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Danish-based EMS company GPV, reported a resilient earnings margin for the third quarter against the backdrop of generally soft demand and continued market normalisation. Sales and EBITDA were both down 3% year on year, while earnings show an increasing margin for the year, supported by actions to protect profitability and the ongoing optimisation of GPV’s global manufacturing footprint. Full-year sales guidance is narrowed downwards, while EBITDA guidance is narrowed upwards within the previous range of expectations.
GPV, owned by Nasdaq Copenhagen-listed Danish industrial conglomerate Schouw & Co., reported Q3 2025 sales of DKK 2,2 billion, on a par with last year. EBITDA was DKK 172 million including one-off restructuring costs of DKK 10 million related to footprint optimisation compared to DKK 186 million in same period last year.
For the first three quarters of 2025, sales totalled DKK 6.6 billion, while EBITDA was DKK 470 million, for an increasing margin quarter by quarter. This performance was in line with expectations, while operating cash flow was better than expected, growing to DKK 515 million. Working capital was reduced to DKK 2.4 billion at 30 September 2025, a year-on-year decline of 8.6%.
“Overall, our performance is as expected considering the special market circumstances we are facing. We continue to see initial signs of a cautious pickup in demand from some customers, while the overall market remains on the soft side and volatile. Our focus on winning business and conducting structural optimisation supports our commitment to improving our competitiveness, and we are preparing our platform for a rebound when it comes”, says Bo Lybæk, CEO of GPV.
He adds that GPV has successfully maintained a high level of sales thanks to the inflow of a number of new customers.
“At a time when some of our regular customers are reducing their orders, it is positive that we can maintain sales by attracting new customers and win new business. We are often credited for being quick and accurate in informing our customers about changes. This has proven to be particularly desirable at a time when changes are happening daily. This customer-centric approach is the reason why one of our major global customers has named us “Best Supplier of the Year”, he continues.
Executing on footprint optimisation and capacity readiness
During the current market phase, it remains essential for GPV to align its capacity and cost structure with demand. In this regard, GPV has previously demonstrated a good ability to recalibrate its organisation and adapt to a new reality.
In 2025, GPV has consolidated its cable-harness production in Slovakia and Sri Lanka, completed the consolidation of its electronics activities in Slovakia into the new Piestany mega-site and the established Nova Dubnica site and advanced the mechanics consolidation to the site in Thailand. These initiatives are designed to lower the cost base, enhance efficiency and improve capacity utilisation, with a relatively short payback period, and are part of the process of harvesting synergies from the 2022 combination with Enics.
The supply of materials has generally normalised, although sporadic changes in lead times remain for specific components and PCBs. Geopolitical tensions and trade-policy uncertainty – most notably between the USA and China – continue to influence the supply chain and pose risks.
“We are observing opposing signals in the supply chain and have therefore established a task force to help navigate these conditions. It is something that benefits both us and our customers, and we receive great recognition from customers for helping them optimise their outbound supply chain”, Bo Lybæk continues.
Narrowing the outlook for the year
Based on year-to-date performance and current visibility, GPV narrows its full-year 2025 guidance to sales of DKK 8.7–8.9 billion (previously DKK 8.7–9.2 billion) and EBITDA of DKK 620–650 million (previously DKK 600–650 million). In other words, full-year sales guidance is narrowed downwards, while EBITDA guidance is narrowed upwards within the previous range of expectations. As previously communicated, full-year EBITDA guidance includes one-off restructuring costs of about DKK 30 million, of which roughly half has already been incurred.
“While visibility remains blurry, we are encouraged by our strong pipeline and the wins we make. Our job is to stay agile, win our fair share of growth opportunities – especially in structurally attractive segments – and keep strengthening our competitiveness across regions,” Bo Lybæk concludes.
