KION GROUP AG
Business activities
KION GROUP AG is the strategic management holding company in the KION Group. KION GROUP AG holds all the shares in Dematic Holdings GmbH, Frankfurt am Main, and thus indirectly holds all the shares in the subsidiaries in the Supply Chain Solutions segment. Furthermore, KION GROUP AG is the sole shareholder of Linde Material Handling GmbH, Aschaffenburg, which holds almost all the shares of the companies in the Industrial Trucks & Services segment. KION GROUP AG collects liquidity surpluses of the Group companies in a cash pool and, where possible, covers subsidiaries’ funding requirements with intercompany loans. As a rule, the external financing of the Group’s activities is handled by KION GROUP AG. Managerial holding company functions and the performance of other services, in return for a consideration, are also part of KION GROUP AG’s remit.
The annual financial statements of KION GROUP AG are prepared in accordance with the provisions in the German Commercial Code (HGB) and the German Stock Corporation Act (AktG). The management report is combined with the group management report. Pursuant to section 315e (1) HGB, the consolidated financial statements are prepared in accordance with International Financial Reporting Standards (IFRS). Differences between the accounting policies in accordance with HGB and those in accordance with IFRS arise primarily in connection with the accounting treatment of financial instruments, provisions, deferred taxes, and procurement leases.
KION GROUP AG had a total of 322 employees as at December 31, 2025 (December 31, 2024: 373).
Management system
The main key performance indicator for KION GROUP AG is adjusted EBIT (IFRS). It is defined as earnings before interest and tax adjusted for non-recurring items and is derived from KION GROUP AG’s operating profit and net investment income. A reconciliation to adjusted EBIT (IFRS) is shown in a table in the following chapter.
Financial performance of KION GROUP AG
KION GROUP AG does not have any operating activities itself. The revenue of €143.7 million reported for 2025 (2024: €129.8 million) largely arose from the performance of services for affiliated companies.
Other operating income fell by €12.8 million to €33.5 million and included, in particular, gains on the measurement of bank accounts and cash pools in foreign currencies.
Personnel expenses amounted to €104.7 million, a year-on-year rise of €28.1 million. This rise was mainly due to higher variable remuneration components, general salary increases, and non-recurring expenses under the efficiency program aimed at strengthening long-term competitiveness and capacity to carry out capital investment.
Other operating expenses declined by €21.4 million to €204.2 million. This decrease was primarily attributable to lower exchange rate losses from the measurement of bank accounts and cash pools in foreign currencies as well as a fall in expenses for consultancy and other third-party services.
Net investment income went down by €240.8 million to €384.6 million in 2025 (2024: €625.4 million) as a result of the reduction in income from the profit-transfer agreements in place with subsidiaries.
Adjusted EBIT (IFRS), which is derived from operating profit and net investment income, fell by a total of €246.1 million to €262.9 million in 2025 and was thus in line with the projection set out in the 2024 combined management report.
The net financial income of €45.4 million (2024: €45.9 million) consisted of interest expense and similar charges totaling €115.8 million (2024: €154.3 million) and other interest and similar income amounting to €161.1 million (2024: €200.3 million). Interest expense and similar charges primarily related to interest expense for external financial liabilities as well as to interest charged on intercompany liabilities. Other interest and similar income mainly comprised interest income arising from intercompany receivables. It also included interest income on investments at banks.
KION GROUP AG recorded tax expenses of €5.2 million as a result of its role as the parent company of the tax group for nearly all German subsidiaries in 2025 (2024: tax expense of €101.3 million). The year-on-year decrease in the tax expense was due to the tax group’s lower earnings before tax and a significantly higher proportion of tax-exempt dividends.
in € million |
2025 |
2024 |
Change |
|---|---|---|---|
Revenue |
143.7 |
129.8 |
10.7% |
Other operating income |
33.5 |
46.3 |
–27.7% |
Material expenses |
–0.2 |
–0.2 |
15.0% |
Personnel expenses |
–104.7 |
–76.6 |
–36.7% |
Other operating expenses |
–204.2 |
–225.6 |
9.5% |
Depreciation, amortization & impairment expense |
–11.3 |
–0.3 |
< −100.0% |
Operating loss |
–143.3 |
–126.6 |
–13.2% |
Net income (loss) from participations |
384.6 |
625.4 |
–38.5% |
Net interest income (loss) |
45.4 |
45.9 |
–1.2% |
Income taxes |
–5.2 |
–101.3 |
94.8% |
Net income |
281.5 |
443.4 |
–36.5% |
in € million |
2025 |
2024 |
Change |
|---|---|---|---|
Operating loss |
–143.3 |
–126.6 |
–13.2% |
Net income (loss) from participations |
384.6 |
625.4 |
–38.5% |
Valuation effects local gaap/IFRS |
22.5 |
10.4 |
> 100.0% |
Non-recurring items |
–0.9 |
–0.2 |
< −100.0% |
Adjusted EBIT (IFRS) |
262.9 |
509.0 |
–48.3% |
In the reporting year, the differences between the accounting policies in accordance with HGB and those in accordance with IFRS resulted mainly from the recognition of currency effects, but also from impairment losses recognized on receivables from affiliated companies.
Net assets and financial position of KION GROUP AG
Financial assets amounted to €4,701.0 million (December 31, 2024: €4,605.1 million). Besides investments in affiliated companies and equity investments of €4,241.7 million (December 31, 2024: €4,238.2 million), this line item mainly consisted of loans to Group companies of €457.3 million (December 31, 2024: €365.6 million).
Cash and cash equivalents decreased by €367.6 million to €166.2 million as at the reporting date. The main reason for this was the outflow of cash in connection with the corporate bond that was repaid in September 2025.
Receivables and other assets amounted to €3,946.0 million (December 31, 2024: €3,954.5 million). The bulk of this total, €3,841.5 million, consisted of loans and cash pool receivables due from other Group companies (December 31, 2024: €3,927.9 million). There were long-term loans to Group companies of €194.6 million (December 31, 2024: €169.2 million).
in € million |
Dec. 31, 2025 |
Dec. 31, 2024 |
Change |
|---|---|---|---|
Assets |
|
|
|
Property, plant and equipment |
1.0 |
1.2 |
–20.2% |
Financial assets |
4,701.0 |
4,605.1 |
2.1% |
Receivables and other assets |
3,946.0 |
3,954.5 |
–0.2% |
Cash and cash equivalents |
166.2 |
533.8 |
–68.9% |
Deferred charges and prepaid expenses |
2.5 |
3.6 |
–32.2% |
Total assets |
8,816.6 |
9,098.3 |
–3.1% |
|
|
|
|
Equity and liabilities |
|
|
|
Equity |
5,686.7 |
5,512.8 |
3.2% |
Retirement benefit obligation |
69.9 |
65.6 |
6.6% |
Tax provisions |
0.1 |
36.3 |
–99.8% |
Other provisions |
87.6 |
54.3 |
61.3% |
Liabilities |
2,972.4 |
3,429.3 |
–13.3% |
Total equity and liabilities |
8,816.6 |
9,098.3 |
–3.1% |
Equity went up by €173.9 million to €5,686.7 million as at December 31, 2025 (December 31, 2024: €5,512.8 million). This rise was driven by the net income for the year of €281.5 million, whereas the dividend paid in June 2025 reduced equity by €107.5 million. The equity ratio was 64.5 percent as at the reporting date (December 31, 2024: 60.6 percent).
Provisions increased by €1.4 million to €157.6 million, mainly because personnel provisions – a component of other provisions – rose by €19.6 million to €60.3 million. By contrast, tax provisions declined by €36.2 million to a total of €0.1 million.
Liabilities amounted to €2,972.4 million (December 31, 2024: €3,429.3 million) and predominantly consisted of loan liabilities and cash pool liabilities to other Group companies amounting to €2,047.0 million (December 31, 2024: €1,880.6 million), liabilities to banks of €408.4 million (December 31, 2024: €539.9 million), and corporate bonds of €500.0 million (December 31, 2024: €1,000.0 million).
In 2020, KION GROUP AG launched a corporate bond program (EMTN program) with a total volume of €3 billion. The first bond was placed on the capital markets under this program in 2020 and had a nominal amount of €500.0 million, a maturity date in 2025, and a coupon of 1.625 percent. The bond was repaid as scheduled in 2025. A second unsecured bond with a nominal amount of €500.0 million, a maturity date in 2029, and a coupon of 4.0 percent was placed on the capital markets under the EMTN program in November 2024.
KION GROUP AG has a syndicated revolving credit facility (RCF) with a total volume of €1,385.7 million and a term that ends in October 2028. The facility has a variable interest rate; the contractually agreed interest terms are linked to KION GROUP AG’s credit rating and to compliance with sustainability KPIs. The revolving credit facility was undrawn as at December 31, 2025 (December 31, 2024: drawdown of €0.0 million).
The liabilities to banks and the promissory notes are not secured.
Future growth and risk situation
Outlook
The earnings performance of KION GROUP AG should continue to mirror that of the Group going forward. This is because it is the Group’s parent company and therefore its net investment income will reflect the earnings of the subsidiaries. The outlook for the KION Group is therefore largely reflected in the expectations of KION GROUP AG.
The business performance and position of KION GROUP AG are largely determined by the business performance and success of the Group. Detailed reports in this regard are set out in the ‘Business performance in the Group’ and ‘Financial position and financial performance of the KION Group’ sections.
A significant year-on-year increase in KION GROUP AG’s adjusted EBIT (IFRS) is anticipated for 2026.
Risks and opportunities
The business performance of KION GROUP AG is essentially subject to the same risks and opportunities as those of the Group because the Group participates directly in the performance of the global subsidiaries through their contributions to earnings. Details of the risks faced by the Group can be found in the ‘Risk report’.
KION GROUP AG also has guarantees and indemnities in place with affiliated companies and with banks and insurance companies in an amount of €6,542.6 million. These relate mainly to lease obligations. In addition, KION GROUP AG is jointly and severally liable for a revolving credit facility of €1,750.0 million and for a promissory note of €200.0 million issued in 2025. These two funding instruments relate to the financing of the subsidiaries’ lease business. As at the reporting date, the existing contingent liabilities were reviewed with regard to their risk situation. The Executive Board of KION GROUP AG regards the risk of potential trigger events as not probable.