SIG Group AG (1YQA) Q2 2026 Earnings Report

The call conveyed resilient operational execution: revenue modestly grew at constant currency, adjusted EBIT and margins improved, free cash flow strengthened materially and leverage improved under covenant metrics. Growth was led by the Americas and aseptic carton, while product innovation (SIG Terra) and strategic investments (Mexico, India fillers) were notable positives. Offsetting these are persistent headwinds from geopolitical-driven raw material and freight inflation, regional softness (notably Europe, chilled carton, bag‑in‑box and spouted pouch), price pressure in China, and some one-off/timing items (tax, hedge effects, inventory build). Management confirmed full‑year guidance but emphasized ongoing uncertainty tied to the Middle East and procurement exposure.

SIG confirmed its 2026 guidance: revenue growth of 0–2%, adjusted EBIT margin of 15.7–16.2%, net CapEx (including leases) of 6–8% of revenue, and an adjusted effective tax rate of 26–28%; filler placements are expected in the lower half of the normal 60–80 corridor. Management noted the H1 results that underpin the guidance (H1 revenue €1.56bn, adjusted EBIT €244m and a 15.6% margin, adjusted net income €133m, ROCE 25%, H1 free cash flow –€32m with Q2 free cash flow +€32m) and highlighted improved leverage under the group covenant to 2.8x (reported 3.0x) and a ~€290m decline in net debt year‑on‑year, while warning that freight and raw‑material volatility from the Middle East could continue to affect the outlook.