1 January – 30 June 2025
Company Announcement no. 23
Interim Report
H1 2025
Contents
Management review
Highlights and guidance
Updated segment reporting 4
Highlights Q2 2025 5
Financial performance highlights Q2 2025 6
Sustainability performance highlights Q2 2025 7
Key figures 9
2025 Financial outlook 10
Performance
Service financial performance 12
Products financial performance 14
PC&V financial performance 16
Discontinued operations 18
Consolidated quarterly financial performance 19
Consolidated financial performance H1 2025 23
Consolidated Condensed
Financial statements
Income statement 26
Statement of comprehensive income 26
Cash flow statement 27
Balance sheet 28
Equity statement 29
Notes
1. Key accounting estimates and judgements 31
2. Income statement by function 31
3. Segment information 32
4. Revenue 33
5. Provisions 34
6. Contractual Commitments and contingent
liabilities 34
7. Net working capital 35
8. Business Acquisitions 35
9. Disposal of activities 35
10. Discontinued activities 36
11. Assets & liabilities held for sale 36
12. Shareholders’ equity 37
13. Events after the balance sheet date 37
14. Accounting policies 37
Statement by Management 39
Forward looking statements 40
Updated segment reporting
Segments
As a result of the signed agreements to divest
FLSmidth Cement, including the Air Pollution
Control business, the business has, as of Q2 2025,
been classified as discontinued activities and
assets held for sale. Consenquently, FLSmidth
has, as of Q2 2025, changed its segment reporting
to reflect that FLSmidth going forward will be a
pure-play supplier of technology and services to
the mining industry.
As such, FLSmidth will, as of Q2 2025, report on
the following three continuing segments: Service,
Products, and Pumps, Cyclones & Valves (PC&V).
On average, the PC&V segment is expected to
comprise approximately 25% equipment-related
orders and 75% aftermarket-related orders.
The new segments have been defined based on
our go-to-market strategy and are consistent with
the Group’s internal management and reporting
structure going forward.
Comparative figures have been restated according
to the new segment reporting. The performance of
the segments is monitored at the level of operating
profit before amortisation (EBITA). Segmental
assets and liabilities and related disclosures are
not provided to management on a regular basis,
and, accordingly, assets and liabilities for individual
segments are not presented.
Reporting - Income statement
for 2025 including comparative
figures and balance sheet
Following the announcements of the divestment
of FLSmidth Cement, the financial performance
related thereto is reported as discontinued activi-
ties in the H1 2025 report.
Comparative figures related to the Income State-
ment have been restated to reflect the continuing
business. Consolidated comparative figures
include the impact from the Non-Core Activities
segment, which was reported as part of the
continuing business throughout 2024.
In addition to the above, and as previously
communicated, Q2 2024 and H1 2024 information
have been restated to reflect a reclassification of
DKK 28m and DKK 55m, respectively, from Admin-
istration costs to Production costs.
Assets and liabilities related to activities held for
sale are presented as separate line items from
the date of such classification as held for sale (30
June 2025). Comparative balance sheet figures
are not restated.
Key figures on page five in
the H1 report 2025
Throughout the report, we present financial meas-
ures that are not defined according to IFRS. We
refer to note 7.4, Alternative performance measures,
and note 7.8, Definition of terms, in the 2024 Annual
Report for further information. Further, due to the
introduction of Asset and Liabilities classified as
held for sale together with the separation of contin-
uing and discontinued activities, there have been
impacts on the calculation of these in the quarter
and half-year periods.
Income statement and earnings ratios
The figures and ratios in both sections are based on
continuing activities unless otherwise specifically
stated in the text for each line item.
Cash flow
In the consolidated cash flow statement, cash flow
from discontinued activities is included in the cash
flow from operating, investing, and financing activ-
ities, combined with the cash flow from continuing
activities.
Balance sheet
All line items in this section are Consolidated Group
figures, with the exception of Net Working Capital,
which reflects the continuing business only as of
end Q2 2025. Comparatives are not restated.
Financial ratios
For financial ratios where the numerator or denom-
inator is derived from the income statement, as
well as the capital employed ratio, figures relating
to continuing operations only are used in both the
current and comparative reporting periods.
Specifically financial ratios that include equity
are based on P&L and balance sheet figures
comprising both continuing and discontinued
operations.
Share ratios
Share ratios are based on Consolidated Group
figures, including both continuing and discon-
tinued activities.
Sustainability performance figures
Sustainability performance figures are based on
Consolidated Group figures, including both contin-
uing and discontinued activities.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 4
Solid traction in PC&V segment
with 13% organic growth in
order intake in Q2 2025
FLSmidth selected to deliver
full flotation technology
package to India iron ore mine
Acquisition of South African
manufacturing facility to
strengthen regional service
offering
Solid progression on
simplification initiatives with
SG&A costs down by ~16%
versus Q2 2024
Further improvements in
underlying profitability with
Adj. EBITA margin of 15.2%
Solid cash flow generation and
launch of first share buy-back
programme since 2012
Market and
commercial
highlights
Divestment of corporate
headquarters for a total cash
consideration of DKK 730m
Agreement signed with Pacific
Capital Avenue Partners for
the divestment of FLSmidth
Cement
Financial guidance updated on
14 August 2025
Strategic
and corporate
highlights
Financial
highlights
Highlights Q2 2025
In the second quarter of 2025, we maintained disciplined execution of our
strategic priorities despite persistent macroeconomic and geopolitical
uncertainty. Profitability continued to strengthen, with an Adjusted EBITA margin of
15.2%, highlighting the continued positive trajectory of our financial performance.
Orders increased by 3% year-on-year (organic growth of 9%), driven especially by a
higher level of Products orders. In addition, the Pumps, Cyclones & Valves (PC&V) busi-
ness continues to benefit from our targeted sales force investments, delivering 13%
organic growth in order intake in the quarter. We still see significant untapped potential
for the PC&V business and continue to pursue opportunities to capture further growth.
Service order intake declined organically by 1% and was weighed by delays to larger
modernisation projects in North America as a result of the uncertainties stemming from
US tariff decisions. While these projects remain in the pipeline, the situation highlights
the need to further strengthen the Service business’s resilience to market uncertainty.
We remain steadfast in our ambitions for the Service business and expect positive
effects from our targeted initiatives in the coming quarters.
In Q2 2025, we delivered three major strategic milestones: the agreement to sell our
corporate headquarters for DKK 730 million, strengthening our financial position; the
divestment of FLSmidth Cement, advancing our transition to a pure-play mining tech-
nology and service provider; and the launch of the company’s first share buy-back
programme since 2012, reflecting our commitment to deliver attractive shareholder
returns.
Combined with an upgraded earnings guidance our achievements in Q2 2025 demon-
strate that we are delivering on our strategy and that we are and building a stronger,
more focused FLSmidth, while remaining resilient in a complex global environment.
Mikko Keto, Group CEO
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 5
26%
36%
14%
24%
29%
17%
20%
34%
32%
23%
26%
19%
Financial performance highlights Q2 2025
Revenue per region %
NAMER
SAMER
EMEA
APAC
Revenue per region %
NAMER
SAMER
EMEA
APAC
Revenue per region %
NAMER
SAMER
EMEA
APAC
Note: All 2024 figures have been restated to reflect the continuing business. Continuing Business 2024 figures include Non-Core Activities.
Q2 2025 Q2 2025
Q2 2024 Q2 2024
H1 2025
Q2 2025
H1 2024
Q2 2024
Q2 2025
Q2 2024
2,068
2,236
Q2 2025 Q2 2025
Q2 2024 Q2 2024
H1 2025
Q2 2025
H1 2024
Q2 2024
Q2 2025
Q2 2024
Order intake DKKm
▲ 44.3%
681
Order intake
DKKm
▲ 7. 4 %
768
Order intake DKKm
▲ 2.5%
3,517
Order intake DKKm
▲
-7. 5%
2,068
Revenue DKKm
▲
-42.8%
607
Revenue DKKm
▲ 16.8%
708
Revenue DKKm
▲
-11.7%
3,378
Revenue DKKm
▲
-2.5%
2,063
Products PC&V Continuing BusinessService
EBITA & EBITA margin DKKm – %
▲ 51.5%
(49)
-8.1% (Adj. -9.7%)
EBITA & EBITA margin DKKm – %
▲ 19.4%
160
22.6% (Adj. 23.7%)
EBITA & EBITA margin DKKm – %
▲ 55.5%
522
15.5% (Adj. 15.2%)
EBITA & EBITA margin DKKm – %
▲ 2.0%
411
19.9% (Adj. 19.6%)
Cash flow from operating activities
DKKm 385 ▲ from DKKm 371 in Q2 2024
Earnings per share
DKK 4.5 ▲ from DKK 1.2 in Q2 2024
Net working capital ratio
12.0% ▲ from 9.4% end of Q2 2024
NIBD/EBITDA
0.6x
▲
from 0.7x end of Q2 2024
2,063
2,116
411
403
681 768
472 715
607 708
1,062 605
7, 2 9 4
3,517
7,6 3 6
3,430
7,086
3,378
7,458
3,827
(49) 160
(103) 134
1,030
522
643
335
Q2 2025
Q2 2024
Q2 2025
Q2 2024
Q2 2025
Q2 2024
H1 2025
Q2 2025
H1 2024
Q2 2024
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 6
H1 2025
2024
H1 2025
2024
H1 2025
H1 2024
H1 2025
H1 2024
H1 2025
2024
H1 2025
2024
Sustainability performance highlights Q2 2025
Safety Water withdrawalWomen managers
*
Scope 1 & 2 Greenhouse
gas emissions
Spend with suppliers with
science-based targets
Scope 3 Economic intensity
(use of sold products)
Rate of recordable work-related
accidents/million working hours
2.2 (target <1.0)
▲ 0.1 improvement
m
3
61,478 (target 183,101)
▲ 14.4% improvement
%
16.1 (target >19.5%)
▲ 0.4%-points improvement
tCO
2
e (market-based)
13,247 (target <32,871)
▲ 21.2% improvement
%
24.5 (target >30%)
▲ 2.0%-points improvement
tCO
2
e/DKKm order intake
2,613 (target <4,065 by 2030)
▲ 12.5% improvement
* Women managers KPI now reflects a 12-month rolling average. 2024 figure has been restated to reflect the new methodology
In Q2 2025, we progressed positively
in all our sustainability KPIs for the
combined continued business and
discontinued business. We continue
to focus on safety performance, and
while we remain behind our full-year
target, we begin to see progression
in our safety performance.
2.2
2.3
16.1%
15.7%
61,478
71,828
13,247
16,817
2,613
2,985
24.5%
22.5%
Continuing business only
H1
2025
H1
2024 2024
Scope 1 & 2 greenhouse
gas emissions market-
based
11,970 14,335 28,076
Scope 3: Economic inten-
sity Use of sold products
2,741 2,903 2,350
Spend with suppliers with
science-based targets
25.0% 19,.7% 23.0%
Safety 2.2 2.3 2.6
Women managers 15.9% 16.1% 15.7%
Water withdrawal 55,968 64,618 140,268
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 7
Sustainability performance highlights Q2 2025
Mission Zero and Sustainability developments at FLSmidth
FLSmidth earns silver medal from
EcoVadis for sustainability performance
EcoVadis, a global leader in business sustainability
assessments awarded FLSmidth a score of 72
out of 100, placing the company in the top 15%
globally. The EcoVadis assessment evaluates 21
sustainability criteria across four core themes:
Environment, Labor & Human Rights, Ethics and
Sustainable Procurement. More than 130,000
companies globally have been rated by EcoVadis.
EcoVadis rating validates our commitment to
improve the sustainability of our own opera-
tions as well as our customers and suppliers
by designing innovative solutions that balance
efficiency, safety, risk management, and environ-
mental responsibility.
Move to new corporate headquarters
In early 2026, FLSmidth will relocate its corporate
headquarters to Havneholmen, Copenhagen. This
move highlights our continued commitment to
sustainability towards our own carbon footprint,
as the new office building - CPH Pulse - is the first
office building in Copenhagen to be pre-certified
for DGNB Platinum, which is the highest sustaina-
bility certification in the DGNB system.
Scope 1 and 2 GHG emissions for the second
quarter of 2025 decreased by 21.2% compared
to Q2 2024. The improvement reflects both site
consolidation activities as well as initiatives
implemented in the second half of 2024. This
includes two solar panel projects where the posi-
tive impact to emission reduction is now being
fully realized for the full year. Further, during the
second quarter our sites in Chile began purchasing
renewable energy contracts, reducing their scope
2 market-based emissions to zero.
Scope 3 Economic Intensity (use of sold
products) reflects the life-time emissions of our
product sales and performance is sensitive to
order mix. At the end of the second quarter of
2025, Economic Intensity remains below the end
of 2024 with a 12.5% improvement. During Q2 we
saw an increase in sales of high economic inten-
sity Mining products; however, this was offset by
lower product sales in Cement compared to the
previous year.
Spend with suppliers with science-based targets
increased by 2.0%-points compared to the end of
2024. Spend during the quarter was supported
by an increasing spend with suppliers with set
targets to the Science Based Targets initiative.
Safety, Total recordable injury rate decreased
by 0.4%-points compared to the end of 2024.
We continue to promote safety initiatives to
create focus and reduce risks. We completed our
Global Hand Safety Campaign in Q1 and, in June,
FLSmidth completed a worldwide stand-down
day for safety reflection. Stand downs were
conducted at all FLSmidth locations globally, with
executive management participation.
Year to date, eight internal HSE audits were
completed at manufacturing and service sites
to measure compliance with corporate safety
and environmental standards. Internal audits
provide opportunities to mitigate safety risks and
improve the working environment. In addition, the
company continues to conduct lessons learned
from all recordable accidents and significant near
misses via the Executive Incident Review Boards
implemented in Q1 2025.
Percentage of Women Managers increased
0.4%- points since the end of 2024 and reflects
our commitments to increasing the proportion of
women managers in the organization. The positive
performance highlights an ongoing positive trend
to work towards our year-end target.
Water withdrawal decreased by 14.4% compared
to Q2 2024. Similar to our GHG emissions reduc-
tions, performance has been supported by site
consolidation. Further, development of data
tracking BI dashboards made available to local site
managers have enabled sites to more effectively
drive performance in their water management.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 8
Key figures*
DKKm Q2 2025 Q2 2024 H1 2025 H1 2024 2024
Income statement
Revenue 3,378 3,827 7,0 8 6 7,458 15,740
Gross profit
1
1,199 1,199 2,503 2,311 5,006
EBITDA 581 397 1,148 770 1,890
EB ITA 522 335 1,030 643 1,636
Adjusted EBITA** 513 394 1,054 743 1,780
EBIT 469 282 925 538 1,434
Financial items, net (74) (167) (61) (117) (218)
EBT 395 115 864 421 1,216
Profit for the period, continuing activities 260 76 570 277 801
Profit/(loss) for the period, discontinued activities (715) 111 (674) 104 229
Profit/(loss) for the period (455) 187 (104) 381 1,030
Orders
Order intake, continued activities 3,517 3,430 7, 2 9 4 7,6 3 6 15,333
Order backlog, continued activities 10,650 12,287 11,358
Earning ratios
Gross margin
1
35.5% 31.3% 35.3% 31.0% 31.8%
EBITDA margin 17. 2 % 10.4% 16.2% 10.3% 12.0%
EBITA margin 15.5% 8.8% 14.5% 8.6% 10.4%
Adjusted EBITA margin ** 15.2% 10.3% 14.9% 10.0% 11.3%
EBIT margin 13.9% 7. 4 % 13.1% 7. 2 % 9.1%
EBT margin 11.7% 3.0% 12.2% 5.6% 7.7 %
Cash flow
Cash flow from operating activities (CFFO) 527 14 515 (338) 640
Acquisitions of property, plant and equipment (145) (80) (233) (138) (384)
Cash flow from investing activities (CFFI) (218) (103) (328) (57) (508)
Free cash flow 309 (89) 187 (395) 132
Free cash flow adjusted for acquisitions and
disposals of enterprises and activities 332 (89) 212 (543) 7
Balance sheet
Net working capital 1,841 2,021 2,107
Net interest-bearing debt (NIBD) (1,286) (1,227) (847)
Total as sets 24,389 28,086 26,935
CAPEX 328 293 831
Equity 10,287 11,112 11,781
Dividend to shareholders, paid 457 227 457 227 227
1
As previously reported, Q2 2024 and H1 2024 information has been restated to reflect a reclassification of DKK 28m and DKK 55m from
Administration costs to Production costs, respectively.
DKKm Q2 2025 Q2 2024 H1 2025 H1 2024 2024
Financial ratios
Book-to-bill 104.1% 89.6% 102.9% 102.4% 97.4%
Order backlog / Revenue 69.3% 64.2% 72.2%
Return on equity 4.9% 6.1% 9.1%
Equity ratio 42.2% 39.6% 43.7%
ROCE, average 11.4% 8.3% 9.2%
Net working capital ratio, end 12.0% 9.4% 10.4%
NIBD / EBITDA 0.6x 0.7x 0.4x
Capital employed, average 17, 7 0 9 18,211 1 7, 8 67
Number of employees 7, 5 1 3 8,225 7,7 3 9
Share ratios
Cash flow per share, diluted 9.2 0.2 9.0 (5.9) 11.2
Earnings per share (EPS), diluted (8.0) 3.2 (2.0) 6.6 17. 8
Share price 387 346 356
Number of shares (1,000), end 5 7, 6 5 0 5 7, 6 50 5 7,6 5 0
Market capitalisation, end 22,311 19,958 20,523
Sustainability key figures
Scope 1 and 2 greenhouse gas emissions (tCO
2
e)
market-based 13,247 16,817 30,638
Scope 3: Economic intensity Use of sold products
(tCO
2
e/DKKm order intake) 2,613 3,050 2,985
Spend with suppliers with science-based targets 24.5% 19.2% 22.5%
Safety, Rate of recordable work-related
accidents/million working hours 2.2 2.5 2.3
Women managers 16.1% 15.9% 15.7%
Water withdrawal (m
3
) 61,478 71,828 156,022
Other key figures
Quality, DIFOT Delivery In Full On Time 83.6 84.1 82.7%
Throughout the report, we present financial measures which are not defined according to IFRS. We refer to note 7.4, Alternative performance
measures, and note 7.8, Definition of terms, in the 2024 Annual Report for further information.
The financial ratios have been computed in accordance with the guidelines of the Danish Finance Society. Refer to note 7.8 in the 2024 Annual
Report for definitions of terms.
* Please refer to page 4 in this report for an overview of which figures have been restated according to the new segmentation and the
classification of FLSmidth Cement as discontinued activities and assets held for sale. 2024 continuing business figures include Non-Core
Activities.
** To illustrate the underlying business performance, we present an Adjusted EBITA margin which excludes costs related to our ongoing
transformation activities and the separation of the Mining and Cement businesses as well as items reported as other operating net
income. Comparative figures have been restated.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 9
2025 Financial outlook
Our CORE’26 strategy was launched in January
2023, initiating a comprehensive transformation
of our business with the aim of delivering signifi-
cant improvements to our commercial and finan-
cial performance. In 2024, we made meaningful
strides on this strategy, providing a solid base for
further improvements in 2025.
The financial guidance for 2025 was updated on
14 August 2025 (ref. Company Announcement
no. 22-2025). FLSmidth now expects revenue of
DKK 14.5-15.0bn (previously DKK ~15.0bn). The
downward adjustment from previous guidance
is partly attributable to the expectation of lower
revenue from the order backlog due to custom-
er-driven delays affecting the execution of certain
Products orders. Further, the updated revenue
guidance reflects adverse foreign exchange rate
movements.
In addition, FLSmidth now expects an Adjusted
EBITA margin of 15.0-15.5% (previously 14.0-
14.5%). The upgraded Adjusted EBITA margin guid-
ance incorporates the stronger-than-anticipated
benefits from the ongoing implementation of our
corporate model, driving further business simplifi-
cation and operational efficiency.
Financial outlook for the full year 2025
Revenue (DKKbn)
14.5-15.0
(DKK 7.1bn in H1 2025)
Adjusted EBITA margin
15.0-15.5%
(14.9% in H1 2025)
Compared to 2024, we expect market demand for
aftermarket services in the global mining industry
to remain stable and active, whereas the market
demand for equipment is expected to remain soft.
The Adjusted EBITA margin is expected to be
positively impacted by the ongoing implemen-
tation of our corporate model, driving further
business simplification and operational efficiency,
as well as enhanced commercial execution. The
Adjusted EBITA margin guidance excludes costs
related to the ongoing transformation activities
and the separation of the Mining and Cement busi-
nesses. These costs are expected to amount to
approximately DKK 200m for the full year 2025. In
addition, the guidance for Adjusted EBITA margin
now excludes Other Operating Net Income. Other
Operating Net Income totalled an income of DKK
77m in H1 2025.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 10
25%
28%
16%
31%
NAMER
SAMER
EMEA
APAC
Service financial performance
Service market activity remained
stable, with continued customer
interest in productivity-enhancing
solutions offsetting regional
delays linked to tariff-related cost
uncertainties.
Activity in the service market has remained
broadly in line with levels at the start of the year,
supported by sustained customer demand for
solutions that improve operational performance
and reduce operating costs.
In North America, however, delays to larger
modernisation projects have adversely affected
Q2 2025 order intake, primarily due to cost uncer-
tainties stemming from US tariff decisions.
While these projects remain in the pipeline, the
delays underscore the importance of further
strengthening the Service business’s resilience
to market volatility. Targeted measures are being
implemented, with positive effects expected to
materialise already in the coming quarters.
Order intake development in Q2 2025
Service order intake in Q2 2025 decreased by 8%
to DKK 2,068m compared to Q2 2024. Organically,
Service order intake decreased by 1% compared
to Q2 2024.
The year-on-year decline can primarily be attrib-
uted to a lower order intake within upgrades &
retrofits and the aforementioned delays in North
America.
Order backlog
The order backlog decreased to DKK 4,781m
compared to DKK 5,093m at the end of Q2 2024.
The book-to-bill ratio was 100.2% in Q2 2025.
Revenue development in Q2 2025
Service revenue decreased by 3% to DKK 2,063m
compared to Q2 2024. Organically, revenue
decreased by 1% compared to Q2 2024.
The year-on-year decline is primarily a reflection of
the timing of the execution of certain orders. The
decline was partly offset by higher revenue within
professional services and upgrades & retrofits.
EBITA development in Q2 2025
The Adjusted EBITA margin was 19.6% when
excluding transformation and separation costs of
DKK 27m as well as other operating net income of
DKK 34m, which primarily related to sale of certain
properties in Q2 2025.
Service
(DKKm) Q2 2025 Q2 2024* Change (%) H1 2025 H1 2024* Change (%)
Order intake 2,068 2,236 -8% 4,217 4,532 -7%
Order backlog 4,781 5,093 -6% 4,781 5,093 -6%
Revenue 2,063 2,116 -3% 4,245 4,047 5%
Other operating net income 34 15 36 16
Adjusted EBITA ** 404 421 -4% 847 754 12%
Adjusted EBITA margin 19.6% 19.9% 20.0% 18.6%
EBITA 411 403 2% 831 716 16%
EBITA margin 19.9% 19.0% 19.6% 1 7. 7 %
* All 2024 numbers have been restated to reflect the continuing business.
** To illustrate the underlying business performance, we present an Adjusted EBITA margin, which excludes costs related to our ongoing
transformation activities and the separation of the Mining and Cement businesses as well as items reported as other operating net
income.
Order intake split by
Region, Q2 2025
Growth in order intake and revenue
in Q2 2025 (vs. Q2 2024)
Order intake Revenue
Organic -1% -1%
Divestments 0% 0%
Currency -7% -2%
Total growth -8% -3%
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 12
Including these items, EBITA increased to DKK 411m corre-
sponding to an EBITA margin of 19.9% compared to DKK
403m corresponding to an EBITA margin of 19.0% in Q2 2024.
Order intake development in H1 2025
Service order intake decreased by 7% to DKK 4,217m
compared to H1 2024. Organically, Service order intake
decreased by 4% compared to H1 2024.
The decline was primarily a result of a lower order intake for
upgrades & retrofits and spare parts and primarily in North
America as well as in South America where orders were
particularly strong in H1 2024. The year-on-year decline was
partly offset by a higher order intake for consumables.
Revenue development in H1 2025
Service revenue increased by 5% to DKK 4,245m compared
to H1 2024. Organically, Service revenue increased by 9%
compared to H1 2024.
The higher revenue was primarily driven by higher revenue
from consumables and upgrades & retrofits, driven by
effective backlog management and improved order execu-
tion. The year-on-year increase was partly offset by lower
revenue in professional services, which can be partly
explained by the exit from basic labour services.
EBITA development in H1 2025
The Adjusted EBITA margin was 20.0% when excluding trans-
formation and separation costs of DKK 52m as well as other
operating net income of DKK 36m, which primarily related to
sale of certain properties in H1 2025. Including these items,
EBITA increased to DKK 831m corresponding to an EBITA
margin of 19.6% compared to DKK 716m corresponding to an
EBITA margin of 17.7% in H1 2024.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 13
NAMER
SAMER
EMEA
APAC
25%
28%
16%
31%
Products financial performance
Market activity in second quarter
remained soft during Q2 2025. While
solid planning activity persists
high, the timing of the execution of
larger mining projects remains highly
uncertain.
We continue to observe a soft products market
with persistent hesitation by some customers
to allocate capital expenditures to larger brown-
field and greenfield projects. While metal prices
(especially for copper and gold) have remained at
relatively high levels during the quarter, uncertain-
ties relating to US tariff measures and the maro-
conomic landscape continue to restrict global
demand.
Despite these challenges, mining customers
continue to show good interest in product solu-
tions that drive efficiency, increase throughput
or lower maintenance costs. In addition, optimism
on the longer-term demand outlook persists,
driven by continued high metal prices as well
as indications from engineering, procurement
and construction managers (EPCMs) that larger
projects may progress over the next couple of
years, albeit with uncertain timing.
Order intake development in Q2 2025
Products order intake increased by 44% to DKK
681m compared to Q2 2024. Organically, Products
order intake increased by 53% compared to Q2
2024.
No large orders were announced in neither Q2
2025 nor in Q2 2024. However, during the quarter,
FLSmidth signed a strategically important order,
as we were selected to supply a full flotation tech-
nology package for what is set to become one of
the world's largest, most efficient and sustainable
iron ore beneficiation plants globally to an Indian
miner and steelmaker.
Order backlog
The order backlog decreased to DKK 4,869m
compared to DKK 5,681m at the end of Q2 2024.
The book-to-bill ratio was 112.2% in Q2 2025.
Revenue development in Q2 2025
Products revenue decreased by 43% to DKK
607m compared to Q2 2024. Organically, Products
revenue decreased by 39% compared to Q2 2024.
The year-on-year decline was primarily a reflection
of the delayed execution of orders within certain
product groups. FLSmidth expects the majority of
these orders will be executed during the second
half of 2025.
Products
(DKKm) Q2 2025 Q2 2024* Change (%) H1 2025 H1 2024* Change (%)
Order intake 681 472 44% 1,546 1,705 -9%
Order backlog 4,869 5,681 -14% 4,869 5,681 -14%
Revenue 607 1,062 -43% 1,408 2,092 -33%
Other operating net income 25 6 41 6
Adjusted EBITA ** (59) (90) 34% (140) (181) 23%
Adjusted EBITA margin -9.7% -8.5% -9.9% -8.7%
EBITA (49) (103) 52% (131) (208) 37%
EBITA margin -8.1% -9.7% -9.3% -9.9%
* All 2024 numbers have been restated to reflect the continuing business.
** To illustrate the underlying business performance, we present an Adjusted EBITA margin, which excludes costs related to our ongoing
transformation activities and the separation of the Mining and Cement businesses as well as items reported as other operating net
income.
Order intake split by
Region, Q2 2025
Growth in order intake and revenue
in Q2 2025 (vs. Q2 2024)
Order intake Revenue
Organic 53% -39%
Divestments 0% 0%
Currency -9% -4%
Total growth 44% -43%
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 14
EBITA development in Q2 2025
The Adjusted EBITA margin was -9.7% when
excluding transformation and separation costs of
DKK 16m as well as other operating net income of
DKK 25m, which primarily related to sale of certain
properties in Q2 2025.
Including these items, EBITA increased to DKK
-49m corresponding to an EBITA margin of -8.1%
compared to DKK -103m corresponding to an
EBITA margin of -9.7% in Q2 2024.
Order intake development in H1 2025
Products order intake decreased by 9% to DKK
1,546m compared to H1 2024. Organically, Prod-
ucts order intake decreased by 7% compared to
H1 2024.
The year-on-year decline reflects that a single
large order was announced during H1 2025 (albeit
with undisclosed total value), whereas two large
orders with a combined value of approximately
DKK 680m were announced in H1 2024. In addition,
the decline reflected the continued softness
of the mining products market as well as the
de-risking of the order backlog which has been
completed over the recent years.
Revenue development in H1 2025
Products revenue decreased by 33% to DKK
1,408m compared to H1 2024. Organically, Prod-
ucts revenue decreased by 32% compared to H1
2024.
This is mainly due to delayed execution of certain
orders. FLSmidth expects the majority of these
orders to be executed during the second half of
2025.
EBITA development in H1 2025
The Adjusted EBITA margin was -9.9% when
excluding transformation and separation costs of
DKK 32m as well as other operating net income of
DKK 41m, which primarily related to sale of certain
properties in Q2 2025. Including these items,
EBITA increased to DKK -131m corresponding to
an EBITA margin of -9.3% compared to DKK -208m
corresponding to an EBITA margin of -9.9% in Q2
2024.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 15
NAMER
SAMER
EMEA
APAC
25%
28%
16%
31%
PC&V financial performance
The global market for Pumps,
Cyclones & Valves (PC&V) remained
stable, providing a solid platform for
continued growth in the business,
as reflected in the 13% organic order
intake growth achieved in the quarter.
The PC&V business is gaining traction, and we are
seeing material returns from the targeted invest-
ment into the PC&V sales force completed during
the course of 2024.
The macroeconomic and cost uncertainties
stemming from the US tariff measures have
also impacted the PC&V market - especially in
North America, where activity levels remain low
compared to 2024.
However, customers are pushing for solution to
increase throughput, drive operational efficiency
or reduce both water and energy usage, and
FLSmidth will continuously drive initiatives to
leverage the market situation and further grow its
PC&V business.
Order intake development in Q2 2025
PC&V order intake increased by 7% to DKK 768m
compared to Q2 2024. Organically, PC&V order
intake increased by 13% compared to Q2 2024.
The year-on-year increase was driven by a higher
level of equipment orders as well as an unchanged
level for aftermarket-related orders. In addition,
the increase was primarily driven by higher order
intake in the SAMER and EMEA regions, partly
offset by a lower order intake in the NAMER
region.
Order backlog
The order backlog decreased to DKK 1,000m
compared to DKK 1,078m at the end of Q2 2024.
The book-to-bill ratio was 108.5% in Q2 2025.
Revenue development in Q2 2025
PC&V revenue increased by 17% compared to Q2
2024 to DKK 708m. Organically, PC&V revenue
increased by 24% compared to Q2 2024.
The year-on-year increase reflects the positive
momentum in the business and was driven by
both higher equipment- and aftermarket-related
revenue.
EBITA development in Q2 2025
The Adjusted EBITA margin was 23.7% when
excluding transformation and separation costs of
Pumps, Cyclones & Valves ( PC&V)
(DKKm) Q2 2025 Q2 2024* Change (%) H1 2025 H1 2024* Change (%)
Order intake 768 715 7% 1,531 1,362 12%
Order backlog 1,000 1,078 -7% 1,000 1,078 -7%
Revenue 708 605 17% 1,433 1,225 17%
Other operating net income ** 0 0 0 0
Adjusted EBITA 168 145 16% 347 314 11%
Adjusted EBITA margin 23.7% 24.0% 24.2% 25.6%
EBITA 160 134 19% 330 296 11%
EBITA margin 22.6% 22.1% 23.0% 24.2%
* All 2024 numbers have been restated to reflect the continuing business.
** To illustrate the underlying business performance, we present an Adjusted EBITA margin, which excludes costs related to our ongoing
transformation activities and the separation of the Mining and Cement businesses as items reported as well as other operating net
income.
Order intake split by
Region, Q2 2025
Growth in order intake and revenue
in Q2 2025 (vs. Q2 2024)
Order intake Revenue
Organic 13% 24%
Divestments 0% 0%
Currency -6% -7%
Total growth 7% 17%
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 16
DKK 8m. There was no impact from other oper-
ating net income in the quarter.
Including these items, EBITA increased to DKK
160m corresponding to an EBITA margin of 22.6%
compared to DKK 134m corresponding to an EBITA
margin of 22.1% in Q2 2024.
Order intake development in H1 2025
PC&V order intake increased by 12% to DKK
1,531m compared to H1 2024. Organically, PC&V
order intake increased by 16% compared to H1
2024.
The year-on-year increase was driven by a higher
level of both equipment- and aftermarket-related
orders. In addition, the increase was primarily
driven by a higher order intake in the EMEA and
SAMER regions.
The order intake in H1 2025 was supported by a
strategically important order from an Indian miner
and steelmaker which included the delivery of 30
KREBS UMD pumps and 18 KREBS gMAX hydro-
cyclones to complete the secondary and tertiary
grinding circuits’ process requirements.
Revenue development in H1 2025
PC&V revenue increased by 17% compared to H1
2024 to DKK 1,433m. Organically, PC&V revenue
increased by 21% compared to H1 2024.
The year-on-year increase was driven by a higher
level of aftermarket-related revenue. In addition,
the increase was primarily a result of higher
revenue in the EMEA region.
EBITA development in H1 2025
The Adjusted EBITA margin was 24.2% when
excluding transformation and separation costs of
DKK 17m. There was no impact from other oper-
ating net income in the quarter.
Including these items, EBITA increased to DKK
330m corresponding to an EBITA margin of 23.0%
compared to DKK 296m corresponding to an EBITA
margin of 24.2% in Q2 2024.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 17
Discontinued operations
Divestment of the Air Pollution
Control business
On 30 June 2025, FLSmidth announced that it had
entered into an agreement to divest its Air Pollu-
tion Control (APC) business to Rubicon Partners.
The transaction is expected to close during
the second half of 2025 and includes all related
assets, including intellectual property, technology,
employees and order backlog.
Profit and loss in H1 2025
The loss from discontinued operations amounted
to DKK 674m in H1 2025 and was negatively
impacted by impairment charges totalling DKK
495m.
For further information about discontinued opera-
tions, please refer to note 10.
Following the announced agreements to divest FLSmidth Cement,
including the Air Pollution Control business, both businesses have been
classified as held for sale and discontinued operations.
Divestment of FLSmidth Cement
On 20 June 2025, FLSmidth announced that it had
entered into an agreement to divest its Cement
business as a share deal to an affiliate of Pacific
Avenue Capital Partners for a total initial consider-
ation of EUR 75m, corresponding to approximately
DKK 550m (Enterprise Value), plus a conditional
deferred cash consideration of up to EUR 75m,
corresponding to approximately DKK 550m (ref.
Company Announcement no. 10-2025).
The transaction includes all related employees,
assets, intellectual property and technology with
the exception of certain legacy contracts, which
have been retained by FLSmidth. The transaction
is expected to close during the second half of
2025, subject to customary closing conditions,
including regulatory approval from the relevant
authorities.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 18
0
1,000
2,000
3,000
4,000
5,000
2024 2025
Q1 Q2 Q3 Q4 Q1 Q2
Service Products PC&V NCA
37%
13%
9%
1%
30%
10%
Copper
Gold
Coal
Fertiliser
Iron ore
Other
Consolidated quarterly financial performance Continued business
Order intake in Q2 2025
Order intake increased by 3% in Q2 2025 to DKK
3,517m compared to Q2 2024. Organically, order
intake increased by 9% compared to Q2 2024. The
year-on-year increase was primarily a result of a
higher order intake in Products, driven especially
by one strategically important order in India.
The increase was partly offset by a lower order
intake in Service due to a lower order intake within
upgrades & retrofits and consumables. Non-Core
Activities contributed with DKK 7m in order intake
in Q2 2024. Service, Products and PC&V comprised
59%, 19% and 22% of the total order intake in Q2
2025, respectively, compared to 65%, 14% and
21% in Q2 2024, respectively. Non-Core Activities
comprised <1% of the total order intake in Q2 2024.
Growth in order intake in Q2 2025
(vs. Q2 2024)
Services Products PC&V
FLSmidth
Group
Organic -1% 53% 13% 9%
Divestments 0% 0% 0% 0%
Currency -7% -9% -6% -6%
Total growt h -8% 44% 7% 3%
Growth in revenue in Q2 2025
(vs. Q2 2024)
Services Products PC&V
FLSmidth
Group
Organic -1% -39% 24% -5%
Divestments 0% 0% 0% 0%
Currency -2% -4% -7% -7%
Total growt h -3% -43% 17% -12%
Continued business
(DKKm) Q2 2025 Q2 2024** Change (%) H1 2025 H1 2024** Change (%)
Order intake 3,517 3,430 3% 7, 2 94 7,6 36 -4%
Hereof service order intake 2,068 2,236 -8% 4,217 4,532 -7%
Hereof products order intake 681 472 44% 1,546 1,705 -9%
Hereof PC&V order intake 768 715 7% 1,531 1,362 12%
Order backlog 10,650 12,287 -13% 10,650 12,287 -13%
Revenue 3,378 3,827 -12% 7,086 7,458 -5%
Hereof service revenue 2,063 2,116 -3% 4,245 4,047 5%
Hereof products revenue 607 1,062 -43% 1,408 2,092 -33%
Hereof PC&V revenue 708 606 17% 1,433 1,225 17%
Gross profit* 1,199 1,199 0% 2,503 2,311 8%
Gross margin* 35.5% 31.3% 35.3% 31.0%
SG&A cost* (677) (805) -16% (1,432) (1,546) -7%
SG&A ratio* 20.0% 21.0% 20.2% 20.7%
Other operating net income 59 4 77 5
Adjusted EBITA*** 513 394 30% 1,054 743 42%
Adjusted EBITA margin 15.2% 10.3% 14.9% 10.0%
EBITA 522 335 56% 1,030 643 60%
EBITA margin 15.5% 8.8% 14.5% 8.6%
Number of employees 5,825 6,138 -5% 5,825 6,138 -5%
* Q2 2024 and H1 2024 information has been restated to reflect a reclassification of DKK 28m and DKK 55m from Administration costs to
Production costs, respectively.
** All 2024 numbers have been restated to reflect the continuing business. 2024 continuing business figures include the impact from
Non-Core Activities.
*** To illustrate the underlying business performance, we present an Adjusted EBITA margin, which excludes costs related to our ongoing
transformation activities and the separation of the Mining and Cement businesses as well as items reported as other operating net
income.
Order intake split by
Segments, Q2 2025
DKKm
Order intake split by Commodity,
Q2 2025
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 19
0
1,000
2,000
3,000
4,000
5,000
0
4
8
12
16
20
Revenue EBITA margin %
Adjusted EBITA margin %
2024 2025
Q1 Q2 Q3 Q4 Q1 Q2
-300
0
300
600
900
1,200
2024 2025
Q1 Q2 Q3 Q4 Q1 Q2
Service Products PC&V NCA
0
3,000
6,000
9,000
12,000
15,000
2024 2025
Q1 Q2 Q3 Q4 Q1 Q2
Service Products PC&V NCA
Order backlog and maturity in Q2 2025
The order backlog decreased by 13% to DKK
10,650m compared to Q2 2024, mainly driven
by our de-risking strategy. The order backlog
decreased by 4% since the end of Q4 2024,
primarily driven by currency effects. The book-to-
bill ratio was 104.1% in Q2 2025.
Backlog maturity
Continuing
business
2025 32%
2026 58%
2027 & beyond 10%
Revenue in Q2 2025
Revenue decreased by 12% to DKK 3,378m in Q2
2025, compared to Q2 2024. Organically, revenue
decreased by 5% compared to Q2 2024. The
year-on-year decline was primarily driven by lower
revenue in Products, as a result of the delayed
execution of orders within certain product groups.
FLSmidth expects that the majority of these
orders will be executed during the second half of
2025. In addition, Non-Core Activities contributed
with DKK 44m in revenue in Q2 2024. The decline
was partly offset by higher revenue in the PC&V
business, reflecting the positive momentum in the
business. Service, Products and PC&V comprised
61%, 18% and 21% of the total revenue in Q2 2025,
respectively, compared to 55%, 28% and 16% in Q2
2024, respectively. Non-Core Activities comprised
1% of the total revenue in Q2 2024.
Profit in Q2 2025
Gross profit and margin
Gross profit of DKK 1,199m in Q2 2025 was
unchanged compared to Q2 2024. The corre-
sponding gross margin increased to 35.5% in Q2
2025 compared to 31.3% in Q2 2024. The increase
was primarily a reflection of a higher share of
revenue from the Service and PC&V businesses
and the ceasing of the Non-Core Activities
segment in Q1 2025.
Research & development costs
In Q2 2025, total research and development costs
(R&D) amounted to DKK 83m, representing 2.5% of
revenue in the quarter (Q2 2024: 1.3%).
(DKKm) Q2 2025 Q2 2024
Production costs 59 34
Capitalised 24 17
Total R&D 83 51
SG&A costs
Sales, general and administrative costs (SG&A)
decreased by 16% to DKK 677m compared to DKK
805m in Q2 2024, reflecting the positive effects
from the ongoing simplification of our operating
model, especially within support functions and in
the Products business.
SG&A costs as a percentage of revenue decreased
to 20.0% in Q2 2025 compared to 21.0% in Q2 2024.
EBITA and margin
The Adjusted EBITA margin was 15.2% when
excluding transformation and separation costs
of DKK 50m and other operating net income of
DKK 59m in Q2 2025. Including these items, EBITA
increased to DKK 522m, corresponding to an EBITA
margin of 15.5%, compared to DKK 335m, corre-
sponding to an EBITA margin of 8.8%, in Q2 2024.
Non-Core Activities impacted EBITA negatively by
DKK 99m in Q2 2024. Excluding Non-Core Activi-
ties, the EBITA margin would have been 11.5% in Q2
2024.
Amortisation of intangible assets
Amortisation of intangible assets amounted to
DKK 52m (Q2 2024: DKK 52m).
Financial items
Net financial items amounted to DKK -72m (Q2
2024: DKK -167m), of which net interest amounted
to DKK -34m (Q2 2024: DKK -24m), foreign
exchange and fair value adjustments amounted
to DKK -38m (Q2 2024: DKK -104m). Financial items
from associates was DKK 0m (Q2 2024: DKK -39m).
Tax
Tax in Q2 2025 totalled DKK -135m (Q2 2024: -40m),
corresponding to an effective tax rate of 34% (Q2
2024: 36%). This includes impact from withholding
tax in both periods.
Backlog
DKKm
Revenue & EBITA margin
DKKm EBITA margin %
EBITA
DKKm
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 20
0
300
600
900
1,200
1,500
Net interest-bearing debt (NIBD)
2024 2025
Q1 Q2 Q3 Q4 Q1 Q2
0
500
1,000
1,500
2,000
2,500
0
3
6
9
12
15
Net working capital Net working capital ratio, end
2024 2025
Q1 Q2 Q3 Q4 Q1 Q2
Cash ow from operating activities
-600
-300
0
300
600
900
2024 2025
Q1 Q2 Q3 Q4 Q1 Q2
Profit for the period
Profit from the continuing business was DKK
262m in Q2 2025 (Q2 2024: DKK 76m). Discon-
tinued activities reported a total loss of DKK 717m
compared to a gain of DKK 112m in Q2 2024. The
loss includes impairment charges of DKK 495m
related to divestment of the Cement activities
and derecognition of certain deferred tax assets.
Return on capital employed
Return on capital employed (ROCE) increased to
11.4% (Q2 2024: 8.3%) due to the higher EBITA.
Employees
The number of employees in the continuing busi-
ness decreased to 5,825 at the end of Q2 2025,
compared to 6,138 at the end of Q2 2024, as part
of the ongoing busines simplification.
Capital in Q2 2025
Cash flow from operating activities
Cash flow from operating activities (CFFO)
amounted to DKK 527m in Q2 2025 (Q2 2024: DKK
14m). The improvement compared to the prior-
year period was primarily a reflection of higher
earnings and a reduction in net working capital.
Cash flow from investing activities
Cash flow from investing activities amounted to
DKK -218m in Q2 2025 (Q2 2024: DKK -103m) with
the majority of the investment activity in Q2 2025
relating to the expansion of mill liner manufacturing
facilities as well as the expansion of our service
centre network. In addition, Q2 2025 included DKK
-23m related to the acquisition of Scott Specialised
Rubber and Engineering (Pty) Ltd in South Africa.
Cash flow from financing activities
Cash flow from financing activities amounted
to DKK -308m in Q2 2025 (Q2 2024: DKK 42m) and
included payment of dividend of DKK -457m (Q2
2024: DKK -227m), repurchase of treasury shares
of DKK -34m (Q2 2024: DKK 0m) and inflow from
increase in net interest-bearing debt of DKK 206m
(Q2 2024: DKK 309m).
Free cash flow
Free cash flow (the sum of cash flow from oper-
ating and investing activities) amounted to DKK
309m in the quarter (Q2 2024: DKK -89m). Free
cash flow adjusted for business acquisitions and
disposals amounted to DKK 332m in Q2 2025 (Q2
2024: DKK -89m).
Net working capital
In Q2 2025, the net working capital decreased by
DKK 574m to DKK 1,841m compared to Q1 2025
(DKK 2,415m). This reduction is driven through
a combination of the reclassification of the
Cement and the Air Pollution Control businesses
as held for sale and lower trade receivables due
to improved cash collection and a reduction in net
work-in-progress as a result of our ongoing focus
on de-risking the business. As of Q2 2025, the net
working capital reflects the continuing business.
The corresponding net working capital ratio for Q2
2025 was 12.0%. The effect of the reclassification
has not been incorporated for the comparative
figures for 2024.
Utilisation of supply chain financing decreased
to DKK 394m in Q2 2025 (Q4 2024: 515m), of which
DKK 297m relates to the continuing business (Q4
2024: 400m).
Other business
Divestment of Corporate Headquarters
Ref. Company Announcement no. 9-2025, FLSmidth
has entered into an agreement to sell its corporate
headquarters for a total net cash gain of approx-
imately DKK 730m to be paid in full to FLSmidth
upon closing of the transaction, expected by the
end of Q1 2026. The expected accounting gain
amounts to approximately DKK 690 million.
Divestment of FLSmidth Cement
Ref. Company Announcement no. 10-2025,
FLSmidth has entered into an agreement with
an affiliate of Pacific Avenue Capital Partners
to divest its Cement business for a total initial
consideration of approximately DKK 550m, plus
a deferred cash consideration of up to approxi-
mately DKK 550m. The transaction is expected to
close during the second half 2025. Please refer to
notes 10 and 11 for more information.
Divestment of Air Pollution Control business
On 30 June 2025, FLSmidth announced that it
had entered into an agreement to divest its Air
Polution Control business. The transaction is
Cash flow
DKKm
Net interest-bearing debt
DKKm
Net working capital
DKKm NWC%
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 21
expected to close during the second half of 2025
and includes all related assets, including intellec-
tual property, technology, employees and order
backlog. Please refer to notes 10 and 11 for more
information.
Changes to Executive Leadership Team
In June, FLSmidth announced that Mikko
Tepponen, Chief Digital Officer & Chief Operations
Officer, had decided step down from his position
to pursue an opportunity outside of the company.
As part of the implementation of the new corpo-
rate model, the role of Chief Digital Officer & Chief
Operations Officer will be eliminated. Conse-
quently, the respective responsibilities for Digital
and Manufacturing will be transferred to other
members of the executive team. Further, the
Chief Financial Officer will take over the respon-
sibility for IT, and manufacturing activities will be
managed by the three Business Lines, enhancing
their respective end-to-end P&L ownership.
In addition, following the agreement to divest
FLSmidth Cement, Christopher Ashworth, Presi-
dent of FLSmidth Cement, has left the company.
During the period until closing of the transaction,
Cori Petersen, Chief People Officer & Global Busi-
ness Services Executive Vice President, will act as
interim President of FLSmidth Cement.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 22
-600
-300
0
300
600
900
1,200
H1 2024 H1 2025
Service Products PC&V NCA
Consolidated financial performance H1 2025 Continued business
Order intake
Order intake decreased by 4% in H1 2025 to DKK
7,294m compared to H1 2024. Organically, order
intake decreased by 1% compared to H1 2024. The
year-on-year decrease was primarily a result of
a lower order intake in Service, driven by a lower
order intake for upgrades & retrofits and spare
parts and primarily in North America as well as in
South America where orders were particularly
strong in H1 2024. In addition, Non-Core Activ-
ities contributed with DKK 37m in order intake
in H1 2024. The decline was partly offset by a
higher order intake in the PC&V business. Service,
Products and PC&V comprised 58%, 21% and
21% of the total order intake in H1 2025, respec-
tively, compared to 59%, 22% and 18% in H1 2024,
respectively. Non-Core Activities comprised <1%
of the total order intake in H1 2024.
Order backlog
The order backlog decreased by 12% to DKK
10,650m by end of Q2 2025. The decline was mainly
driven by the de-risking of our order backlog,
including the execution and wind-down of the
backlog in the Non-Core Activities segment during
2024. The book-to-bill ratio was 102.9% in H1 2025.
Revenue
Revenue decreased by 5% to DKK 7,086m in H1
2025, compared to H1 2024. Organically, revenue
decreased by 1% compared to H1 2024.
The year-on-year decline was primarily driven
by lower revenue in Products, as a result of
the delayed execution of orders within certain
product groups. FLSmidth expects that these
orders will be executed during H2 2025. In addition,
Non-Core Activities contributed with DKK 94m in
revenue in H1 2024. The decline was partly offset
by higher revenue in the Service and PC&V busi-
nesses. Service, Products and PC&V comprised
60%, 20% and 20% of the total revenue in H1 2025,
respectively, compared to 55%, 28% and 17%.
Profit in H1 2025
Gross profit and margin
Gross profit increased by 8% to DKK 2,503m
compared to H1 2024. The corresponding gross
margin increased by 4.3%-points to 35.3%. The
increase was primarily a reflection of a higher
share of revenue from the Service and PC&V busi-
nesses and the ceasing of the Non-Core Activities
segment in Q1 2025.
Research and Development costs were DKK 116m
(H1 2024: 102m), of which DKK 67m were capital-
ised (H1 2024: 50m).
EBITA and margin
The Adjusted EBITA margin was 14.9% when
excluding transformation and separation costs
of DKK 101m and other operating net income
of DKK 77m in H1 2025. Including these items,
EBITA increased to DKK 1,030m corresponding
to an EBITA margin of 14.5% compared to DKK
643m corresponding to an EBITA margin of 8.6%
in H1 2024. Non-Core Activities impacted EBITA
negatively by DKK 161m in H1 2024. Excluding
Non-Core Activities, the EBITA margin would have
been 10.9% in H1 2024.
Financial items
Net financial items amounted to DKK -61m (H1
2024: DKK - 117m), of which foreign exchange and
fair value adjustments amounted to DKK -11m (H1
2024: DKK 32m). Net interest amounted to DKK
-48m (H1 2024: DKK -45m). Financial items also
include a loss from associates of -2m (H1 2024:
DKK -40m) .
Tax
Tax for H1 2025 totalled DKK -294m (H1 2024: DKK
-144m), corresponding to an effective tax rate of
34.0 % (H1 2024: 36%).
Profit for the period
Profit for the period for the continuing business
amounted to DKK 570m compared to DKK 277m in
H1 2024. Discontinued activities reported a total
loss of DKK 674m compared to a gain of DKK 104m
in H1 2024. The loss includes impairment charges
of DKK 495m relating to the divestment of the
Cement business and derecognition of certain
deferred tax assets.
Growth in order intake in H1 2025
(vs. H1 2024)
Service Products PC&V
FLSmidth
Group
Organic -4% -7% 16% -1%
Divestments 0% 0% % 0%
Currency -3% -2% -4% -3%
Total growt h -7% -9% 12% -4%
Growth in revenue in H1 2025
(vs. H1 2024)
Service Products PC&V
FLSmidth
Group
Organic 9% -32% 21% -1%
Divestments 0% 0% 0% 0%
Currency -4% -1% -4% -4%
Total growt h 5% -33% 17% -5%
EBITA split by segment
DKKm
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 23
-500
-250
0
250
500
750
H1 2024 H1 2025
Cash ow from operating activities
-400
-300
-200
-100
0
100
H1 2024 H1 2025
Cash ow from investing activities
-450
-300
-150
0
150
300
H1 2024 H1 2025
Free cash ow adjusted for net business acquisitions
Free cash ow
Earnings per share
Earnings per share (diluted) for the continuing
business increased to DKK 9.8 in H1 2025 (H1
2024: DKK 4.7). Earnings per share (diluted) for the
discontinued business was negative by DKK 11.8
in the first half year of 2025 (H1 2024: 1.8).
Capital in H1 2025
Net working capital
Net working capital (NWC) decreased in H1 2025
to DKK 1,841m (year-end 2024: DKK 2,107m) as
Cement and the Air Pollution Control businesses
have been classified as held for sale. NWC
decreased primarily due to improved cash collec-
tion and a reduction in net work-in-progress as a
direct effect of our ongoing focus on de-risking
the business. In addition, currency effects
contributed to the reduction in NWC although this
was partly offset by lower trade payables.
As of the end of Q2 2025, NWC reflects the contin-
uing business. The corresponding net working
capital ratio was 12.0% (Q4 2024: 10.4%).
Cash flow from operating activities
Cash flow from operating activities improved to
DKK 515m (H1 2024: DKK -338m). The improvement
compared to the prior-year period was primarily a
reflection of higher earnings and a reduction in net
working capital.
Cash flow from investing activities
Cash flow from investing activities amounted to
DKK -328m compared to DKK -57m in H1 2024,
which had been positively impacted by a DKK
241m cash inflow from the divestment of the
MAAG business.
Cash flow from financing activities
Cash flow from financing activities amounted
to DKK -374m, primarily driven by payment of
dividend of DKK -457m, which was paid out in Q2
2025.
Free cash flow
Free cash flow (the sum of cash flow from oper-
ating and investing activities) amounted to DKK
187m (H1 2024: DKK -395m). Free cash adjusted for
business acquisitions and disposals amounted to
DKK 212m (H1 2024: DKK -543m).
Balance sheet
Total assets decreased to DKK 24,389m by 30
June 2025 (end of 2024: DKK 26.935), driven by
the impairment charge relating to the Cement
business, reduction in net working capital and
the write off of certain deferred tax assets in the
Cement business.
Financial position
By the end of H1 2025, FLSmidth had DKK 6.1bn of
available committed credit facilities of which DKK
4.3bn remained undrawn. The committed credit
facilities have a weighted average time to matu-
rity of 1.8 years. Credit facilities of DKK 5.0bn and
DKK 1.1bn will mature in 2027 and 2030, respec-
tively. The DKK 5.0bn credit facility is expected
to be refinanced before year end. Additionally,
FLSmidth has DKK 0.8bn of uncommitted credit
facilities available.
Net interest-bearing debt
Net interest-bearing debt (NIBD) at 30 June 2025
increased to DKK 1,286 (end of 2024: DKK 847m),
primarily due to the pay-out of dividends of DKK
457m, resulting in a financial gearing at end-H1
2025 of 0.6x (end of 2024: 0.4x).
Equity
Equity at end H1 2025 decreased to DKK 10,287m
(end of 2024: DKK 11,781m). The decrease was
driven by negative currency adjustments, loss due
to impairment of divested assets, and dividends
paid out during the period. The equity ratio was
42.2% at the end of H1 2025 (2024: 43.7%).
Treasury shares and share
buy-back programme
The holding of treasury shares as of 30 June 2025
decreased from year-end 2024 and amounted to
654,002 shares, representing 1.14% of the total
share capital. Treasury shares are used to hedge
our share-based incentive programmes. In June
2025, FLSmidth announced a share buy-back
programme (SBB) of up to DKK 1.4bn, and no more
than 4.6m shares, corresponding to approximately
8% of the share capital of the company. As of 30
June 2025, FLSmidth had repurchased 87,000
shares for a total purchase price of DKK 34m. The
SBB programme is carried out with the objective
of adjusting the capital structure of FLSmidth
and to meet obligations arising from share-
based incentive programmes. The programme is
expected to be completed by Q1 2026.
Cash flow from operating activities
DKKm
Cash flow from investing activities
DKKm
Free cash flow
DKKm
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 24
Income statement Statement of comprehensive income
Notes DKKm Q2 2025 Q2 2024** H1 2025 H1 2024**
3,4 Revenue 3,378 3,827 7,086 7,458
Production costs (2,179 ) (2,628 ) (4,583 ) (5,147 )
Gross profit* 1,199 1,199 2,503 2,311
Sales costs (310 ) (352 ) (651 ) (666 )
Administrative costs* (367 ) (454 ) (781 ) (880 )
9 Other operating net income 59 4 77 5
EBITDA 581 397 1,148 770
Depreciation and impairment of property,
plant and equipment and lease assets (59 ) (62 ) (118 ) (127 )
EBITA 522 335 1,030 643
Amortisation and impairment of intangible assets (53 ) (53 ) (105 ) (105 )
EBIT 469 282 925 538
Financial income 339 151 578 335
Financial costs (413 ) (318 ) (639 ) (452 )
EBT 395 115 864 421
Tax for the period (135 ) (39 ) (294 ) (144 )
Profit for the period, continuing activities 260 76 570 277
10 Profit/(loss) for the period, discontinued activities (715 ) 111 (674 ) 104
Profit for the period (455 ) 187 (104 ) 381
Attributable to:
Shareholders in FLSmidth & Co. A/S (460 ) 181 (113 ) 375
Minority interests 5 6 9 6
(455 ) 187 (104 ) 381
Earnings per share (EPS):
Continuing and discontinued activities per share
(DKK) (8.1 ) 3.2 (2.0 ) 6.6
Continuing and discontinued activities per share,
diluted (DKK) (8.0 ) 3.2 (2.0 ) 6.6
Continuing activities per share (DKK) 4.5 1.2 9.8 4.8
Continuing activities per share, diluted (DKK) 4.4 1.2 9.8 4.7
* Q2 2024 and H1 2024 information has been restated to reflect a reclassification of DKK 28m and DKK 55m from Administration costs to
Production costs, respectively.
** All 2024 numbers have been restated to reflect the continuing business. 2024 figures include Non-Core Activities.
Notes DKKm Q2 2025 Q2 2024** H1 2025 H1 2024**
Profit for the period (455 ) 187 (104 ) 381
Items that will not be reclassified to
profit or loss:
Actuarial gains and losses on defined benefit plans (1 ) 0 (6 ) 5
Items that are or may be reclassified
subsequently to profit or loss:
Currency adjustments regarding translation
of entities (621 ) 83 (914 ) 148
Reclassification of currency adjustments on
disposal 0 0 0 (18 )
Cash flow hedging:
Value adjustments for the year 2 (10 ) (9 ) (15 )
Value adjustments transferred to work in progress (5 ) (1 ) (4 ) 2
Tax hereof 1 2 4 1
Other comprehensive income
for the period after tax (624 ) 74 (929 ) 123
Comprehensive income for the period (1,079 ) 261 (1,033 ) 504
Attributable to:
Shareholders in FLSmidth & Co. A/S (1,084 ) 257 (1,043 ) 499
Minority interests 5 4 10 5
(1,079 ) 261 (1,033 ) 504
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 26
Cash flow statement
Notes DKKm Q2 2025 Q2 2024 H1 2025 H1 2024
EBITDA, continued activities 581 397 1,148 770
3 EBITDA, discontinued activities 98 104 195 173
Adjustment for gain on sale of property, plant and
equipment and other non-cash items (27 ) 23 (29 ) 6
Change in provisions, pension and employee benefits (80 ) (190 ) (84 ) (70 )
7 Change in net working capital 185 (86 ) (244 ) (736 )
Cash flow from operating activities before
financial items and tax 757 248 986 143
Financial items received and paid (35 ) (38 ) (54 ) (72 )
Taxe s p aid (195 ) (196 ) (417 ) (409 )
Cash flow from operating activities 527 14 515 (338 )
8 Acquisition of enterprises and activities (23 ) 0 (25 ) (93 )
Acquisition of intangible assets (96 ) (83 ) (137 ) (124 )
Acquisition of property, plant and equipment (145 ) (80 ) (233 ) (138 )
Acquisition of financial assets 0 0 (4 ) (3 )
9 Disposal of enterprises and activities 0 0 0 241
Disposal of intangible assets 0 0 0 0
Disposal of property, plant and equipment 46 60 71 60
Disposal of financial assets 0 0 0 0
Dividend from associates 0 0 0 0
Cash flow from investing activities (218 ) (103 ) (328 ) (57 )
The cash flow statement cannot be inferred from the published financial information only.
Notes DKKm Q2 2025 Q2 2024 H1 2025 H1 2024
Dividend paid (457 ) (227 ) (457 ) (227 )
Acquisition of treasury shares (34 ) (19 ) (34 ) (19 )
Repayment of lease liabilities (23 ) (21 ) (51 ) (49 )
Change in interest bearing debt 206 309 168 850
Cash flow from financing activities (308 ) 42 (374 ) 555
Change in cash and cash equivalents 1 (47 ) (187 ) 160
Cash and cash equivalents at beginning of period 859 1,560 1,070 1,352
Foreign exchange adjustment, cash and cash
equivalents (44 ) (1 ) (67 ) 0
Cash and cash equivalents at 30 June 816 1,512 816 1,512
Cash and cash equivalents included in assets
held for sale 156 0 156 0
Cash and cash equivalents 660 1,512 660 1,512
Cash and cash equivalents at 30 June 816 1,512 816 1,512
Free cash flow
DKKm Q2 2025 Q2 2024 H1 2025 H1 2024
Free cash flow 309 (89 ) 187 (395 )
Free cash flow, adjusted for acquisitions and
disposals of enterprises and activities 332 (89 ) 212 (543 )
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 27
Balance sheet
Notes DKKm 30/06 2025 31/12 2024 30/06 2024
Assets
Goodwill 6,274 6,559 6,560
Patents and rights 514 623 653
Customer relations 247 287 311
Other intangible assets 60 90 116
Completed development projects 174 241 137
Intangible assets under development 740 826 776
Intangible assets 8,009 8,626 8,553
Land and buildings 1,390 1,654 1,640
Plant and machinery 305 357 342
Operating equipment, fixtures and fittings 89 108 98
Tangible assets in course of construction 332 352 210
Property, plant and equipment 2,116 2,471 2,290
Deferred tax assets 2,001 2,358 2,206
Investments in associates 31 36 41
Other securities and investments 55 56 56
Other non-current assets 2,087 2,450 2,303
Non-current assets 12,212 13,547 13,146
Inventories 3,168 3,572 3,544
Trade receivables 2,821 4,073 4,658
Work in progress 1,780 3,009 3,018
Prepayments 628 351 516
Income tax receivables 511 423 602
Other receivables 714 890 1,090
Cash and cash equivalents 660 1,070 1,512
Current assets 10,282 13,388 14,940
11 Assets classified as held for sale 1,895 - -
Total assets 24,389 26,935 28,086
Notes DKKm 30/06 2025 31/12 2024 30/06 2024
Equity and liabilities
Share capital 1,153 1,153 1,153
Foreign exchange adjustments (1,698 ) (783 ) (748 )
Cash flow hedging (41 ) (28 ) (45 )
12 Retained earnings 10,883 11,459 10,776
Shareholders in FLSmidth & Co. A/S 10,297 11,801 11,136
Minority interests (10 ) (20 ) (24 )
Equity 10,287 11,781 11,112
Deferred tax liabilities 136 220 210
Pension obligations 306 322 337
5 Provisions 569 705 675
Lease liabilities 45 133 87
Bank loans and mortgage debt 1,769 1,508 2.350
Prepayments from customers 126 303 190
Income tax liabilities 116 120 110
Other liabilities 26 48 41
Non-current liabilities 3,093 3,359 4,000
Pension obligations 2 3 2
5 Provisions 1,414 1,670 1,574
Lease liabilities 84 85 83
Bank loans and mortgage debt 52 47 144
Prepayments from customers 1,166 1,480 1,994
Work in progress 2,249 2,791 3,417
Trade payables 2,384 3,538 3,523
Income tax liabilities 307 193 359
Other liabilities 1,598 1,988 1,878
Current liabilities 9,256 11,795 12,974
11
Liabilities directly associated with assets
classified as held for sale 1,753 - -
Total liabilities 14,102 15,154 16,974
Total equity and liabilities 24,389 26,935 28,086
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 28
Equity statement
H1 2025 H1 2024
DKKm
Share
capital
Foreign
exchange
adjust-
ments
Cash flow
hedging
Retained
earnings
Share-
holders in
FLSmidth
& Co A/S
Minority
interests Total
Share
capital
Foreign
exchange
adjust-
ments
Cash flow
hedging
Retained
earnings
Share-
holders in
FLSmidth
& Co A/S
Minority
interests Total
Equity at 1 January 1,153 (783 ) (28 ) 11,459 11,801 (20 ) 11,781 1,153 (879 ) (32 ) 10,615 10,857 (29 ) 10,828
Comprehensive income for the period
Profit/loss for the period (113 ) (113 ) 9 (104 ) 375 375 6 381
Other comprehensive income
Actuarial gain/loss on defined benefit plans (6 ) (6 ) (6 ) 5 5 5
Currency adjustments regarding translation of entities (915 ) (915 ) 1 (914 ) 149 149 (1 ) 148
Reclassification of currency adjustments on disposal 0 0 0 (18 ) (18 ) (18 )
Cash flow hedging:
Value adjustments for the period (9 ) (9 ) (9 ) (15 ) (15 ) (15 )
Value adjustments transferred to work in progress (4 ) (4 ) (4 ) 2 2 2
Tax on other comprehensive income 4 4 4 1 1 1
Other comprehensive income for the period 0 (915 ) (13 ) (2 ) (930 ) 1 (929 ) 0 131 (13 ) 6 124 (1 ) 123
Comprehensive income for the period 0 (915 ) (13 ) (115 ) (1,043 ) 10 (1,033 ) 0 131 (13 ) 381 499 5 504
Transactions with owners:
Dividend paid (457 ) (457 ) (457 ) (227 ) (227 ) (227 )
Share-based payment 30 30 30 26 26 26
Buyout of minority interests 0 0 0 0 0
Acquisition of treasury shares (34 ) (34 ) (34 ) (19 ) (19 ) (19 )
Equity at 30 June 1,153 (1,698 ) (41 ) 10,883 10,297 (10 ) 10,287 1,153 (748 ) (45 ) 10,776 11,136 (24 ) 11,112
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 29
1. Key accounting estimates and judgements 31
2. Income statement by function 31
3. Segment information 32
4. Revenue 33
5. Provisions 34
6. Contractual Commitments and contingent liabilities 34
7. Net working capital 35
8. Business Acquisitions 35
9. Disposal of activities 35
10. Discontinued activities 36
11. Assets & liabilities held for sale 36
12. Shareholders’ equity 37
13. Events after the balance sheet date 37
14. Accounting policies 37
Notes
1. Key accounting estimates
and judgements
When preparing the consolidated condensed financial
statements, we are required to make several estimates
and judgements. The estimates and judgements that can
have a significant impact on the consolidated condensed
financial statements are categorised as key accounting
estimates and judgements. Key accounting estimates
and judgements are regularly assessed to adapt to the
market conditions and changes in political and economic
factors.
The uncertainty arising from the geopolitical situation
from various ongoing conflicts, combined with increasing
unrest in many regions and anti-globalisation senti-
ments, increased during the first half of 2025. However,
FLSmidth is continuously assessing risk-scenarios to
minimise potential negative impacts in a timely manner.
Based on our diversified supply chain and a significant
production capacity both within and outside the US,
we are not currently expecting any significant negative
impacts.
Areas affected by key accounting estimates and judge-
ments are unchanged from the Annual Report for 2024.
Therefore, key accounting judgements are made in
relation to the accounting of revenue when determining
the recognition method, while key accounting estimates
relate to the estimation of warranty provisions, valuation
of inventories, work in progress and deferred tax.
For further details, reference is made to Annual Report
2024, Key accounting estimates and judgements, page
141 and to specific notes.
2. Income statement by function
It is our policy to prepare the income statement based
on an adjusted classification of the cost by function in
order to show the earnings before depreciation, amorti-
sation and impairment. Depreciation, amortisation, and
impairment are therefore separated from the individual
functions and presented in separate lines.
The income statement prepared on the basis of cost by
function is shown below:
Income statement by function
DKKm Q2 2025 Q2 2024** H1 2025 H1 2024**
Revenue 3,378 3,827 7, 0 8 6 7,458
Production costs, including depreciation and amortisation* (2,243) (2,688) (4,705) (5,267)
Gross profit* 1,135 1,139 2,381 2,191
Sales costs, including depreciation and amortisation (311) (358) (656) (676)
Administrative costs, depreciation and amortisation* (414) (503) (877) (982)
Other operating net income 59 4 77 5
EBIT 469 282 925 538
Depreciation, amortisation and impairment consist of:
Depreciation and impairment of property, plant and equipment and lease assets (59) (62) (118) (127)
Amortisation and impairment of intangible assets (53) (53) (105) (105)
(112) (115) (223) (232)
Depreciation, amortisation and impairment are divided into:
Production costs (64) (60) (122) (120)
Sales costs (1) (6) (5) (10)
Administrative costs (47) (49) (96) (102)
(112) (115) (223) (232)
* Q2 2024 and H1 2024 information has been restated to reflect a reclassification of DKK 28m and DKK 55m from Administration costs to
Production costs, respectively.
** All 2024 numbers have been restated to reflect continuing business. 2024 figures include Non-Core Activities.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 31
3. Segment information
H1 2025 H1 2025 H1 2024 H1 2024
Reportable Segments FLSmidth Group Reportable Segments FLSmidth Group
DKKm Service Products PC&V
Continuing
activities
Discontinued
activities
FLSmidth
Group Service Products PC&V
Non-Core
Activites*
Continuing
activities
Discontinued
activities
FLSmidth
Group
Revenue 4,245 1,408 1,433 7,0 8 6 1,920 9,006 4,047 2,092 1,225 94 7,458 2,339 9,797
EBITA 831 (131) 330 1,030 178 1,208 716 (208) 296 (161) 643 153 796
Order intake 4,217 1,546 1,531 7, 29 4 1,658 8,952 4,532 1,705 1,362 37 7, 6 36 2,048 9,684
Order backlog 4,781 4,869 1,000 10,650 3,343 13,993 5,093 5,681 1,078 435 12,287 4,231 16,518
EBITA margin 19.6% -9.3% 23.0% 14.5% 13.4% 1 7. 7 % -9.9% 24.2% -171 .3% 8.6% 8.1%
Number of employees at 30 June 5,825 1,688 7, 513 6,138 2,087 8,225
Reconciliation of profit before tax for the period
EBITA 1,030 178 1,208 643 153 796
Amortisation and impairment of
intangible assets (105) (516) 621 (105) (14) (119)
EBIT 925 (338) 587 538 139 677
Financial income 578 110 688 335 72 407
Financial costs (639) (119) (758) (452) (37) (489)
EBT 864 (347) 517 421 174 595
* Non-Core Activities ceased as planned in early Q1 2025, with the remaining, insignificant contract portfolio moved into the Products segment.
As a result of the signed agreements to divest FLSmidth Cement, including the Air Pollution Control business, the business has, as of Q2 2025, been classified as discontinued activities and assets held for sale. Consenquently, FLSmidth has, as of
Q2 2025, changed its segment reporting to reflect that FLSmidth going forward will be a pure-play supplier of technology and services to the mining industry. As such, FLSmidth will, as of Q2 2025, report on the following three continuing segments:
Service, Products, and Pumps, Cyclones & Valves (PC&V). On average, the PC&V segment is expected to comprise approximately 25% equipment-related orders and 75% aftermarket-related orders.
Comparative figures have been restated according to the new segment reporting. The performance of the segments is monitored at the level of operating profit before amortisation (EBITA). Segmental assets and liabilities and related disclosures are
not provided to management on a regular basis, and, accordingly, assets and liabilities for individual segments are not presented.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 32
28%
30%
17%
25%
25%
30%
18%
27%
NAMER
SAMER
EMEA
APAC
NAMER
SAMER
EMEA
APAC
4. Revenue
Revenue arises from sale of life cycle offerings to our
customers. We sell a broad range of goods and services
within the three segment; Services, Products and PC&V.
In the graphs on the right, revenue is split by regions in
which delivery takes place.
Revenue is recognised either at a point in time where the
control over the goods and/or services is transferred
to the customer or over time to reflect the percentage
of completion of the performance obligations in the
contracts. Percentage of completion covers a wide range
of different types of contracts, from contracts where
the customer consumes the services over time, such as
fixed price service contracts, to more complex product
bundles with engineering subject to the enhanced risk
governance structure under the Risk Management Board
and to risk quotas. More information on when and how
the two recognition principles are applied can be found in
note 1.4 in the Annual report 2024.
Backlog
The order backlog at 30 June 2025 amounted to DKK
10,650m (end of 2024: DKK 12,287m).
The backlog represents the value of outstanding perfor-
mance obligations on current contracts. The value
of outstanding performance obligations on current
contracts is a combination of value from contracts where
we will transfer control at a future point in time and
the value of the remaining performance obligations on
contracts where we transfer control over time.
Revenue split on timing of revenue recognition principle
H1 2025 H1 2024*
DKKm Service Products PC&V Group Service Products PC&V
Non-Core
Activities Group
Point in time 1,355 742 286 2,383 1,848 1,082 445 30 3,405
Percentage of completion
- Service, single machines and product bundles 2,890 422 1,147 4,459 2,199 784 780 0 3,763
- Product bundles with engineering under enhanced
risk governance 0 244 0 244 0 226 0 64 290
Total revenue 4,245 1,408 1,433 7,08 6 4,047 2,092 1,225 94 7,458
* All 2024 numbers have been restated to reflect the continuing business.
Revenue split by Regions, H1 2025
%
Revenue split by Regions, H1 2024
%
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 33
5. Provisions
In second quarter, FLSmidth classified specific provi-
sions related to the divestment of the Cement and
Air Pollution Control business as liabilities directly
associated with assets held for sale. In the below table
movements within the second quarter is related to both
continued and discontinued activities. The impact of the
reclassification of provisions related to the Cement and
Air Pollution Control business to liabilities directly associ-
ated with assets held for sale amounts to DKK 226m end
of Q2 2025.
For a description of the main provision categories see
note 2.7 in the 2024 Annual Report.
6. Contractual Commitments
and contingent liabilities
Contingent liabilities for the continued business at the
end of H1 2025 amounted to DKK 1,667m (31 December
2024: DKK 2,032m). Contingent liabilities primarily relate
to customary performance and payment guarantees.
The volume of such guarantees amounted to DKK 1,400m
(31 December 2024: DKK 1,749m). It is customary market
practice to issue guarantees to customers, which serve
as a security that we will deliver as promised in terms
of performance, quality, and timing. The volume of the
guarantees varies with the activity level and reflects the
outstanding backlog, finalised projects and deliveries
that are covered by warranties etc. Only a minor share of
such guarantees is expected to materialise into losses.
In the event a guarantee is expected to materialise, a
provision is recognised to cover the risk. Information on
provisions is included in note 5.
Other contingent liabilities of DKK 267m (31 December
2024 DKK 283m) relate to our involvement in legal
disputes, which are already pending with courts or other
authorities and other disputes which may or may not lead
to formal legal proceedings being initiated against us.
No significant changes have occurred to the nature and
extent of our contractual commitments and contingent
liabilities compared to what was disclosed in note 2.9 in
the 2024 Annual Report.
Provisions
DKKm 30/06 2025 31/12 2024* 30/06 2024*
Provisions at 1 January 2,375 2,295 2,295
Foreign exchange adjustments (88) 17 10
Disposal of Group enterprises 0 (12) (12)
Additions 303 1,476 645
Used (264) (966) (493)
Reversals (117) (467) (196)
Reclassification to/from other liabilities 0 32 0
Transferred to liabilities held for sale (226) 0 0
Provisions at 30 June 1,983 2,375 2,249
The split of provisions is as follows:
Warranties 747 850 872
Restructuring 210 390 123
Other provisions 1,026 1,135 1,254
1,983 2,375 2,249
The maturity of provisions is specified as follows:
Current liabilities 1,414 1,670 1 ,574
Non-current liabilities 569 705 675
1,983 2,375 2,249
* Comparative figures for 31/12/2024 and 30/06/2024 have not been restated to display the classifications assets classified and liabilities
directly associated with assets held for sale which is reflected in Q2 2025. For more information refer to note 11.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 34
7. Net working capital
In the second quarter, FLSmidth classified specific
net working capital items related to the divestment of
Cement in the balance sheet as assets and liabilities
held for sale. Net working capital decreased primarily
due to improved cash collection and a reduction in net
work-in-progress as a direct effect of our ongoing focus
on de-risking the business. In addition, currency effects
contributed to the reduction in net working capital
although this was partly offset by lower trade payables.
Utilisation of supply chain financing for the continued
busineess decreased in the first half of 2025 to DKK
297m (31 December 2024: 400m).
9. Disposal of activities
There has been no disposal of activities in Q2 2025.
On 22 January 2024, FLSmidth Cement entered into an
agreement to sell the MAAG gears and drives business
to Solix Group AB. The transaction closed on 1 March
2024 and includes all related assets, including intellec-
tual property, technology, employees and customer
contracts.
Total assets and liabilities related to the activities of DKK
463m and DKK 237m, respectively, were derecognised.
The assets include intangible assets of DKK 80m, other
non-current assets of DKK 118m and current assets
of DKK 265m (primarily working capital). The liabilities
include lease liabilities of DKK 55m, provisions of DKK
11m, working capital and other liabilities of DKK 171m.
The transaction led to a gain of DKK 28m.
8. Business Acquisitions
On 2 June 2025, FLSmidht acquired Scott Specialized
Rubber & Engineering (SSRE), a manufacturing company
based in Pretoria, South Africa. SSRE manufactures and
markets specialised, heavy-duty rubber products for a
variety of industries, including for mineral processing.
The acquisition of SSRE directly supports FLSmidth’s
CORE’26 strategy, which priorities service growth
through targeted investments.
The impact on net profit is insignificant.
Net working capital
DKKm 30/06 2025 31/12 2024 * 30/06 2024 *
Inventories 3,168 3,572 3,544
Trade receivables 2,821 4,073 4,658
Work in progress, assets 1,780 3,009 3,018
Prepayments 628 351 516
Other receivables 691 781 965
Derivative financial instruments 23 53 63
Prepayments from customers (1,292) (1,783) (2,184)
Trade payables (2,384) (3,538) (3,523)
Work in progress, liability (2,249) (2,791) (3,417)
Other liabilities (1,287) (1,587) (1,569)
Derivative financial instruments (58) (33) (50)
Net working capital 1,841 2,107 2,021
Change in net working capital 266 (725) (639)
Acquisitions/disposal of activities, financial instruments and
foreign exchange effect on cash flow (510) (49) (97)
Cash flow effect from change in net working capital (244) (774) (736)
* Comparative figures for 31/12/2024 and 30/06/2024 have not been restated to display the classifications assets classified and liabilities
directly associated with assets held for sale, which is reflected in Q2 2025. For more information refer to note 11.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 35
10. Discontinued activities
DKKm H1 2025 H1 2024
Revenue 1,920 2,339
Costs (1.772) (2,165)
Impairment (495) 0
EBT (347) 174
Tax for the year (327) (70)
Loss for the year, discontinued activities (674) 104
Cash flow statement:
Cash flow from operating activities 201 22
Cash flow from investing activities (72) 222
Earning per share:
Discontinued activities per share (11.8) 1.8
Discontinued activities per share diluted (11.8) 1.8
Following the announcement of the agreements to divest our Cement and Air Pollution Control businesses, impairment
tests were performed on the carrying value of these businesses based on a comparison of the fair value less costs to sell
to the underlying net assets. This resulted in an impairment charge of DKK 495m, which is reported as part of the loss from
discontinued operations.
On completion of the Cement divestment, the currency translation within equity related to the Cement business will be
reclassified from equity to the income statement and included in the net result from Cement activities held for sale. The
reclassification will have no effect on the Group’s cash position. The accumulated currency translation reserve related to
the Cement business is expected to be immaterial.
§ Accounting policy
Discontinued activities comprise disposal groups, which have been disposed of, ceased or are classified as held for sale
and represents a separate major line of business or geographical area.
Discontinued activities are presented in the income statement as profit/loss for the year, discontinued activities and
consists of operating income after tax.
Gains or losses from disposal of the assets related to the discontinued activities and adjustments hereto are likewise
presented as discontinued activities in the income statement.
In the consolidated cash flow statement, cash flow from discontinued activities are included in cash flow from operating,
investing and financing activities together with cash flow from continuing activities.
11. Assets & liabilities held for sale
DKKm 30/6 2025
Tangible assets 85
Inventories 523
Trade receivables 722
Work-in-progress for third parties 249
Cash and Cash equivalents 156
Other assets 160
Carrying amount of assets disposed 1,895
Provisions 115
Trade payables 528
Work-in-progress for third parties 422
Deferred tax liability 0
Other liabilities 688
Liabilities directly associated with assets classified as held for sale 1,753
Carrying amount of net assets held for sale 142
The above figures related to assets and liabilities held for sale consist of assets and liabilities that are directly related to
Cement business, Air Pollution Control business, as well as real estate.
Assets and liabilities held for sale are reported net of the impairment charge of DKK 495m which has been allocated across
various asset classes.
§ Accounting policy
Non-current assets as well as assets and liabilities expected to be sold as a group (disposal group) in a single transaction
are reclassified to assets and liabilities classified as held for sale, if their carrying value is likely to be recovered by sale
within 12 months in accordance with a formal plan.
Assets or disposal groups held for sale are measured at the lower of the carrying value and the fair value less costs to sell.
Assets and liabilities related to activities held for sale are presented on separate line items from the date the activities
become discontinued. Hence, comparative figures in the balance sheet are not restated.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 36
12. Shareholders’ equity
At the Annual General Meeting 2 April 2025, a dividend
of DKK 8 per share was declared. The total dividend
amounting to DKK 457m, excluding the proportion related
to FLSmidth’s holding of treasury shares, was paid out in
April 2025.
In 2024, the Annual General Meeting was held in April and
the total dividend paid was DKK 228m.
13. Events after the
balance sheet date
We are not aware of any other subsequent matters that
could be of material importance to the Group’s financial
position at 30 June 2025.
14. Accounting policies
The condensed interim report of the Group for the first
six months of 2025 is presented in accordance with IAS
34, Interim Financial Reporting, as approved by the EU
and additional Danish disclosure requirements regarding
interim reporting by listed companies.
Apart from the below mentioned changes, the
accounting policies are unchanged from those applied in
the 2024 Annual Report. In Q2 2025 reportable segments
have been changed. See further details on page 4.
Reference is made to note 7.5, Material accounting poli-
cies, note 7.6, Impact from new IFRS Accounting Stand-
ards, note 7.7, New IFRS Accounting Standards not yet
adopted and to specific notes in the 2024 Annual Report
for further details.
Changes in accounting policies
As of 1 January 2025, FLSmidth Group has implemented
the changes required by:
• IAS 21 (Lack of Exchangeability)
Besides this, there are no changes to IFRS Accounting
Standards with an effective date 1 January 2025.
The implementation has not had and is not expected to
have significant impact on the consolidated condensed
financial statements.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 37
Statement by Management
Executive management
Board of Directors
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 39
Forward looking statements
FLSmidth & Co. A/S’ financial reports, whether in the
form of annual reports or interim reports, filed with the
Danish Business Authority and/or announced via the
company’s website and/or NASDAQ Copenhagen, as well
as any presentations based on such financial reports,
and any other written information released, or oral state-
ments made, to the public based on this report or in the
future on behalf of FLSmidth & Co. A/S, may contain
forward-looking statements.
Words such as ‘believe’, ‘expect’, ‘may’, ‘will’, ‘plan’,
‘strategy’, ‘prospect’, ‘foresee’, ‘estimate’, ‘project’, ‘antic-
ipate’, ‘can’, ‘intend’, ‘target’ and other words and terms
of similar meaning in connection with any discussion
of future operating or financial performance identify
forward-looking statements. Examples of such forward-
looking statements include, but are not limited to:
• Statements of plans, objectives or goals for future
operations, including those related to FLSmidth & Co.
A/S’ markets, products, product research and product
development.
• Statements containing projections of or targets for
revenues, profit (or loss), CAPEX, dividends, capital
structure or other net financial items.
• Statements regarding future economic performance,
future actions and outcome of contingencies such
as legal proceedings and statements regarding the
underlying assumptions or relating to such state-
ments.
• Statements regarding potential merger & acquisition
activities.
These forward-looking statements are based on current
plans, estimates and projections. By their very nature,
forward-looking statements involve inherent risks and
uncertainties, both general and specific, which may be
outside FLSmidth & Co. A/S’ influence, and which could
materially affect such forward-looking statements.
FLSmidth & Co. A/S cautions that a number of important
factors, including those described in this report, could
cause actual results to differ materially from those
contemplated in any forward-looking statements.
Factors that may affect future results include, but
are not limited to, global as well as local political and
economic conditions, including interest rate and
exchange rate fluctuations, delays or faults in project
execution, fluctuations in raw material prices, delays in
research and/or development of new products or service
concepts, interruptions of supplies and production,
unexpected breach or termination of contracts, market-
driven price reductions for FLSmidth & Co. A/S’ products
and/or services, introduction of competing products,
reliance on information technology, FLSmidth & Co. A/S’
ability to successfully market current and new products,
exposure to product liability and legal proceedings and
investigations, changes in legislation or regulation and
interpretation thereof, intellectual property protection,
perceived or actual failure to adhere to ethical marketing
practices, investments in and divestitures of domestic
and foreign enterprises, unexpected growth in costs
and expenses, failure to recruit and retain the right
employees and failure to maintain a culture of compli-
ance. Unless required by law FLSmidth & Co. A/S is under
no duty and undertakes no obligation to update or revise
any forward-looking statement after the distribution of
this report.
Management review Consolidated Condensed Financial Statements Notes Statements FLSmidth Interim Report H1 2025 40
Interim Report Q2 2025
1 January – 30 june 2025
FLSmidth & Co. A/S
Vigerslev Allé 77
2500 Valby
Denmark
Tel.: +45 36 18 18 00
Information.mails@flsmidth.com
www.flsmidth.com
CVR no. 58180912