LEM Reports Resilient Q1 2025/26 Sales Amid Currency Challenges

LEM Holding SA reported a 6.5% dip in sales to CHF 75.7 million for Q1 2025/26, primarily attributed to the depreciation of the Chinese yuan. At constant exchange rates, sales slightly declined by 0.1%. The Automotive and Track sectors demonstrated growth of 9.0% and 10.6% respectively, though overall sales saw a slight sequential decline of 0.4%, mitigated by a 3.3% uplift at constant rates.

Bookings were strong at CHF 89.1 million, marking a 19.0% increase from the previous year, with notable boosts in EMEA and China. Despite healthy bookings, LEM faces a reduced gross margin and a 44.4% EBIT drop to CHF 4.2 million, influenced by price pressures and the Swiss franc's strength. The “Fit for Growth” program has begun to positively impact SG&A expenses, reducing them by 12.8%.

LEM remains cautious about future development due to US tariff policy uncertainties and currency fluctuations.