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Earnings call · Jun 2026 (Q2 FY26)

MATERIALISE NV Q2 FY26 earnings call MTLS

Aug 27, 2026 Source

Executive summary

Materialise Q2 FY26 — Strong Profitability Expansion and Strategic Portfolio Sharpening

Materialise delivered a robust second quarter, marked by significant profitability expansion and strategic portfolio adjustments. The company saw strong growth in its Medical segment and improved operating performance in Manufacturing, while the Software segment faced headwinds from cautious customer spending. Management raised its full-year adjusted EBIT guidance, reflecting confidence in execution and cost discipline, as it continues to focus on core growth segments and digital transformation.

Highlights

5

  • Consolidated revenue grew by over 8% year-on-year to EUR 70.1 million.

  • Adjusted EBIT reached EUR 3.9 million, expanding margin to 5.5%, reflecting stronger operating leverage.

  • Medical segment revenue grew by over 12% year-on-year, reinforcing its position as the primary growth engine.

  • Net cash position increased to EUR 74.2 million, up EUR 3.4 million compared to the start of the year, driven by strong operating cash flow.

  • Full-year adjusted EBIT guidance raised to EUR 12 million to EUR 14 million from EUR 10 million to EUR 12 million.

Concerns

3

  • Software segment revenue declined by 3% year-on-year due to cautious customer spending and extended sales cycles in the industrial environment.

  • Medical Software segment revenue was down 4%, partly due to reduced research grants in the U.S. academic segment and cautiousness from customers due to reimbursement changes.

  • Manufacturing segment continued to experience weakness in prototyping demand in Q2.

Guidance & targets

CategoryTargetConfidence
Full-year 2026 Revenue
EUR 273 million to EUR 283 million
high materiality
High
Full-year 2026 Adjusted EBIT
EUR 12 million to EUR 14 million
high materiality
High

Segment performance

SegmentRevenueYoYQoQMargin
Medical
Primary growth engine, driven by medical devices across partner and direct sales channels, partly offset by decline in medical software. H1 revenue EUR 70 million, H1 Adjusted EBITDA EUR 20.8 million.
Medical devices growth: 19%Medical Software growth: -4%
EUR 37.2 million>12%—31% Adjusted EBITDA margin
Manufacturing
Return to growth despite RapidFit divestment impact, reflecting traction in aerospace and defense. Still partly offset by weakness in prototyping demand. H1 revenue EUR 47.1 million, H1 Adjusted EBITDA breakeven. Prior year Q2 Adjusted EBITDA was -EUR 4.8 million.
EUR 23.6 millionnearly 7%—-EUR 0.3 million Adjusted EBITDA
Software
Declined due to cautious customer spending and extended sales cycles. Approaching final stages of transition from perpetual licenses to recurring subscription model. H1 revenue EUR 19.2 million, H1 Adjusted EBITDA EUR 2.1 million, H1 Adjusted EBITDA margin 10.9%.
Recurring revenue: 86% of software revenue
EUR 9.6 million-3%—EUR 1 million Adjusted EBITDA

Product announcements

ProductTypeDetails
CO-AM Prolaunch
CO-AM NPI and CO-AM Enterpriseroadmap

Deals & partnerships

Replasia Investment in a Belgian medtech start-up developing personalized 3D-printed solutions and anatomical analysis software for hip preservation.

Aims for more personalized, less invasive orthopedic treatments. Preservation will play an important role as the market shifts towards less invasive approaches.

management team Transfer of RapidFit business to its management team.

Completed on April 30. Business continues independently under existing leadership.

management team Transfer of Eyewear business.

Announced at end of Q1, successfully closed on July 1. Recorded as asset held for sale in Q2 financials with EUR 0.7 million asset impairment.

Lufthansa Technik Project involving redesigning an aircraft cabin component for additive manufacturing and producing it as a certified stand-alone component.

Component could not be sourced individually before, requiring entire assembly replacement. Important proof point of trust in certified aerospace production.

Belgian Cyber Force and Royal Hire Institute for Defense Research consortium with Sirius and Income Strike IP, led by Materialise, focusing on secure and reliable digital manufacturing of spare parts.

Ensuring digital sales remain perfected throughout the production process. Identify3D and CO-AM technology will be instrumental.

Risks & headwinds

Cautious customer spending and extended sales cycles in industrial environments impacting Software segment revenue. Q2 FY26

Software revenue declined by 3% year-on-year.

Mitigation:Ongoing investments in new product functionality (CO-AM Pro, NPI, Enterprise) to drive future growth.

Reduced research grants in the U.S. academic segment and cautiousness from customers due to reimbursement changes impacting Medical Software sales. Q2 FY26

Medical Software segment revenue down 4%.

Mitigation:Continued R&D investments to support future growth opportunities in Medical segment.

Continued weakness in prototyping demand. Q2 FY26

Partly offset growth in series manufacturing.

Mitigation:Strategic repositioning towards higher-value series manufacturing in the Manufacturing segment.

What to watch in Q3 FY26

Medical segment revenue growth

Next quarter (Q3 FY26) and beyond
Current 12% YoY in Q2 FY26
Target Sustained low double-digit growth

Why it matters

Medical is the primary growth engine, and its sustained double-digit growth is key to overall company performance.

I have previously always said that the structural growth rate for Medical is double digit, but low due digit. So reasonably, a sustainable growth number that I would expect for Medical is around which is essentially what you see for the first half of this year. And that is absolutely sustainable.

Q&A highlights

What caused the reacceleration of Medical growth to 12% in Q2 after a softer Q1, and is this double-digit growth sustainable? Also, why is medical software down 5% while devices and services are up 19%? Is it due to customers outsourcing design services?

Brigitte de Vet-Veithen stated that the sustainable structural growth rate for Medical is low double-digits, which is achievable. The Q2 acceleration was due to timing impacts. The divergence between software and devices/services is due to reduced research grants in the U.S. academic segment (which uses software) and cautiousness from customers in certain anatomical areas due to reimbursement changes, affecting software sales more.

“I have previously always said that the structural growth rate for Medical is double digit, but low due digit. So reasonably, a sustainable growth number that I would expect for Medical is around which is essentially what you see for the first half of this year. And that is absolutely sustainable.”

asked by Alexander Craeymeersch · answered by Brigitte de Vet-Veithen

2 min read 5 chapters

Detailed narrative

Executive Committee Changes

Materialise announced key leadership changes effective early September, including Annelies Mortier as Chief Human Resource Officer and Philip Feline in the newly created role of Chief Digital and Information Officer. A leadership change in the Medical segment was also announced, with Kopits leaving the company. These changes aim to strengthen leadership, strategy execution, and digital capabilities across the organization.

30th Anniversary in the U.S.

The second quarter marked Materialise's 30th anniversary in the United States, a market central to its growth strategy. The company highlighted strategic acquisitions like Octave, Link3D, and Identify3D, which have been instrumental in its global success and leadership position in the additive manufacturing space.

Medical Segment Trends and Investment

Materialise observed a clear shift in the medical field from questioning the value of personalized 3D solutions to scaling them in clinical practice, evidenced by the rise of in-house hospital 3D labs. The company positions itself as a long-term partner in this trend. Additionally, Materialise announced an investment in Replasia, a Belgian medtech start-up focusing on personalized 3D-printed solutions for hip preservation, strengthening its position in less invasive orthopedic treatments.

Strategic Divestments

Materialise completed the transfer of its RapidFit business on April 30 and its Eyewear business on July 1. These divestments are intended to sharpen the portfolio, concentrate capital, and focus resources on business lines with the strongest long-term scaling potential. Materialise retains a 20% minority stake in the Eyewear business, reflecting continued confidence.

Aerospace and Defense Momentum

The Manufacturing segment saw strong growth in aerospace, with 40% revenue growth, and continued momentum in defense. The company highlighted a project with Lufthansa Technik for certified aerospace production and a research consortium with the Belgian Cyber Force for secure digital manufacturing of spare parts using Identify3D and CO-AM technology, aiming to build trust in additive manufacturing for mission-critical environments.

AI-generated summary of the company's earnings call. Not investment advice.