LION E-Mobility AG (LION; ISIN: CH0560888270), a manufacturer of battery packs for electric mobility and energy storage, has reported its Q1 2026 results, showing a decline in revenue but maintaining profitability and strong cash flow as it undergoes a strategic production upgrade. The company posted revenue of EUR 3.3 million for the first quarter, compared to EUR 6.5 million in Q1 2025, a decrease attributed to the planned conversion of production lines to new high-performance NMC+ battery cells.
Despite lower revenue, EBITDA remained positive at EUR 0.3 million (Q1 2025: EUR 1.5 million), yielding an EBITDA margin of 10.1%. Operating cash flow improved significantly to EUR 3.0 million, up from EUR 1.0 million in the prior year, driven by cost discipline and better payment terms from suppliers. The company noted that the Q1 results reflect the strategic transition to battery packs with the new NMC+ cells, which will be available for sale starting in Q3 2026.
CEO Dr. Joachim Damasky commented: "The conversion of our production lines to the new high-performance battery cells is progressing well. This is an important step toward future growth. The demand for the new battery packs is already high and with production set to resume at the end of June, we expect a significant uplift in revenues in the second half of the year. Thus, we remain optimistic about the development in 2026, also supported by the momentum we see in our BESS business."
LION's Battery Energy Storage Systems (BESS) business is gaining traction. The company successfully sold its first BESS project in Q4 2025, a 5 MW / 20 MWh installation scheduled to go into operation in summer 2026. This milestone marks LION's strategic expansion into large-scale energy storage solutions, leveraging its cost expertise, German engineering, and bankability. The pipeline of BESS quotations now exceeds 7.5 GWh, involving more than ten customers. A second project in Germany for 5 MW / 10 MWh is in final negotiations, with delivery expected in 2026. To support this growth, LION has strengthened its sales team with three new hires dedicated to the BESS segment, while strategic partner LEAPENERGY is intensifying activities in the German market. The combination of tailored payment terms and a robust guarantee framework positions LION competitively.
Additionally, the defense sector presents growth opportunities. LION is working on several defense-related inquiries, including a collaboration with Mandrill Engineering, where its high-performance battery technology powers an advanced unmanned ground vehicle (UGV), enabling reliable performance and extended mission capabilities in demanding environments.
Looking ahead, LION confirms its fiscal 2026 outlook, expecting revenue above EUR 35 million and a strongly positive EBITDA. However, Q2 2026 will see a temporary impact from a planned two-month factory shutdown for conversion works, with operations resuming at the end of June. Second-quarter sales are expected to be higher than Q1, coming from remaining inventories already sold. A significant portion of 2026 revenues is therefore anticipated in the second half of the year.
For more details, refer to the original press release on NewMediaWire.
