#Netherlands #Nedap #Digital Twin Technology #Livestock #Groenlo

Overview of Nedap's Recent Financial Success

In the first half of 2026, Nedap N.V. reported a revenue increase of 13%, reaching €152.0 million, compared to €134.9 million during the same period in 2025. This growth was largely driven by strong performance in key markets, which saw a 14% revenue increase. Notably, the company's recurring revenue rose by 17%, constituting 42% of total revenue, in contrast to 40% in the previous year. The strong figures are a testament to Nedap's ongoing commitment to its Step Up! strategy, which emphasizes the adoption of innovative solutions.

CEO Statement on Growth

Rob Schuurman, the CEO of Nedap, highlighted that all four key markets contributed positively to revenue growth in the first half of 2026, with the Livestock sector making significant strides. Schuurman noted, "The continuous expansion of our recurring revenue demonstrates the increasing integration of our Digital Twin Technology solutions into the core operations of our customers. Additionally, the growing contribution of recurring revenue to our overall profitability showcases the effectiveness of our business model."

Detailed Financial Figures

Key financial metrics for the first half of 2026 underscore Nedap's robust fiscal health:

• - Operating Profit: Increased to €18.3 million from €13.8 million in H1 2025, marking a 33% rise.
• - Operating Margin: Improved to 12.1% from 10.3% in the previous year.
• - Net Profit: Reached €14.7 million, representing a 35% surge as compared to €10.9 million in H1 2025.
• - Earnings per Share: Grew from €1.65 to €2.22.

The increase in recurring revenue indicates solid demand for Nedap's innovative technology, especially within the Healthcare and Livestock markets, which are seeing significant advancements due to data-driven insights.

Future Outlook and Strategy

Looking ahead, Nedap anticipates continued revenue growth in the latter half of 2026, driven by an expanding customer base. Schuurman emphasized the focus on sustainable long-term growth, with continued investments into technology, AI, and cybersecurity. He noted that geopolitical factors and shifting market conditions could affect the revenue growth pace.

Investments and Innovations

Nedap has been actively investing in its technology platform to enhance its offerings. Investments in cloud infrastructure, cybersecurity, and AI facilitate a broader application of their solutions across various markets. For instance, technology developed for the Ons® Suite in Healthcare is now being utilized across other platforms, reflecting a strategic approach to maximizing resources within the company. A dedicated Chief Technology Officer has also been appointed to oversee technology initiatives within the organization.

Developments in Key Markets

Healthcare

The first half of 2026 saw new customer acquisitions in Healthcare, targeting sectors like disability care and general practice. The Ons® Suite has been particularly successful, aligning with the workflows of care professionals and demonstrating Nedap’s commitment to creating a connected healthcare environment.

Livestock

The demand for data-driven insights in livestock farming continues to rise, with the Cow Monitoring Platform and related technologies gaining traction among dairy farmers. This sector's growth validates Nedap's focus on providing technology that offers real-time insights and improves herd management.

Retail

In the retail sphere, long-term partnerships signify a robust appetite for Nedap's Inventory Engine, helping retailers optimize inventory management and create seamless omnichannel experiences. As the retail landscape evolves, Nedap's technology remains pivotal in adapting to consumer demands.

Security

The Security market has also shown resilience, with an uptick in customer investments in efficient access management solutions. The launch of cloud-based offerings has bolstered recurring revenue in this sector, further establishing Nedap’s presence in growing markets, including a recent office opening in Saudi Arabia.

Conclusion

The results from the first half of 2026 underscore Nedap's position as a leader in the Digital Twin Technology space, effectively bridging both digital and physical realms. As the company continues to expand its technological innovations and market presence, stakeholders can expect sustained growth and enhancement of Nedap’s robust service offerings across various sectors. With a focus on value creation and customer-centric solutions, Nedap is well-positioned for future accomplishments as it navigates the complexities of the market landscape.