Lectra maintains momentum as recurring revenue grows 2%

Lectra, the Bordeaux-based specialist in cutting solutions and machinery for the flexible materials industry, reported revenue of €383.1 million for the first three quarters. This 2% contraction masks a 2% increase in recurring revenue, which now accounts for 75% of total revenue.

The third quarter proved challenging, with revenue down 8% on a reported basis and 4% on a like-for-like basis, to €121.8 million. Net profit fell by 29% to €7.2 million.

Over the January–September period, the group generated EBITDA before non-recurring items of €62.6 million, down 8% on a like-for-like basis. This reflects a challenging business environment, prompting the group to adopt a cautious stance for the remainder of the year, particularly given customers’ wait-and-see attitude amid the U.S. trade war, which is most notable in relation to Mexico, China, and India.

“The need to diversify sources of supply and their countries of origin remains relevant for all affected companies. This could, in the medium and long term, entail additional production capacity and create business opportunities for Lectra,” said the company, which generates less than 10% of its revenue from European or Chinese exports of equipment, consumables and parts to the United States.

With a workforce of 3,000, Lectra generated revenue of €526.7 million in 2024. This represents a 10% increase over the 2023 financial year, accompanied by a 15% rise in EBITDA to €91.1 million.

Financial year 2025 marks the end of the 2023–2025 three-year roadmap set by the company. The next phase of the company’s strategy, geared toward Industry 4.0, will be outlined in the 2026–2028 strategic roadmap, to be presented on February 12. In a challenging economic environment, the group intends to focus particularly on its fundamentals.