Wartsila Stock Earnings Reports

Wärtsilä reported a solid Q3 2025 with improving profitability and very strong cash generation. Group order intake was ~EUR 1.8bn (stable year-on-year; +6% organic), a robust order book of EUR 8.6bn and book-to-bill above 1 for the 18th consecutive quarter. Comparable operating result rose ~10% (now ~11.9% of sales) and reported operating profit was EUR 230m (14.1% of sales). Marine showed continued strength (order intake +8%; net sales +18%) and Energy order intake grew strongly (+29%) although Energy net sales were down due to timing (deliveries skewed to Q4). The battery / energy storage business faced a material near-term demand gap (Q3 equipment order intake “basically 0”, down ~79% y/y) but management expects orders to pick up in Q4 and highlighted pockets of demand outside the U.S. (e.g., Australia). Services remain a key, high-quality growth area with accelerating service agreements (≈33–34% fleet coverage, >90% renewal rate). Cash flow was exceptional (EUR 340m in Q3, nearly EUR 1bn YTD), net interest-bearing cash ~EUR 1.4bn and ROCE >50%. Management reiterated progress on portfolio simplification (ANCS divestment completed) and maintained a cautious outlook given geopolitical and tariff-related uncertainties while expecting near-term improvement in storage orders and Energy deliveries concentrated into Q4.