€1.2 million loss

Steyr-Based Engine Manufacturer Slips into the Red

Steyr Motors primarily manufactures powertrains for the defense industry.(Bild: Fotostudio Eder)

The Upper Austrian engine manufacturer Steyr Motors slipped into the red in the first half of this year. Net income turned from a profit of 2.4 million euros in the same period last year to a loss of 1.2 million euros.

Revenue declined slightly from 23.1 to 22.8 million euros. The forecast for 2026 was scaled back, and the targets for 2027 were scrapped. The publicly traded company had already cited delays in international defense projects as the reason for this move on Monday. Specifically, management now expects consolidated revenue for the full year 2026 to range from 56 million to 61 million euros, which corresponds to revenue growth of 15 to 25 percent compared to 2025. Previously, the company had targeted 75 million to 95 million euros.

310 million euros in order backlog
Steyr Motors develops and manufactures propulsion systems primarily for the defense sector, such as for military vehicles and boats. Operationally, the publicly traded company saw a massive slowdown in the first half of this year compared to the same period last year. A loss before interest, taxes, and depreciation (EBITDA) of 275,000 was recorded, following a profit of 3.9 million euros in the same period last year. The loss before interest and taxes (EBIT) amounted to 1.1 million euros (compared to a profit of 3.4 million euros in the same period last year). “Adjusted EBIT amounted to 0.1 million euros, with an EBIT margin of 0.4 percent,” the company stated briefly in a press release. The order backlog totaled 310 million euros and continued to grow.

Targets Unattainable
The original profit targets will also be missed: The expected EBIT margin is falling from at least 15 percent previously to between eight and twelve percent now. Delays in public procurement, approval, and acceptance processes for international projects are cited as the main reason for the revision. 

The previous medium-term forecast for the coming year—which projected revenue of around 140 million euros and an operating profit of 40 million euros—is also no longer achievable and is being withdrawn.