LPKF Laser & Electronics SE released its half-year financial report on July 23, 2026, revealing a challenging first half marked by global economic and geopolitical pressures. Revenue fell to EUR 36.5 million, a 38.3% drop from EUR 59.2 million in the prior year, driven primarily by investment reluctance in the solar segment and delayed adoption of perovskite technology. Despite this, the company made significant strides in its LIDE (Laser Induced Deep Etching) technology for Advanced Packaging in semiconductors, which it now sees as a key growth driver with a total addressable market of approximately EUR 1.7 billion by 2030, up from a previous estimate of EUR 500 million.
The company's North Star transformation program, led by CFO Peter Mummler, progressed with the completion of the first wave of workforce reductions in the second quarter. The program aims to establish clearer responsibilities and process-driven workflows to reduce costs and improve competitiveness. "North Star is a key lever for lowering our cost base, increasing our resilience, and at the same time securing our innovative strength," said Mummler.
In the Advanced Packaging market, LPKF's LIDE technology is being used by leading semiconductor customers and is recognized for enabling crack-free, high-precision glass processing. The company expanded its portfolio to include additional process steps, enhancing its strategic relevance. During the second quarter, LPKF received an order for a LIDE system from a leading specialty glass manufacturer to qualify for future supply chains in Advanced Packaging. Additionally, Penn State University ordered a LIDE system to demonstrate glass substrates for industrial semiconductor applications. LPKF is also developing solutions for singulation of glass-based packages, laser-based bonding of multilayer glass stacks, and integration of co-packaged optics on glass substrates.
Segment performance varied widely. The Development segment saw good capacity utilization, with slightly lower revenue but significantly higher order intake, particularly from China and Europe, despite delays in U.S. budget approvals. The Electronics segment reported higher revenue and order intake year-over-year, though geopolitical tensions caused shipment delays; demand for PCB depaneling solutions remained strong. The Solar segment experienced a sharp decline, with customers postponing investments amid the anticipated shift to perovskite technology, which negatively impacted consolidated revenue. The Welding segment saw revenue fall and earnings turn negative, though realignment toward consumer electronics, smart robotics, and medical technology is progressing, with structural adjustments at the Fürth location showing initial positive effects.
Looking ahead, LPKF confirmed its full-year forecast for 2026, expecting consolidated revenue of EUR 105 to 120 million and an adjusted EBIT margin between -3.0% and 4.5%. The company anticipates positive momentum in the Solar and Electronics segments in the second half. CEO Klaus Fiedler commented, "Overall, the figures for the first half of the year are not satisfactory... At the same time, we see that with LIDE, we are very well positioned in Advanced Packaging for AI applications." The management board aims for a sustainable double-digit EBIT margin by 2028, driven by growth in semiconductor applications, SMT, and Rapid PCB Prototyping, as well as the eventual transition to perovskite solar technology.
