Half-Year Review January-June 2026
President & CEO Jure Mikolčić’s comments
The market remained favourable, order intake increased, and the situation in the Middle East did not have a significant impact on demand.
The second quarter of 2026 was a good one for Fortaco. The market remained favourable, and net sales were up 16 per cent amounting to EUR 103.4 (89.1) million. Order intake also increased, and the situation in the Middle East did not have a significant impact on demand. At the end of the reporting period, our order book amounted to EUR 76.5 (76.1) million. Profitability improved substantially from the comparison period. Recurring EBITDA grew 51 per cent to EUR 7.1 (4.7) million, or 6.9 (5.3) per cent of net sales.
Work to improve profitability continues
The implementation of our profitability improvement program Fortaco 26 proceeded as planned during the second quarter. The program is gradually bringing results, and we have succeeded in maintaining our high quality and delivery reliability. Our systematic work to advance operational efficiency continues at all our factories, and the program will extend to 2027. The development of Gliwice operations continues, and we expect it to weigh on our results throughout 2026. Gliwice will operate as a standalone business site in Fortaco Group.
The divestment will provide Fortaco with the prerequisites to build a more focused international vehicle cabin company and to reinforce our cabin operations.
Supporting customers in the green transition
In the second quarter, Fortaco advanced its sustainability agenda through both strategic development and customer-facing innovation. We conducted the update of our Double Materiality Assessment (DMA), strengthening the foundation for reporting and future sustainability priorities. We also launched a blockchain-based GreenSteel Portal, enabling delivery of products with verified Guarantee of Origin certification.
Impacts of the Middle East conflict
Due to the conflict in the Middle East, visibility into our customers’ purchasing behaviour remains limited. We are closely monitoring possible indirect impacts on our customers’ end markets through diesel and fertilizer prices. Rising energy and logistics costs may increase our production and material costs. However, in the medium term, customers are likely to redirect their supply chains more towards Europe instead of China and other Asian countries.
New strategic direction
After the review period, on 15 July 2026, we announced a major strategic decision: Fortaco will focus on the vehicle cabin business and sell steel fabrication and assembly operations in Finland, Estonia and Poland to HANZA. The closing of the transaction, which is subject to customary closing conditions and approvals, is expected to take place in the fourth quarter of 2026. The divestment will provide Fortaco with the prerequisites to build a more focused international vehicle cabin company and to reinforce our cabin operations. The rapidly evolving market offers attractive growth opportunities in vehicle cabins globally, and we aim to grow both organically and through selected M&A.
Looking at the second quarter figures of Fortaco’s continuing operations, i.e. excluding the operations to be divested, and excluding the development costs of Gliwice, net sales grew 10 per cent year on year and totalled EUR 54.1 (49.4) million. Corresponding recurring EBITDA totalled EUR 2.1 (2.1) million.
First impressions as the President & CEO
I am stepping in as the President & CEO at a very interesting stage of Fortaco’s journey. During the first weeks I have visited our business sites and am impressed by the know-how and commitment of our people. My priority now is to meet with our customers, but equally important is to ensure a smooth transition for our employees moving to HANZA. Fortaco is committed to making sure that our customers keep receiving first-class service during the process.
