KWS closes a successful fiscal year 2024/2025 and lays the foundations for profitable growth

Profitability maintained despite lower acreage; balance sheet strengthened

• Net sales* fall by 3% to €1.63 (1.68) billion (organically: –1%)
• EBITDA margin* reaches 21.1% including one-time effect (adjusted: 19.3%)
• Earnings per share* rise to €4.80 (4.24)
• Free cash flow* of €122.5 million at the high level of the previous year (€123.2 million)
• Net debt almost reduced in full and is now €8.7 (61.6) million

Reliable dividend policy continued and dividend increased again

• Proposal to the 2026 Annual Shareholders’ Meeting: Increase to €1.30 (1.25) per share
• Payout ratio of around 29% is within the range raised in the previous year

Significant progress in executing the corporate strategy

• Leading market positions in key crops consolidated in the 2026 growing season
• Significant growth in oilseed rape – the strongest-performing crop in the Cereals Segment, with a leading position in Europe
• Approval gained for more than 500 new varieties worldwide again
• Commercialization of all vegetable crops planned in the new fiscal year

Forecasts for fiscal 2026/2027 within the defined medium-term targets

• Organic net sales growth of around 3% anticipated as agricultural markets recover
• EBITDA margin of 19% to 20% targeted

*from continuing operations

“Fiscal 2025/2026 again showed clearly just how strained the environment for agriculture remains worldwide. Climate extremes, increasing disease pressure, and volatile agricultural markets pose major challenges for farmers. These clearly illustrate the contribution made by modern plant breeding: By delivering high-performance, resilient varieties, we lay the foundation for stable yields and more sustainable farming. We at KWS continue to invest consistently in our research and development so as to put innovations into practice sooner and thus enhance food security,” said Dr. Felix Büchting, Spokesperson of KWS’ Executive Board.

Dr. Jörn Andreas, Chief Financial Officer of KWS, added: “In fiscal 2025/2026, we maintained our profitability, kept our free cash flow at a high level, and further strengthened our financial position thanks to rigorous cost management. At the same time, we continued to develop KWS along our long-term priorities. As a result, we are well positioned to leverage future growth opportunities in a targeted manner. Assuming that market conditions improve, we expect to return to organic growth in line with our medium-term targets in the new fiscal year.”

 Overview of key figures (continuing operations)

Business performance in 2025/2026

The KWS Group’s net sales fell by 3% to €1,626.8 (1,676.6) million in fiscal 2025/2026. This corresponds to a 1.0% decline on a comparable basis (excluding exchange rate and portfolio effects). A key factor in this was a reduction in acreage for sugarbeet and corn.

The KWS Group’s operating income before depreciation and amortization (EBITDA) decreased by 2.1% to €343.1 (350.5) million. The EBITDA margin rose slightly to 21.1% (20.9%). EBITDA contained a positive one-time effect of €29.0 million from the sale of license rights as part of the divestment of the North American corn business. However, EBITDA in the previous year was impacted positively by the reversal of a provision for VAT risks totaling €7.7 million. After adjustment for these two special effects, EBITDA was €314.1 (342.8) million and the EBITDA margin was 19.3% (20.4%). In addition, a provision for a legal risk in the mid-single-digit million euro range, as well as negative exchange rate effects totaling approximately €14 million, reduced EBITDA in the period under review.

Gross profit fell by 5.8% to €995.8 (1,057.4) million due to the decline in net sales. The gross margin was 61.2% (63.1%). The decline was partially offset by lower costs for selling, administration, and research and development (R&D intensity: 21.0%). Net financial income/expenses improved clearly to €1.1 (–35.4) million. In particular, the higher result from equity investments of €10.0 (–33.7) million contributed to this. Income taxes totaled €81.7 (72.2) million. That gave earnings after taxes from continuing operations of €158.4 (140.0) million or €4.80 (4.24) per share.

Free cash flow from continuing operations was €122.5 million and thus at the level of the previous year (€123.2 million). Payments from the sale of the North American corn activities largely offset the decline in operating cash flow to €172.6 (227.7) million. The equity ratio improved to 61.2% (59.8%), while net debt fell to €8.7 (61.6) million.

Business performance of the segments

Net sales at the Sugarbeet Segment fell by 2.0% to €854.2 (871.8) million in the fiscal year. On a comparable basis¹, net sales were on a par with the previous year (–0.6%) despite a significant acreage decline. KWS further expanded its global leadership in the sugarbeet market in the fiscal year. The share contributed by the sustainable product innovations CONVISO^® SMART and CR+ to the segment’s net sales increased to around 63% (61%). The segment’s EBITDA fell to €358.1 (397.0) million. In the previous year, the segment result included a positive one-time effect of €7.7 million resulting from the reversal of a provision for VAT risks. The EBITDA margin remained high at 41.9% but was below the previous year’s figure (45.5%).

Net sales in the Corn Segment fell by 5.3% to €433.6 (458.1) million in a challenging market environment in Europe, equating to a decline of 1.6% on a comparable basis¹. KWS remains the market leader in silage corn and is the third-largest supplier of grain corn seeds in Europe. Market share in the entire European corn market rose to 13% (11%). The segment’s EBITDA increased significantly to €92.2 (52.7) million. The EBITDA margin improved to 21.3% (11.5%). EBITDA includes a positive one-time effect of €29.0 million from sale of license rights as part of the divestment of the North American corn business. Excluding this effect, the EBITDA margin was 14.6%, likewise higher than in the previous year.

Net sales in the Cereals Segment rose slightly by 0.2% to €263.9 (263.3) million. The increase on a comparable basis¹ was 0.6%. Revenue from oilseed rape seed rose significantly, while net sales of rye, wheat and barley seed declined. The segment’s further activities generated low revenues. EBITDA was €34.6 million and thus below the level of the previous year (€42.9 million). This is mainly attributable to a provision for a legal risk in the medium single-digit million euro range, as well as higher research and development expenditure.

Net sales in the Vegetables Segment fell by 6.4% to €67.5 (72.1) million in the year under review. They decreased by 6.8% on a comparable basis¹. The decline is attributable to several effects, including a high basis for comparison in the Asia business, which benefited from special influences in the previous year. KWS maintained its strong market position and remains the market leader in spinach seed. The segment’s EBITDA decreased to –€25.8 (–€22.0) million as a result of the planned increase in expenditure on establishing vegetable breeding activities and the distribution organization.

Net sales in the Corporate Segment fell to €7.5 (11.3) million in the period under review. They are mainly generated from KWS’ farms in Germany, France and Poland. Since all cross-segment costs for the KWS Group’s central functions and central research expenditure that cannot be allocated to the segments are charged to the Corporate Segment, its income is usually negative. The segment’s income (EBITDA) improved to –€116.0 million compared with –€120.1 million in the previous year.

Planned appropriation of profits: Increase in the dividend to €1.30 (1.25) per share

In compliance with KWS’ dividend policy, the Executive and Supervisory Boards will propose a dividend of €1.30 (1.25) per share for fiscal year 2025/2026 to the Annual Shareholders’ Meeting on December 1, 2026. This would result in a distribution of €42.9 (41.3) million to the shareholders of KWS SAAT SE & Co. KGaA, corresponding to a payout ratio of 28.9% of the adjusted earnings after taxes.

Forecasts for the 2026/2027 fiscal year

Provided the agricultural environment recovers, KWS assumes that net sales will grow by 3% year over year on a comparable basis¹ in fiscal 2026/2027. The EBITDA margin is expected to be in the range of 19% to 20% and thus in line with the medium-term targets.

¹ Excluding exchange rate and portfolio effects

Conference call for analysts and investors

A conference call for analysts and investors with Dr. Jörn Andreas (CFO) will be held today starting at 9 a.m. (CEST) on the publication of the 2025/2026 financial statements (see details here). The 2025/2026 Annual Report can be downloaded from the KWS website.

About KWS

KWS is one of the world’s leading plant breeding companies. Around 5,200 employees* in over 70 countries generated net sales of approximately €1.63 billion in fiscal 2025/2026. KWS has operated independently as a family business for 170 years. It focuses on plant breeding and the production and sale of seed for sugarbeet, corn, cereals, vegetables, oilseed rape and sunflowers. KWS uses leading-edge plant breeding methods to continuously improve yield for farmers and plants’ resistance to diseases, pests and abiotic stress. To that end, the company invested approximately €340 million in fiscal year 2025/2026 in research and development.

*excluding seasonal workers

More information: www.kws.de. Follow us on LinkedIn and Bluesky.

Contact

Peter Vogt  
Head of Investor Relations

Phone: +49-30 816914-490

peter.vogt@kws.com

Gina Wied

Head of Corporate Communications

Phone: +49 5561 311-1427 
gina.wied@kws.com