Machine management: This is how the TK Elevator business is progressing

The machine and the acquisition of TK Elevator will take place in the second quarter of next year at the earliest, says Kone’s CFO Ilkka Hara in connection with the company’s second quarter results announcement.

The deal still requires the approval of the competition authorities. If implemented, the acquisition would make Kone the world’s largest elevator company in terms of turnover.

“At this stage, we are filling out the documents required by the authorities. The process is progressing as planned in all market areas. We have also started planning the integration of Kone and TK Elevator, which I think both parties are very committed to,” says Hara.

“When the process is completed, we can focus on implementation and creating synergies. I feel very confident about this.”

Order book growing, stock falling

In the second quarter of the year, Kone received new orders for 2,560 million euros, which is 2,420 million more than analysts expected. At the same time last year, new orders came in for 2,320 million.

Kone’s CEO Philippe Delorme the increase in new orders tells about the functionality of the company’s strategy.

“Order volumes are growing by double-digit percentages, and orders from our modernization business increased by more than 15 percent, which indicates the effectiveness of our growth-driven strategy,” says Delorme.

According to Delorme, growth translates into stronger margins and cash flow.

Kone’s turnover increased to 2,940 million euros in the second quarter, while last year at the same time it was 2,850 million euros. The average analyst forecast expected turnover to be EUR 2,970 million.

The company made an operating profit of 322 million euros in April–June, while last year at the same time the operating profit was 338 million euros. The consensus of analysts expected the operating profit to be 350 million euros.

In adjusted figures, Kone says that the operating profit was 370 million euros in the second quarter, while in the second quarter of 2025 last year it was 347 million euros. Analysts’ consensus expected the latest adjusted operating profit to be 374 million euros.

Kone’s profitability improved by 0.4 percent in the second quarter of the year, says CFO Hara.

After the opening of the Helsinki Stock Exchange on Wednesday, Kone’s share is down about three percent. The company kept its market and business outlook unchanged.

“The combination will work really well”

According to Delorme, the merger of Kone and TK Elevator is helped by the fact that the strategies of the companies are in many respects the same.

“TK Elevator and Kone both invest in maintenance, digitalization of services, modernization and competitiveness in residential buildings. On a strategic level, our views converge strongly.”

“We also share views on the importance of customer orientation and safety. That’s why I’m hopeful and confident that this combination will work really well,” says Delorme.

Kone’s share was down about 3.1 percent on the Helsinki stock exchange after one in the afternoon on Wednesday. The acquisition has caused uncertainty among investors, which has been reflected in the fact that Kone’s share price has fallen by approximately 23 percent since the beginning of the year.