Half Year Results 2025

Kortrijk, Belgium, 16 July 2025, 7:15 am – Today Barco (Euronext: BAR; Reuters: BARBt.BR; Bloomberg: BAR BB) announced results for the 6-month period ended 30 June 2025.

First half and second quarter 2025 highlights

•  Orders 1H25 of 487.5 million euro (+5% yoy), driven by recovery in EMEA (+27%)

•  Steady order flow for Healthcare, laser Cinema projectors and HDR lightsteering, contributing to a solid orderbook of 548.4 million euro, up 3% yoy

•  Sales 1H25 of 454.4 million euro, growing 5% versus 1H24, led by a strong performance of Entertainment

•  Good traction for new product introductions, and first shipments of the Encore 3 Image Processing

•  Gross profit margin in 1H25 of 40.0% of sales, slightly higher than 1H24, fueled by improved product mix offsetting the impact from trade tariffs

•  EBITDA 1H25 of 48.0 million euro, a 36% increase versus 1H24; EBITDA margin at 10.6% (+ 2.5 ppts yoy)

•  Free Cash Flow 1H25 at 21.4 million euro, versus 14.6 million euro in 1H24

•  Completion of the 60 million euro Share Buyback program on July 14th 2025

Executive summary

Group topline

1H Quarter-by-quarter overview

Group topline – growth in orders and sales, driven by a recovery in EMEA

Order intake amounted to 487.5 million euro and grew steadily throughout the semester, despite challenging geopolitical market conditions and tariff policy uncertainties. This is an increase of 5% year-over-year, led by a growth in EMEA of 27%. Entertainment and Healthcare had strong demand and Meeting Experience improved on a rebound in ClickShare demand after last year's channel inventory corrections. With a positive book-to-bill ratio in 1H25, the orderbook expanded to 548.4 million euro, up 3% year-over-year.

Sales grew 5% to 454.4 million euro, led by a 10% growth in Entertainment, reflecting strong performances in both its business units, and a good momentum overall in EMEA. Healthcare's growth of 5% was driven by Surgical and Modality, and in particular its surgical software portfolio. Enterprise declined 5%, with a notable contrast between the recovery for ClickShare and a decline in hardware for Control Rooms. Growth was recorded in both the Americas and EMEA, with EMEA outperforming in Entertainment and the Americas in Healthcare.

Division topline – strong momentum in Entertainment, promising orders for Healthcare

In the Healthcare division, orders and sales were up 15% and 5% respectively, reflecting steady growth throughout the semester. Surgical & Modality saw good demand in EMEA and the Americas, reflecting in both orders and sales. This was partially offset by a weaker performance of the Asian markets, notably in China. The business unit continues to focus on value add software and workflow solutions. Diagnostic Imaging had a slower first semester but saw solid demand and growing orderbook toward the end of the second quarter. This included nice wins for its digital pathology portfolio and the new flagship OneLook breast imaging display, in both the Americas and EMEA.

Enterprise reported a small decline in orders and sales overall, but with a strong contrast between its two business units. Meeting Experience performed well with double-digit growth in orders and sales as channel inventories normalized after last year's corrections. ClickShare remains the market leader in the agnostic wireless conferencing market, with a largely stable market share in a declining market. Meanwhile, Barco launched ClickShare Hub, a modular video conferencing room system. The ClickShare Hub, Barco’s first device developed on the MDEP platform, is scheduled to begin shipping toward the end of 2025. Control Rooms faced severe headwinds in 1H25, as uncertainties in the US market linked to tariffs and the DOGE program caused a slowdown in decision-making for government-related projects. In addition, hardware-focussed projects, primarily LED in the Middle East, faced increased price competition. The Barco CTRL software solution continued to grow and is accounting for an increasing proportion of sales.

Entertainment experienced great momentum during the first half of 2025 and reported double-digit sales growth. The market circumstances in Cinema have steadily improved since the second half of 2024, with a strong movie slate, and a clear trend towards premium cinema experiences. Barco witnessed a strong resumption of the cinema investment cycle, after a long disruption during to the pandemic and its aftermath. In the first quarter, Barco signed several major frame contracts for laser cinema projectors, fueling orders for laser projectors in the next years. During the second quarter, this positive momentum continued with the signing of the first HDR lightsteering contracts in all three regions. This is supported by an impressive HDR movie slate. Also Immersive Experience performed well across regions during the first semester, driven by the renewed product portfolio, and by market share gains in the mid-segment of the market. The Encore 3 image processing platform started shipping in June 2025 and also contributed to the growth, while maintaining a solid orderbook for the second half of the year.

Gross profit supported by product mix, offsetting tariff impact; EBITDA exceeds 10%

Gross profit grew nominally to 181.5 million euro or 40.0% of sales, versus 39.7% in 1H24. On a more favorable product mix, with more software and services, the average product margin improved steadily. This was partially offset by the cost impact of the increased US tariffs. Although in principle Barco has begun to adjust pricing to reflect the net effect of the tariff increases to the US market on new orders, we did incur a one-time cost in 1H25 to absorb tariff impact on a portion of the existing orderbook, most notably in Entertainment that therefore reported a lower gross profit margin than last year. 

EBITDA landed at 48.0 million euro, up from 35.2 million euro a year ago, translating to an EBITDA margin of 10.6%, versus 8.1% in 1H24. This is the result of sales growth, combined with a stable gross profit margin, and lower OPEX as a percentage of sales. Both EBITDA and EBITDA margin grew in all three divisions.

Free cash flow in 1H25 was 21.4 million euro versus 14.6 million euro a year ago. Capex for the semester amounted to 14.0 million euro, mainly for the automated warehouse in the Belgian plant and for financing Cinema-as-a-Service. ROCE was at 16% of sales.

The net cash position on June 30^th 2025 was at 182.0 million euro, down from 259.0 million euro at year-end 2024. This reflects the positive free cash flow less the dividend payment and the share buyback program, which was completed on July 14th 2025.

Quote of the CEO, An Steegen

“In the first half of 2025, Barco delivered solid topline and EBITDA growth, driven by a strong performance in Entertainment, steady growth in Healthcare and a return to normalized channel inventory levels of ClickShare. We were happy to see that our new product introductions and embedded software solutions are contributing materially to the order and sales flow, including first orders for HDR lightsteering cinema projectors in all 3 regions.

We navigated a complex environment marked by geopolitical uncertainty and the impact of new US tariffs. Despite these challenges, we maintained commercial momentum, strengthened our orderbook, and continued to execute on our strategic priorities. I’m proud of how our teams responded with agility and focus, positioning us well for the remainder of the year.”

Outlook full year 2025

The following statements are forward looking on a like-for-like basis and actual results may differ materially

Geopolitical instability, combined with high volatility in trade policies and currency exchange rates, continue to impact market demand and visibility. Assuming no major adverse changes in the macro-economic circumstances, management maintains its guidance for topline and EBITDA margin growth for the full year 2025.

Disclaimer

This press release may contain forward-looking statements. Such statements reflect the current views of management regarding future events, and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Barco is providing the information in this press release as of this date and does not undertake any obligation to update any forward-looking statements contained in this press release in light of new information, future events or otherwise. Barco disclaims any liability for statements made or published by third parties and does not undertake any obligation to correct inaccurate data, information, conclusions or opinions published by third parties in relation to this or any other press release issued by Barco.

About Barco

Barco, headquartered in Kortrijk (Belgium), is a global technology company leading in visualization, networking, and collaboration solutions. Its innovative technologies drive advancements in the healthcare, enterprise, and entertainment markets. At the heart of Barco’s success are over 3,000 dedicated ‘visioneers’, each passionately contributing to driving change through technology.

Listed on Euronext (BAR), Reuters (BARBt.BR), and Bloomberg (BAR BB), Barco realized sales of 947 million euro in 2024. For further insights, please visit www.barco.com or connect on LinkedIn, YouTube, Instagram, and Facebook.

Barco. Visioneering a bright tomorrow. © 2025