LPKF Laser & Electronics SE reported a challenging first half of 2026, with revenue falling 38.3% to EUR 36.5 million from EUR 59.2 million in the prior-year period, driven primarily by investment reluctance in the solar segment and a delayed technological shift toward perovskites. The company, however, emphasized its strong position in Advanced Packaging with its LIDE technology and progress in its North Star transformation program.
In the second quarter, revenue dropped to EUR 19.3 million from EUR 33.8 million a year earlier. EBIT for the first half was EUR -14.1 million, compared to EUR -1.7 million in the prior year, while adjusted EBIT stood at EUR -10.4 million. The order backlog as of June 30 was EUR 34.7 million, nearly flat year-over-year, but new orders fell to EUR 19.9 million from EUR 43.0 million.
“Overall, the figures for the first half of the year are not satisfactory, as global crises are having a broad impact on our core business,” said Klaus Fiedler, CEO of LPKF SE. “At the same time, we see that with LIDE, we are very well positioned in Advanced Packaging for AI applications, and that, according to the latest market analyses, the revenue potential is significantly better than previously assumed.”
The company’s LIDE (Laser Induced Deep Etching) technology, used for crack-free, high-precision glass processing in semiconductor packaging, has gained traction. LPKF conducted a comprehensive reassessment of the addressable market in Advanced Packaging, estimating that the Total Addressable Market (TAM) for its process solutions could grow to approximately EUR 1.7 billion by 2030, up from a previous estimate of EUR 500 million. Key drivers include AI-driven expansion of high-performance computers and increased wafer starts for high-performance chips.
In the second quarter, LPKF received an order for a LIDE system from a leading specialty glass manufacturer aiming 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.
The North Star transformation program, led by CFO Peter Mummler, achieved milestones including the completion of the first wave of workforce reduction and refinement of future organizational and process structures. “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.
Segment-wise, the Development segment saw slightly lower revenue but higher order intake, with solid demand from defense and research. The Electronics segment reported higher revenue and order intake despite a weak second quarter, with strong demand for PCB depaneling solutions. The Solar segment experienced significant declines due to customer hesitation ahead of the perovskite technology shift, while the Welding segment saw lower revenue and negative earnings, though structural adjustments are underway.
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 Management Board aims to achieve a sustainable double-digit EBIT margin by 2028, driven by growth in Advanced Packaging and other segments. Despite current challenges, the company sees significant opportunities in LIDE and perovskite technology transitions.
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