SMT Scharf AG, a leading supplier of transport solutions for underground mining, has adjusted its forecast for the 2026 financial year following a weaker-than-expected performance in the first nine months. Preliminary consolidated revenue fell to EUR 51.5 million, down from EUR 70.9 million in the same period of 2025, while operating earnings (EBIT) dropped to EUR 0.0 million from EUR 2.4 million. The company attributed the decline primarily to lower investment activity in coal mining and tunnel logistics markets, which significantly reduced new systems business.
The third quarter was further burdened by the unexpected termination of a tunnel project in the Middle East, resulting in non-recurring charges of EUR 0.6 million from provisions. Against this backdrop, and with customer investment willingness expected to remain subdued in the fourth quarter, the Managing Board now expects consolidated revenue of between EUR 75 million and EUR 85 million for 2026, down from the previous forecast of EUR 95 million to EUR 115 million. EBIT is projected to range between EUR -0.5 million and EUR -1.5 million, compared with the earlier guidance of EUR 1 million to EUR 2 million.
CEO Longjiao Wang emphasized the company's continued focus on strategic execution. "We remain focused on consistently implementing our adopted strategy and expanding our business with an extended product portfolio," he said. Wang highlighted targeted sales partnerships, such as with the CFH Group in Kazakhstan and South Africa, and the development of the electromobility product portfolio. The company's 19-seat personnel carrier and 8-tonne cargo vehicle have already received MA certification in China, confirming their suitability for safe use in potentially explosive underground environments.
The revised outlook underscores the cyclical pressures facing the mining equipment sector, but SMT Scharf's strategic initiatives may position it for recovery. The company continues to diversify its business through battery-powered transport solutions and international sales expansion. Wang noted that while subdued investment activity is weighing on short-term results, the group sees attractive business prospects in the medium and long term. The full quarterly report as of 30 September 2026 will be published on 29 October 2026.
Investors and industry observers will be watching whether the company's efforts to expand its electromobility portfolio and forge new sales partnerships can offset the current market weakness. The forecast adjustment, announced via NEWMEDIAWIRE, signals the challenges ahead but also highlights management's commitment to executing its long-term strategy. For more information about the SMT Scharf Group, visit www.smtscharf.com.
