Agfa-Gevaert delivers robust Q1 2026 performance amid market challenges

Group performance:

• Revenue growth: top line up 1.7% excluding currency impact in a seasonally weaker quarter, driven by silver price uplifts in film and a step-up in Digital Printing Solutions
• Profitability increase: strong adjusted EBITDA of 12 million euro, mainly due to savings programs and the ability to pass on the silver price impact to customers
• Cash flow impact: negative free cash flow of -42 million euro in Q1, primarily due to a 33 million euro increase in working capital (41 million euro impact from silver price) and the transformation cash-out. Not taking into account the impact of the silver price, all businesses continued to show working capital improvement compared to Q1 2025

HealthCare IT: strong positioning for long-term growth as the market transitions to SaaS models

• Cloud transition: the shift to SaaS and cloud-based solutions continues to reshape order intake dynamics, as order intake varies strongly between quarters
• As some larger deals shifted to Q2, 12 months rolling order intake decreased by 10% to 167 million euro, versus 186 million euro in Q1 2025. The number of cloud-based orders continued to grow
• Recurring revenue increased by 5% excluding currency, now amounting to 67% of total Q1 revenue – Total top line decreased by 4.9% excluding currency to 51 million euro
• Adjusted EBITDA at 2.8 million euro

Industrial Solutions: step up in revenue and profitability in Digital Printing Solutions, Green Hydrogen Solutions impacted by unfavourable market conditions

• 3% top line growth excluding currency in Digital Printing Solutions – Green Hydrogen Solutions influenced by softer market conditions
• Driven by Digital Printing Solutions, adjusted EBITDA improved from -2.1 million euro in Q1 2025 to -0.3 million euro in Q1 2026

Imaging and Chemicals: stable top line, significant increase in adjusted EBITDA due to savings measures and silver related timing benefits

• Revenue up by 4.3% excluding currency: volume decrease counterbalanced by ability to pass on higher silver price to customers
• Significant increase in adjusted EBITDA to 12 million euro thanks to savings programs and silver related timing benefits

Agfa-Gevaert has released its results for the first quarter of 2026.

“The first quarter of 2026 underscores Agfa-Gevaert’s resilience and agility. While the high silver prices presented working capital challenges, our ability to pass these costs on to customers – combined with the acceleration of our savings programs – delivered a strong uplift in profitability. Digital Printing Solutions continued its upward trajectory, and HealthCare IT’s transition to cloud-based models is progressing as planned. We remain focused on executing our strategy to drive sustainable growth and operational efficiency,” says Pascal Juéry, President and CEO of the Agfa-Gevaert Group

Status restructuring plans and reorganisation

• At the end of Q1 2026, annualised savings of 57 million euro were realised.
• As from January 1, 2026, a new organisational structure is in place. Agfa now operates and reports through 3 business segments:
  • HealthCare IT: led by Nathalie McCaughley
  • Industrial Solutions: led by Vincent Wille – includes the following businesses:
    • Digital Printing Solutions – Led by Vincent Wille
    • Green Hydrogen Solutions – Led by Jorge Tomás
  • Imaging and Chemicals: led by Pascal Juéry – includes the following businesses:
    • Film and Chemicals (Consisting of Medical Film, Specialty Film and Chemicals, Computed Radiography and CONOPS) – Led by Gwendolien Fonck
    • Digital Radiology Solutions – Led by François Verdeaux

Agfa-Gaevert Group

• Excluding currency, Agfa’s top line increased by 1.7%. As expected, HealthCare IT’s successful transition to cloud-enabled Enterprise Imaging has a temporary effect on the segment’s top and bottom line. Within the Industrial Solutions segment, the Digital Printing Solutions business posted a higher top line. As expected, Green Hydrogen Solutions saw the effects of the market slowdown. In the Imaging and Chemicals segment, volume reductions for film products and Computed Radiography were overcompensated by silver-driven price increases. Digital Radiology Solutions recorded a revenue increase (excluding currency), against a market returning to growth.
• The Group’s gross profit margin increased from 30.7% of revenue in Q1 2025 to 32.3% in Q1 2026, mainly due to the savings programs and the ability to pass on the silver price impact to customers.
• Due to very strict cost control, operating expenses decreased significantly from 81 million euro in Q1 2025 to 73 million euro.
• As the effects of the savings measures and the positive impact of silver-related benefits were partly counterbalanced by volume reductions in film, the market softness for Green Hydrogen Solutions and the impact of the cloud transition in HealthCare IT, the Group’s adjusted EBITDA improved from 2 million euro in Q1 2025 to 12 million euro.
• Adjustments and restructuring expenses resulted in a cost of 6 million euro (2 million euro in Q1 2025). Restructuring expenses are mainly related to the transformation of the company.
• Net finance costs amounted to minus 7 million euro, versus 6 million euro in Q1 2025.
• Income tax expenses resulted in an income of 3 million euro in Q1 2026, versus a cost of 6 million euro in Q1 2025.
• The Agfa-Gevaert Group posted a net result of minus 12 million euro, versus minus 20 million euro in Q1 2025.

Financial position and cash flow

• Working capital improved from 31.6% of revenue in Q1 2025 (358 million euro in absolute numbers) to 29.6% of revenue in Q1 2026 (319 million euro in absolute numbers), in spite of the 41 million euro negative impact of the high silver price. All businesses significantly improved their working capital position. In absolute numbers, working capital increased from 285 million euro in Q4 2025 to 319 million euro in Q1 2026, driven by the high silver price and the usual seasonal inventory build-up in Q1.
• The Group booked a negative free cash flow of 42 million euro in Q1 2026, mainly due to the silver-driven increase in working capital, the substantial cash outflows related to the transformation and the pension cash-out.
• Net financial debt (excluding IFRS 16) evolved from 21 million euro in Q4 2025 to 58 million euro. Net pension debt evolved from 343 million euro at the end of 2025 to 337 million euro. The total debt amounted to 449 million euro.
• At the end of Q1 2026, 129 million euro was drawn out of the 180 million euro revolving credit facility. The following financial covenants are imposed as part of the revolving credit facility:
  • Applicable testing for Q1: liquidity headroom covenant amounted to 120.8 million euro at the end of Q1 (minimum 30 million euro).
  • Ratios for reference only – no testing required for Q1 2026, will be applicable for testing at half year and at year end: At the end of Q1, the leverage ratio covenant (net debt/adjusted EBITDA) was 1.1 (maximum 3.0 at half year and 2.75 at year end). The interest coverage ratio covenant (adjusted EBITDA/interest expense) was at 12.5 (minimum 5). The adjusted EBITDA covenant (adjusted EBITDA excluding IFRS 16 over the period of the last 12 months – see APM definitions) was 51.6 million euro at the end of Q1 2026 (minimum 30 million euro).

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