CHERRY SE publishes preliminary results for the first half of 2026 – Further improvement in operating profitability

Munich, July 30, 2026 – CHERRY SE today announced its preliminary and unaudited results for the first half of 2026. In the first half of 2026, the Group generated preliminary revenue of EUR 40.0 million (H1 2025: EUR 45.5 million excluding revenue from the Active Key hygiene peripherals business divested in May 2025; reported: EUR 46.0 million). On a like-for-like basis (adjusted for prior-year special effects), Group revenue increased by around 3% (H1 2025 like-for-like: EUR 39.0 million). Despite the challenging market environment, CHERRY SE improved operating profitability at Group level: Adjusted Group EBITDA improved to EUR -4.0 million (H1 2025: EUR -10.2 million excluding proceeds from the sale of the Active Key hygiene peripherals business; reported: EUR -2.3 million), corresponding to an adjusted EBITDA margin of -10.0% (H1 2025: -22.4%). Given the advanced stage of the M&A process for the Digital Health & Solutions (DH&S) segment, this business will be presented as a discontinued operation (DiscOps) in the half-year financial statements. To provide transparency on the financial performance, CHERRY presents the Group's key figures, including the reconciliation to DiscOps, below:

(EUR million)	H1 2025	H1 2026
Sales	38.94	31.12
Gross Profit I Margin	37%	43%
OPEX	-20.97	-17.31
EBIT	-15.27	-9.12
EBITDA	-11.30	-8.37
Adj.EBITDA	-10.30	-6.51
EBIT from DH&S	-3.70	2.26
EBITDA from DH&S	0.01	2.26
Adj.EBITDA from DH&S	0.13	2.49
Total EBIT	-18.97	-6.86
Total EBITDA	-11.29	-6.11
Total Adj. EBITDA	-10.17	-4.02
Working Capital	45.14	25.29
Cash	7.86	4.34

The improvement in the Group's overall performance was primarily driven by margin expansion across all segments and strict cost control. Savings in operating expenses (OPEX) and lower cost of sales amounted to approximately EUR 10.0 million in total. Operating expenses in continuing operations declined to EUR -17.3 million (H1 2025: EUR -20.9 million). Adjusted EBIT improved to EUR -5.8 million (H1 2025: EUR -17.9 million) due to disciplined cost management, an improved gross margin and lower depreciation and amortization. At the same time, continued net working capital management resulted in a reduction in capital employed to EUR 25.2 million (June 30, 2025: EUR 45.1 million). Cash and cash equivalents amounted to EUR 4.3 million as of June 30, 2026 (June 30, 2025: EUR 7.9 million) and will be further strengthened in the second half of the year by gross proceeds of approximately EUR 10.1 million from the rights issue completed in July. With the Project Blossom transformation program and the ongoing sale process for DH&S, the Management Board has laid the foundations for returning the peripherals-focused core business to operating profitability from 2027 (peripherals break-even at revenue of approximately EUR 85 million and a gross margin of approximately 44%).
  Segment overview

(EUR million)		DH&S			GOP			Components
		H1 2025	H1 2026		H1 2025	H1 2026		H1 2025	H1 2026
Sales		6.525	8.876		36.485	29.629		4.313	2.150
GM1		58.3%	59.8%		34.8%	40.9%		49.7%	65.3%
GM2		42.5%	49.1%		24.6%	28.3%		-52.3%	1.2%
OPEX		-6.435	-2.102		-6.793	-5.470		-2.566	-0,372
Adj EBITDA		0.130	2.488		3.173	4.754		-3.210	-0.730

Digital Health & Solutions The DH&S segment recorded revenue growth of around 37% to EUR 8.9 million in the first half of 2026 (H1 2025 like-for-like: EUR 6.3 million; reported: EUR 6.5 million), driven by the connection of care facilities to Germany's telematics infrastructure and the replacement of legacy e-health devices (Q1 revenue: EUR 5.2 million; Q2: EUR 3.7 million). Cost management resulted in lower OPEX and a higher contribution margin (GM2), leading to an improvement in adjusted EBITDA to EUR 2.5 million (H1 2025 adjusted EBITDA: EUR 0.130 million). The M&A process for the divestment of the segment continues to advance, with the aim of reducing liabilities and releasing funds for the core business. Gaming & Office Peripherals Revenue in the Gaming & Office Peripherals segment amounted to EUR 29.6 million (H1 2025 reported: EUR 36.5 million). On a like-for-like basis – adjusted for the one-time Argand inventory purchase of EUR 6.0 million in the first half of 2025 and foreign exchange effects of EUR 0.5 million – the core business proved resilient despite a difficult market environment, with revenue declining by only 3% (H1 2025 like-for-like: EUR 30.6 million). CHERRY deliberately refrained from heavily discounted sales promotions to preserve the quality of its margins. The gross margin increased to 40.9% (H1 2025: 34.8%). Through cost control and a reduced sales cost base, the segment generated positive adjusted EBITDA of EUR 4.8 million (H1 2025: EUR 3.2 million).  Components The Components segment recorded a volume-related decline in revenue to EUR 2.2 million (H1 2025 like-for-like: EUR 4.3 million; reported: EUR 4.3 million). CHERRY manages this segment with a focus on margin quality rather than volume. The optimized product mix increased the gross margin to 65.3% (H1 2025: 49.7%), while adjusted EBITDA improved to EUR -0.7 million (H1 2025: EUR -3.2 million). Rogier Volmer, CEO of CHERRY SE: “With the Blossom transformation project and the successful rights issue in July, we reached key milestones in the first half of the year. Our strict cost discipline is having a clear impact on operating performance. At the same time, our cost base must be sustainable even at lower revenue levels, and we will continue to work consistently toward this goal in the second half of the year. In addition, we are maintaining a clear focus on cash generation and improving working capital.” All figures for the first half of 2026 are preliminary and unaudited, as the audit of the 2025 consolidated and separate financial statements has not yet been completed. The 2026 half-year report can therefore not be published on August 13, 2026 as scheduled. The new publication date will be announced without undue delay once it has been determined.
About Cherry Cherry SE [ISIN: DE000A3CRRN9] is a global manufacturer of computer input devices such as keyboards, mice, microphones, and headsets for applications in office, gaming, and industry for hybrid work, as well as hardware and software solutions in digital healthcare. Since its founding in 1953, CHERRY has been synonymous with innovative and durable high-quality products, developed in-house, specifically to meet customer needs. CHERRY’s operational headquarters is in Germany (Auerbach in der Oberpfalz) and it employs staff in development, services, logistics, and production sites in Germany (Auerbach), China (Zhuhai), and Austria (Vienna), as well as in multiple sales offices in Germany (Munich, Auerbach), France (Paris), Sweden (Landskrona), the USA (Kenosha), China (Shanghai) and Taiwan (Taipei). For more information, visit:https://ir.cherry.de/en/
  Contact CHERRY SE
Viona Brandt
Investor Relations
A: Rosental 7, c/o Mindspace, 80331 Munich, Germany
T: +49 (0) 9643 2061 898
E: ir@CHERRY.de