NKT raises profit expectations on strong execution

Danish cable manufacturer NKT has increased its expectations for its full-year operating profit, now anticipating earnings between 400 and 430 million euros. This upward revision surpasses the company's previous forecast of 360 to 410 million euros.

The company attributes this improved outlook to strong performance across its business segments. The Transmission division, which handles high-voltage cables, and the Grid Solutions & Accessories segment, involved in cable repair and related products, have made the most significant contributions. NKT announced the upgrade alongside its second-quarter financial results.

In the second quarter, NKT's operating profit stood at 104 million euros, roughly consistent with the same period last year. However, revenue, measured in standard metal prices, declined by 9 percent to 657 million euros. NKT explained this decrease was partly due to the completion of the large Champlain Hudson Power Express project in the United States, which led to a lower activity level compared to the second quarter of 2025.

Despite the quarterly revenue dip, NKT maintains a strong financial position with a substantial order backlog. At the end of the second quarter, the Transmission business alone had an order book valued at 13 billion euros. Additionally, the company holds a framework agreement with grid operator TenneT for five projects totaling over 2.5 billion euros. NKT, a major publicly listed company in Denmark, employs nearly 7,000 people and produces energy cables for various sectors, including wind farms, construction, and transmission networks.