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Schlatter Slips to 2025 Loss as Tariffs and Currency Hits Bite Orders

Story Highlights
  • Schlatter’s 2025 sales and orders declined, swinging the group to a net loss as tariffs, currency headwinds and higher costs eroded earnings and order backlog.
  • With capital goods demand subdued and weaving capacity underutilized, Schlatter targets cost cuts, efficiency gains and innovation in 2026 to offset lower revenue and break even.
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Schlatter Slips to 2025 Loss as Tariffs and Currency Hits Bite Orders

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Schlatter Industries AG ( (CH:STRN) ) has issued an update.

Schlatter Industries AG reported a challenging 2025 financial year, with net sales falling to CHF 104.4 million and order intake dropping to CHF 91.7 million, as U.S. tariffs, an unfavorable currency environment and a higher cost base drove EBIT down to CHF 0.5 million and pushed the group to a net loss of CHF 1.4 million. While demand for industrial and reinforcement mesh systems remained solid, weakness in rail welding machines, weaving machinery and after-sales, combined with Swiss franc strength and foreign currency write-downs, reduced order backlog to CHF 48.8 million and prompted the board to scrap a dividend for 2025.

In the Welding segment, orders and revenues declined year-on-year despite above-average demand for industrial mesh systems, and in the Weaving segment muted investment in North America and Europe led to lower sales and a shrinking backlog, with growth relying mainly on Chinese orders and retrofit projects. Management warns that 2026 will remain subdued due to geopolitical uncertainty, currency headwinds and recession in key markets, and is focusing on efficiency gains, margin improvement, cost reductions and innovation to secure capacity utilization and to achieve at least a break-even result despite an anticipated revenue decline.

The most recent analyst rating on (CH:STRN) stock is a Sell with a CHF20.00 price target. To see the full list of analyst forecasts on Schlatter Industries AG stock, see the CH:STRN Stock Forecast page.

More about Schlatter Industries AG

Schlatter Industries AG, listed on the SIX Swiss Exchange, is a leading plant engineering specialist for resistance welding systems and for weaving and finishing equipment used in paper machine clothing, wire fabrics and wire mesh. Leveraging long-standing expertise, innovation and service, the Schlatter Group supplies high-performance, high-quality production equipment to industrial customers worldwide.

Average Trading Volume: 970

Technical Sentiment Signal: Sell

Current Market Cap: CHF22.09M

Learn more about STRN stock on TipRanks’ Stock Analysis page.

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