GPV strengthens Q3 profitability amid soft market
Danish EMS provider GPV reported stable profitability in the third quarter despite soft demand and continued market normalisation, narrowing its full-year 2025 guidance after a performance broadly in line with expectations.
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 the company's global manufacturing footprint.
GPV reported Q3 2025 sales of DKK 2,2 billion, roughly unchanged from a year earlier. EBITDA came in at DKK 172 million, including DKK 10 million in one-off restructuring costs linked to ongoing optimisation of its global manufacturing footprint, compared with DKK 186 million in the same period last year.
For the first three quarters of 2025, GPV generated sales of DKK 6.6 billion and EBITDA of DKK 470 million, with a steadily improving margin through the year. Operating cash flow reached DKK 515 million, exceeding expectations, while working capital fell 8.6% year-on-year to DKK 2.4 billion at 30 September.
“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, in a press release.
Lybæk said GPV has maintained sales by onboarding new customers despite reduced orders from some existing clients.
Footprint optimisation progress
GPV continued to streamline its production network in 2025, consolidating cable-harness production in Slovakia and Sri Lanka, completing the consolidation of its electronics activities in Slovakia into the new Piestany mega-site and the established Nova Dubnica, and advancing mechanics consolidation in Thailand.
These initiatives are intended to reduce costs, improve efficiency, and enhance capacity utilisation, with short payback periods. The optimisation programme is part of efforts to realise synergies from GPV’s 2022 combination with Enics.
The company said supply-chain conditions have largely normalised, though sporadic component lead-time fluctuations persist. Geopolitical tensions and trade-policy uncertainty, particularly between the US and China, continue to 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 says.
Narrowing the outlook
Reflecting year-to-date results and current market visibility, GPV narrowed its full-year 2025 guidance to sales of DKK 8.7–8.9 billion (from DKK 8.7–9.2 billion previously) and EBITDA of DKK 620–650 million (from DKK 600–650 million). The outlook includes about DKK 30 million in one-off restructuring costs, roughly half of which have 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.
