of 2025, this expectation was not confirmed. The Management Board continues to assume that the current, larger tenders will be awarded, but that they will not lead to actual sales revenues until mid-2026 at the earliest.

The ongoing ERP changeover impacts the German locations and has now been transferred to regular operations there, so that further rationalization potential can be leveraged. The main exception to this positive starting position can be found in German service operations, where the new material planning and resource planning system has not yet been fully implemented. For this reason, the volume of deliveries and services decreased temporarily in the third quarter and October compared to the previous year.

CEO Pablo Hofelich explains: "The plan was to fill production evenly in the fourth quarter with large-volume, low-variant orders and thereby managing the ERP implementation and ambitious growth at the same time."

Although growth is expected to be moderate with a sales forecast of EUR 380 to 400 million, 2G is nevertheless lifting its sales for the 10th year in a row and continues to enjoy a gratifying high order backlog from established markets and customer segments, which will keep production well utilized.

A reduced EBIT margin of 6.5 to 8.0% (previously 8.5 to 9.5%) is expected due to weaker sales volume and one-off expenses in the ERP project.

The Management Board continues to focus the 2G strategy clearly on the growth ambition already communicated, namely annual growth of at least 10 percent plus inflation. To this end, the Group structure is being further developed, a new ERP system is being implemented, the heat pump division is being expanded, assembly capacities stepped up and a separate "Data Center" division is being established. Cautious M&A activities with a view to national and international service companies complete this action plan.

"In recent years, we have always been able to more than offset the increase in fixed costs required for our growth thanks to faster growth in sales and contribution margins," as CFO Friedrich Pehle stated. "We are convinced that we will continue to expand this trend in the coming years and secure it by modernizing the IT landscape and the associated efficiency gains in processes and workflows within the Group. In the current financial year, however, it is now becoming apparent that the expected growth of up to 7% will not be sufficient to maintain or further increase the previous EBIT margin."

The Management Board therefore expects to end the current financial year with an EBIT margin of 6.5 to 8.0%. 

Incoming orders outside Ukraine exceed the previous year's third quarter by 30% 

2G is continuing its growth course, particularly in Germany and Europe outside Ukraine. Many German biogas producers have abandoned their longstanding wait-and-see attitude after a very attractive subsidy program ("biomass package") was launched at the beginning of the year. A significant share of these orders were still subject to reservation, as EU state aid approval was still pending. This has now been granted belatedly in mid-September. Incoming orders in the German market in Q3 were 91% above the previous year’s level. This trend will continue to develop positively as a result of the tender results expected shortly.

The rest of Europe excluding Ukraine achieved year-on-year growth of 38%.

Overall, the North American market developed positively in 2025. As the markets in this region are dominated by an intensifying structural excess of demand, 2G continues to record very vibrant sales activities – despite the expiry of the Inflation Reduction Act in the USA on December 31, 2024 – which is an indication of sustained structural growth in this market. Unfortunately, the actual order intake booked in Q3 does not yet fully reflect this situation. The Management Board is convinced that, in addition to the stable original CHP business, the data center market and the newly established JV rental business will more than double sales in the USA over the medium term.

Outside of Ukraine, the distribution of incoming orders in the third quarter (EUR 57.1 million, previous year: 44.1 million euros, +30 %) as follows*:

* Rounding differences occur; Ukraine orders are not included in this presentation.

Outlook remains optimistic: Growth forecast for 2026 unchanged (sales EUR 440 to 490 million, EBIT margin 9.0 to 11.0%)

The Management Board is maintaining its sales revenue forecast of EUR 440 to 490 million for the upcoming year 2026. This level of sales revenues will make a significant contribution to increasing profitability in the form of the EBIT margin. The Management Board therefore continues to expect an EBIT margin of 9.0% to 11.0% for 2026. In addition to the initial positive effects from the biomass package and the planned gains in the heat pump area and the Demand Response product launch, the service volume will also expand significantly as planned.

Specific projects in the newly addressed data center market in Europe and North America and, in particular, the German biomass package set to secure growth for 2027 and subsequent years.

The Management Board is optimistic that it will be able to maintain and expand the growth trend for the years from 2027 onwards, for which no forecast has yet been prepared. This is because 2G stands to benefit significantly from the key macroeconomic energy trends in the G20 countries – in particular from the increasing grid congestion, the strong expansion of data centers with independent energy supply, the growing importance of large heat pumps, and the increasing demand for power generators powered by gas engines ("Gas2Power").

In Germany, the new federal government is also confirming the need to realize at least 20 GW in the form of new gas-fired power plants in the relatively short term. 

The Management Board considers the potential of the biomass package, which is now coming into force in Germany, to be particularly significant. This flexibilization program specifically provides for the construction of additional CHP units amounting to a total output of 2.8 GW by 2033, thereby increasing the current installed output of 6.6 GW by 42%. The Management Board expects the company to be able to participate in this capacity expansion to a considerable extent. 

2G company portrait
The 2G Energy AG Group is an internationally leading manufacturer and system provider of decentralized energy supply systems. The company develops, produces and installs comprehensive solutions in the structurally growing market for highly efficient CHPs, large heat pumps and peak-load gensets. Digital grid integration and plant control for these types of energy generators, as well as service and maintenance, are further decisive performance criteria.

The product portfolio comprises three types of energy generation: CHP plants in the output range from 20 kW to 4,500 kW for operation with hydrogen, natural gas, biogas and other lean gases, large heat pumps in the range from 100 kW to 2,6000 kW as well as peak-load gensets with an electrical output of 500 kW or more. CHP plants operate with efficiencies of 90 percent and more, while large heat pumps achieve efficiencies of 300 to 500 percent, depending on the general conditions. With its products and services, 2G is at the interface to a decentralized, secure and largely decarbonized energy supply. More than 9,000 2G systems have already been installed worldwide in various applications, supplying electrical and thermal energy to a wide range of customers from the housing industry, agriculture, commercial and industrial companies, energy suppliers, municipal utilities and local government authorities.

2G is positioned worldwide as a system provider for decentralized energy solutions with its combination of CHP plants, peak-load gensets and large heat pumps. The company benefits from far-reaching synergies of these plant categories, ranging from project development, procurement, production and the predominantly containerized design to the largely identical customer base and regulatory framework as well as sales channels and digital control and service.

2G is consistently expanding its technological leadership through continuous research and development work, both in power plant and pump technologies as well as in specific software development for service and maintenance activities. The digital grid integration consistently implemented by 2G is an indispensable, system-relevant element in the future electricity market design and represents a high market entry hurdle for competitors. The sector coupling required for the success of the energy transition is reflected in 2G's portfolio.

2G employs more than 900 employees at its headquarters in Heek, Germany, in North America, as well as at six other European locations. The company is active in more than 50 countries and generated net sales of EUR 375.6 million in the 2024 financial year with an EBIT margin of 8.9 %.

2G was founded in 1995. The shares of 2G Energy (ISIN DE000A0HL8N9) have been listed on the stock exchange market since 2007 and are included in the “Scale” segment of the Frankfurt Stock Exchange and listed in the Scale30 index.

Calendar 2025
November 24  Q3 key figures and business trends
November, 24-25  German Equity Forum, Frankfurt

IR contact
2G Energy AG
Benzstrasse 3, 48619 Heek
Phone: +49 (0) 2568 93 47-2795
Fax: +49 (0) 2568 93 47-15
Email: ir@2-g.de
Internet: www.2-g.com