TAKKT AG's Management Proposes Dividend Suspension

TAKKT AG's Management Board has proposed suspending dividend payments following a challenging financial year in 2025. The company reported a 6.6% decline in organic sales, with total sales at EUR 964.3 million compared to the previous year. The adjusted EBITDA margin dropped to 3.8% from 6.9%, and free cash flow fell to EUR 10.3 million.

Despite this drop, the results align with TAKKT's guidance, which anticipated a sales contraction and tight margins. However, goodwill impairments of EUR 125.5 million heavily impacted earnings per share, which stood at minus EUR 1.88.

Given these circumstances, TAKKT aims to focus on strengthening its business model and will hold off on dividend payments for 2025. Previous dividends were EUR 0.60 per share. Resumption of dividends will depend on sustainable improvement in earnings and cash flow.