Aebi Schmidt

Positives: municipal and airport demand is mission critical and non-discretionary, creating recurring replacement cycles and predictable aftermarket.

Q1 2026 communications reported order intake up 9 percent year over year, backlog up 23 percent to about 1.3 billion dollars, and 2026 guidance points to mid to high single digit sales growth with improving adjusted EBITDA. Diversification across two home markets with local-for-local manufacturing also reduces tariff and logistics risks.

Offsets: the goods transport segment (walk-in vans, service bodies) is cyclically exposed to rates and freight activity, and cash conversion remains volatile given working capital swings. Blue Arc EV investment has been put in deep cost-cut mode which reduces execution risk but also removes a potential high-growth vector.

Overall visibility is above average for an industrial, but below our highest tier subscription-like businesses.