Integrated Annual Report (annual report 2025 en)

ANNUAL REPORT

#SWISSQUALITY

‌2025 RESULTS AT A GLANCE

Stadler - the provider of mobility solutions

in rail vehicle construction, service and signalling technology

Net revenue by geographical market

Net revenue

32.3

ORDER BACKLOG

IN CHF BILLION PREVIOUS YEAR: 29.2

4.4%

EBIT MARGIN

PREVIOUS YEAR: 3.1%

17,119

EMPLOYEES WORLDWIDE

(Ø FTE 2025)

PREVIOUS YEAR: 15,203

6.1

ORDER INTAKE

IN CHF BILLION PREVIOUS YEAR: 6.4

33,437

REGISTERED SHAREHOLDERS

AS AT 31 DECEMBER 2025

PREVIOUS YEAR: 35,714

160.6

EBIT IN CHF MILLION

PREVIOUS YEAR: 100.5

100.7

NET PROFIT IN CHF MILLION

PREVIOUS YEAR: 55.0

10.0

TONNES OF CO2SCOPE 1

AND 2 PER CHF MILLION OF REVENUE

PREVIOUS YEAR: 12.1

4 Stadler Annual Report 2025

1 Gross margin is calculated as net revenue less cost of goods sold and services provided

2 EBITDA is calculated as the sum of EBIT and depreciation and amortisation

3 Capital expenditure is calculated as the sum of investments in property, plant and equipment and intangible assets less grants received for property, plant and equipment and intangible assets

4 Free cash flow is calculated as EBITDA less capital expenditure less change in net working capital

5 Net working capital is calculated by subtracting the sum of trade payables, liabilities from work in progress, other current liabilities, current provisions and deferred income and accrued expenses from the sum of trade receivables, inventories, work in progress, other current receivables, compensation claims from work in progress and accrued income and deferred expenses

6 Work in progress (net) is calculated as work in progress (asset) less liabilities from work in progress

7 Net cash is calculated as cash and cash equivalents less current and non-current financial liabilities

Stadler Annual Report 2025 5

6 Stadler Annual Report 2025 - Company profile

8

8

8

80+

‌PRODUCTION LOCATIONS

COMPONENT PLANTS

ENGINEERING LOCATIONS

SERVICE LOCATIONS

Company profile - Stadler Annual Report 2025 7

Stadler has been building trains for more than 80 years. Since the company was founded in 1942, Stadler has developed from a small engineering office into a leading international provider of mobility solutions in rail vehicle construction, service and signalling technology. The headquarters is located in Bussnang, in eastern Switzerland. Across its production, engineering, and service sites in Switzerland, Europe, the United Kingdom, and the USA, the company employs more than 17,100 people, around 6,000 of whom work in Switzerland.

Stadler is conscious of its social responsibility for sustainable mobility and stands for innovative, durable products of the highest quality. The company is the market leader in the field of sustainable drive solutions such as battery and hydrogen trains and, as a driver of innovation, offers the broadest product portfolio in the industry. Its range of products for mainline and urban transport includes high-speed trains, intercity trains, regional and suburban trains, underground trains, tram trains and trams. Stadler also manufactures mainline locomotives, shunting locomotives and passenger coaches. In addition, Stadler is the world's leading manufacturer of customised vehicles (Tailor Made). This includes rack railways, which Stadler is the only company in the world to produce.

In the field of signalling technology, Stadler provides individual solutions for mainline, branch line, light rail vehicle (LRV), metro and depot applications. Stadler's digital solutions and services ensure efficient, digital and sustainable rail operations. The broad signalling portfolio includes solutions for automated train operation and even for driverless operation, European and national automatic train protection systems, as well as conventional and state-of-the-art infrastructure technology. Innovative interlocking technology in particular forms the fundamental basis for high-performance, future-proof rail operations.

Stadler has over 80 service locations around the world where it offers its customers services ranging from the supply of individual spare parts to full-ser-vice solutions. Stadler's extensive geographical base enables it to remain close to its customers and products, even after the sale of its rail vehicles, to fulfil regional requirements as fully as possible and to optimise the life cycle of its vehicles, thereby ensuring that its products are both economical and environmentally friendly. At the same time, the findings from operational maintenance can be incorporated into the development of future products.

The Signalling division is strengthening its strategic focus and continuing its expansion abroad.

Corporate strategy - Stadler Annual Report 2025 9

Stadler defines its strategy for the coming years in the three reporting segments "Rolling Stock", "Signalling" and "Service & Components". In the "Rolling Stock" segment, Stadler is pursuing its current course and endeavouring to normalise its operating growth. The aim is to selectively gain market share with the best trains and new products such as green drive technologies (battery and hydrogen), locomotives, light rail vehicles and underground trains. The focus is on highly efficient, on-time processing of incoming orders - in line with the quality standards expected by its customers.

By opening the first strategic Signalling location in Atlanta, USA, the company is strengthening its independence and operational proximity to the North American market. The new location will enable Stadler to provide direct support for the major project being undertaken by the Metropolitan Atlanta Rapid Transit Authority (MARTA) involving the NOVA Pro CBTC system. With a volume of over USD 500 million, this project marks a significant milestone for the international development of the division.

At the same time, Stadler has also successfully reinforced its position in Europe. The company has been awarded a contract to equip the next expansion stage of the light rail network in Bergen, Norway, with a train detection system, interlocking technology and a fully integrated control centre. In addition, the GUARDIA ETCS solution continues to be used and optimised in several European countries. This confirms the technological sovereignty of Stadler's Signalling Division. As one of the three strategic pillars of the Group, signalling technology makes a key contribution to Stadler's further development as a system provider.

In the "Service & Components" segment, Stadler is experiencing growth in the open markets and above all in the company's installed base. Innovations are being introduced in the form of new service solutions such as digital twins and the Rail Diagnostic System. The sector is receiving an additional boost from digitalisation. Stadler operates fully automated maintenance centres and is playing a pioneering role in this area.

Stadler has opened its first Signalling office in Atlanta -near its customers.

10 Stadler Annual Report 2025 - Market trends

Stadler operates in a growing market (CAGR 2023-2028 according to SCI: 5.8 percent) and is expanding faster than the market as a whole. This is clearly reflected in the strong order intake seen in recent years. The growth drivers for the overall market are not only population growth and urbanisation, but also the global need to invest in public transport in order to achieve climate targets in light of environmental pollution and congestion on the roads. Stadler has the right vehicles and mobility solutions in its portfolio to manage this turning point. Transport can be decarbonised with battery and hydrogen trains, even on routes without electric overhead contact lines. Stadler is the market leader in the field of alternative drives with a market share of around 50 percent in Europe.

Stadler is driven by the goal of building the best trains for its customers and providing them with mobility solutions. In the railway sector, Stadler is one of the top 3 manufacturers worldwide; in its European home market, Stadler is aiming for a strong number 2 position. The main markets are still in Europe and North America. One of the company's main focuses is on the multiple unit, light rail vehicle and locomotive segments.

Stadler has grown rapidly in recent years, particularly in the USA. The Salt Lake City plant was managed by its own separate North America Division for the first time in the reporting year. Following the order from Trinity Metro from Texas (USA) for eight diesel-electric FLIRT trains in 2015, Stadler established its US headquarters in Salt Lake City in 2016.

In doing so, Stadler made sure it complied with the "Buy America Act", which stipulates that at least 70 percent of the added value of government-financed projects must be generated in the USA. Since then, Stadler has been operating successfully on the US market, regularly obtaining new orders and experiencing continuous growth. Over 500 people currently work at the site. Since November 2025, car bodies have been manufactured in the company's own plant in the USA for the first time, meaning they no longer have to be shipped from Europe to North America at great expense. The foundation stone for the expansion of the site was laid back in October 2024 - the larger plant with a higher production capacity is scheduled to open in 2026.

The Signalling Division also opened its own offices in the heart of Atlanta in the USA during the reporting year. The new site in the USA marks the first major international expansion of the Signalling Division and represents an important step for the further development of signalling activities in North America. Stadler Signalling has been tasked with equipping the entire rail network in Atlanta with its CBTC (Communication-Based Train Control) solution.

FLIRT EVO for SBB: In the field of multiple units, Stadler is among the three largest manufacturers worldwide.

12 Stadler Annual Report 2025 - Letter to Shareholders

‌STADLER INCREASES PROFITABILITY AND REVENUE

Peter Spuhler, Executive Chairman of the Board of Directors (l.), and Markus Bernsteiner, Group CEO (r.)

Letter to Shareholders - Stadler Annual Report 2025 13

Dear Shareholders

Stadler improved earnings in the 2025 financial year: revenue rose to 3.7 billion francs and the EBIT margin stood at 4.4 percent. The 2025 result continues to be impacted by the consequences of the massive flooding in Valencia. The economic situation in Germany and the strong franc also left their mark. However, the good order intake, strong order backlog and high-quality orders received provide positive momentum for the coming years. Revenue of well over 5 billion francs is already expected in the 2026 financial year. Due to Stadler's conservative accounting approach, production output in 2025 was over one billion francs higher than the reported revenue. Stadler expects an EBIT margin of over 5 percent in the current financial year.

Stadler closed the 2025 financial year in line with the forecasts and was able to improve its result despite ongoing challenging conditions.

• Stadler enjoys a strong position in the rail vehicle market thanks to its broad product portfolio. Stadler is also the global market leader for battery and hydrogen green drive technologies. As a result, Stadler continues to operate very successfully on the market and receives large numbers of orders. The order situation progressed well once again in 2025. Order intake totalled 6.1 billion francs last year (previous year: 6.4 billion francs), while the order backlog rose to over 32 billion francs (31 December 2024: 29.2 billion francs).

• Sales increased by 13 percent (15 percent when adjusted for currency effects) to 3.7 billion francs (previous year: 3.3 billion francs).

• EBIT totalled 160.6 million francs (previous year: 100.5 million francs). This corresponds to an EBIT margin of 4.4 percent (previous year: 3.1 percent). Net profit almost doubled to around 100.7 million francs (previous year: 55.0 million francs).

Stadler is pursuing the trajectory adopted in the course of the 2025 financial year to improve earnings. It confirmed the anticipated revenue growth announced last year of well over 10 percent in relation to 2024. It also achieved the forecast EBIT margin of between 4 and 5 percent.

14 Stadler Annual Report 2025 - Letter to Shareholders

The recovery measures implemented following the flooding in Valencia began to take effect and led to a further improvement in the second half of the year. Nevertheless, the severe environmental disaster in Valencia at the end of October 2024 and the associated damage suffered by suppliers and infrastructure continue to have a negative impact on supply chains, production and earnings. Stadler had to reorganise some of the affected supply chains, develop alternative sources of supply and adapt production processes. The stability of supply chains had improved by the end of 2025, but the consequences of the massive flooding are still likely to be felt until 2027. Despite the catch-up programme initiated by Stadler in 2025, the flooding has had an impact on the costs and deliveries of rail vehicles. This resulted in lost revenue of 350 million francs in 2024.

Stadler is the global leader for

battery and hydrogen green drive technologies. Stadler continues to be very successful on the market and receives large numbers of orders. The order situation progressed well again in 2025.»

Peter Spuhler, Executive Chairman of the Board of Directors

The strong Swiss franc is having a negative impact on Switzerland as an industrial centre. Switzerland already has higher labour and non-wage costs compared to the rest of Europe. An increasingly strong domestic currency is another negative factor that is holding back the export industry. This reduced Stadler's revenue by 50 million francs, which corresponds to 2 percent. The strong Swiss franc is further jeopardising the competitiveness of rail vehicles manufactured at Swiss sites and exported to other countries.

Stadler is expecting a call-off order for up to 1,500 metro cars from Berliner Verkehrsbetriebe (BVG) by the end of December 2026. A call-off order should also be placed by S-Bahn Berlin for over 350 trains. Berlin residents have been waiting for new S-Bahn trains since 2020. The submission date for the tender was repeatedly postponed for years.

The tariffs imposed by US President Trump have affected Stadler - but not to the full extent. Since 2016, the "Buy America Act" has forced Stadler to demonstrably generate at least 70 percent of added value in the USA. At the end of September 2025, Stadler put its in-house aluminium welding shop for car bodies into operation at its plant in Salt Lake City. This had been planned long before Trump's presidency and led to a further increase in the local share of added value in the USA.

Order intake in the "Rolling Stock" reporting segment totalled 4.4 billion francs in 2025. This is 8 percent below the prior-year period. The order backlog increased by 7 percent compared to the end of 2024 to 22.4 billion francs (31 December 2024: 20.9 billion francs). Revenue in the "Rolling Stock" segment amounted to 3.0 billion francs in 2025. This represents a rise in revenue of 10 percent year-on-year (2024: 2.7 billion francs).

Letter to Shareholders - Stadler Annual Report 2025 15

In contrast to all its competitors, Stadler applies the "units of delivery" accounting method in the "Rolling Stock" segment. Vehicles must generally be completed and accepted by the customer before the corresponding sales and earnings can be recognised. This approach means that there may be several years between the signature of the contract and the realisation of sales and earnings. As a result of this conservative accounting approach, production output in 2025 was over one billion francs higher than the reported revenue. Based on the planned deliveries and acceptances of the vehicles produced, Stadler expects revenue to leap to well over 5 billion francs in 2026.

Order intake in the "Service & Components" segment totalled 1.6 billion francs in 2025. This is 55 percent above the previous year's figure (2024: 1.0 billion francs). Stadler obtained various multi-year full-service contracts last year and continued to

grow in this segment. This underlines Stadler's strategic objective to continuously expand its service business and further increase the proportion of recurring revenue. The order backlog in the service business rose by 22 percent to 9.3 billion francs (31 December 2024: 7.6 billion francs). Revenue in the "Service & Components" segment increased by 19 percent to 607.4 million francs (2024: 510.4 million francs).

At 103.2 million francs, order intake in the "Sig-nalling" segment in 2025 was significantly below the prior-year period (2024: 520.1 million francs). The decline is due to a major order from Atlanta worth 500 million francs that was recognised at the end of 2024. The order backlog amounted to 549.9 million francs as at 31 December 2025

(31 December 2024: 616.6 million francs). The "Signalling" reporting segment generated revenue of 117.5 million francs in 2025 (2024: 49.0 million francs).

Production output equals revenue plus the delta of gross work in progress. The bar height for revenue from 2026E to 2028E illustrates the revenue guidance. The bar height for production output from 2026E to 2028E shows the expected increase in production output.

16 Stadler Annual Report 2025 - Letter to Shareholders

The consequences of the flooding

in Valencia, the economic situation in Germany and the strong franc continue to weigh on the 2025 result. However, the measures implemented by Stadler are beginning to have an effect. The good order intake, strong order backlog and high-quality orders received provide positive momentum for the coming years.»

Markus Bernsteiner, Group CEO

Stadler obtained a number of significant orders in 2025 and further expanded existing customer relationships. This confirms the company's strong market position in Europe and beyond.

• The Dutch railway operator Nederlandse Spoor-wegen (NS) and Stadler signed a contract for the delivery of 36 FLIRT trains for commuter transport. These trains will enable NS to increase capacity and comfort on the network in the Netherlands. The vehicles will be put into operation in 2030. Following this new order, Stadler has now sold more than 3,000 FLIRT vehicles in 24 countries worldwide.

• The first MGBahn and Stadler ORION multiple unit in the world to be fitted with the new "v+" rack-and-pinion brake system was presented in Andermatt. It will be used on the 181 per mil gradient on the Andermatt-Göschenen route. Thanks to the new technology, the train will be able to travel safely downhill at up to 30 km/h instead of the previous 21 km/h.

• Hydrogen trains from Stadler will run through the volcanic landscapes of Mount Etna in the future. The railway company Ferrovia Circumetnea (FCE) has ordered two customised narrow-gauge trains with hydrogen drive. Stadler is the market leader for alternative drives. No other manufacturer in Europe sells more rail vehicles with sustainable, CO2-free battery and hydrogen drives.

• Stadler Signalling beat well-known competitors to win a public tender with a project volume of around 50 million euros in Bergen (Norway). The

  customised signalling solution meets the full range of safety requirements right up to the highest level of railway technology. Almost all the components will be produced in-house at Stadler Signalling.

• Stadler has obtained a significant urban rail transport contract to deliver 132 high-floor light rail vehicles for Kölner Verkehrs-Betriebe (KVB). The order volume amounts to around 700 million euros. The modular design of the vehicles, which are specially adapted to Cologne's light rail network, will allow flexible capacity expansion.

• Stadler is supplying 36 FLIRT XL multiple units for the Rhine-Ruhr S-Bahn; the new vehicles will increase capacity and comfort in the densely frequented metropolitan area and strengthen Stadler's presence in the German S-Bahn market.

• The Luxembourg locomotive leasing company NEXRAIL has commissioned Stadler to build up to 200 EURO9000 hybrid locomotives. Stadler will build the locomotives in Valencia.

• The new EURO9000 locomotive has an innovative pantograph-battery hybrid drive which allows it to travel on non-electrified sections of routes with its own battery. The EURO9000 locomotive can be used for cross-border operations between Germany, Austria, Belgium, the Netherlands, Switzerland and Italy. This milestone in Stadler's locomotive business will support the decarbonisation of freight transport.

• Poland: Stadler is supplying 14 FLIRT trains to the Polish regional railway company Koleje Ma-zowieckie. Thanks to a long-term service contract, Stadler is further strengthening its position in Polish regional transport.

• Sweden: Stadler has received an order from the Swedish railway company A-Train AB for seven new FLIRT trains for the Arlanda Airport-Stock-holm route. The order includes a 15-year maintenance contract with Stadler Service. The vehicles will be produced in the St. Gallen Rhine Valley. Stadler will supply trains for the famous Arlanda Express for the first time with this order worth around 350 million francs.

After a free cash flow of -744.2 million francs in the first half of 2025, a positive free cash flow of 155.9

Letter to Shareholders - Stadler Annual Report 2025 17

million francs was achieved in the second half of the year despite continued high investments. This results in a free cash flow of -588.4 million francs for the full year 2025. Net working capital remains negative at -421.8 million francs (31 December 2024: -1,010.9 million francs). This means that the advance payments received from customers are still higher than the costs for the production of current orders. The net cash position as at 31 December 2025 was -275.5 million francs (31 December 2024: 368.0 million francs).

For the 2026 financial year and the following years, Stadler has confirmed its projections for revenue of well over 5 billion francs. Stadler expects an EBIT margin of over 5 percent in 2026 thanks to the strong order backlog, increase in production output and the efficiency programme launched in Germany. Order intake is likely to be in the range of 1 to 1.5 times annual revenue. This will form the basis for sustainable capacity utilisation and further growth. Stadler also anticipates total investments of around 250 million francs in 2026.

ous passion they put into finding solutions and making the impossible possible never cease to amaze us. Their dedication to the company and strong sense of teamwork remained important factors for the company's success once again last year. We have proven our ability to respond rapidly and appropriately to challenges. We have succeeded in laying the foundations for Stadler's continued success. The key figures are moving in the right direction.

Our good performance proves that our broad and innovative product portfolio sets us in good stead for continued future success in a rapidly growing market. We have also put in place targeted packages of measures to effectively tackle the various challenges we face. We would like to thank you - our shareholders - for joining us on this exciting rail journey.

We appreciate your support.

Stadler believes that it will be able to increase the EBIT margin to between 6 and 8 percent in the medium term thanks to stable supply chains and steady revenue of over 5 billion francs. The medium-term guidance has therefore been confirmed and remains unchanged.

All the information on the outlook is based on the assumption that the framework conditions will remain stable, particularly with regard to supply chains, the currency situation and global geopoliti-cal tensions.

The Board of Directors intends to put forward a proposal to the General Meeting for the payment of a dividend of 50 million francs (0.50 francs per share) for the 2025 financial year compared to 20 million francs (0.20 francs per share) in the previous year.

We would like to take this opportunity to thank our workforce of some 17,000 employees - including around 6,000 in Switzerland - for all their hard work at each of our sites. Their commitment and the obvi-

Peter Spuhler

Executive Chairman of the Board of Directors

Markus Bernsteiner Group CEO

‌Group CEO Markus Bernsteiner with two future train builders: Silvan Walser (18) and Vjollca Abdi (18).

Interview with the CEO - Stadler Annual Report 2025 19

CEO Markus Bernsteiner was interviewed by two apprentices, Vjollca Abdi and Silvan Walser, at Stadler's bogie competence centre in Winterthur. They gave the CEO a good grilling to find out how Stadler is tackling current challenges. All three of them see a great future for skilled trades at Stadler - especially with the growth of artificial intelligence (AI).

proach. We haven't received a thorough explanation of SBB's decision, either; a lot of questions remain unanswered. We want to be able to understand the logic behind the decision. That's why we decided to take legal action. We also owe it to all our employees in Switzerland, who put a lot of hard work in over the years to prepare.

20 Stadler Annual Report 2025 - Interview with the CEO

processes. The supply chains have been stable again since the end of 2025, and production is running at full capacity.

Stadler is actively shaping the

ongoing decarbonization of rail transport in Europe and the USA.»

Markus Bernsteiner, Group CEO

Vjollca Abdi, prospective design engineer at the Winterthur site, explains: "It was the team spirit and family atmosphere that convinced me to start an apprenticeship at Stadler."