Rieter completed the largest acquisition in its history in February 2026, integrating Barmag to form a new Man-Made Fiber Division. The Swiss textile machinery group now stands as the world's largest system supplier for processing both natural and man-made fibres. Stay current with corporate developments like this on the textilezon.com Info Center.
Barmag Acquisition Creates the World's Largest Fibre Supplier
The Barmag acquisition closed on 2 February 2026, establishing Rieter's Man-Made Fiber Division and accelerating the company's entry into a fast-growing global market segment. The deal significantly strengthened Rieter's presence across Asia, where man-made fibre production is concentrated.
Early integration efforts are already generating operational benefits. Rieter achieved initial savings in material procurement and operating costs during H1 2026. The company forecasts total synergies of at least CHF 20 million by the end of the 2028 financial year.
Because the deal closed in early February, Barmag contributed only five months of financial results to the H1 2026 reporting period. Even so, its impact on order volumes and overall group revenue was immediate and substantial.
H1 2026 Performance: Strong Growth, Transition-Phase Costs
Order intake surged 56% year on year to CHF 554.1 million, compared with CHF 355.4 million in H1 2025. The new Man-Made Fiber Division contributed CHF 261.3 million in orders, accounting for a significant share of that increase.
Group sales climbed 72% to CHF 576.7 million, up from CHF 336.2 million in the first half of 2025. Rieter's order backlog reached approximately CHF 760 million at end-June 2026, well above the CHF 510 million recorded a year earlier, providing stronger revenue visibility for H2.
Profitability remained under pressure during this transition period. Rieter reported a net loss of CHF 54.9 million, compared with CHF 20 million in H1 2025, driven by higher financing costs and acquisition-related accounting effects. Operating EBIT, adjusted for restructuring and transaction charges, stood at negative CHF 6.3 million.
Free cash flow was negative at CHF 96.3 million, reflecting the net loss and increased working capital tied to orders scheduled for later delivery. Demand for consumables and spare parts in the Components & Technology Division rose 3%, indicating improving capacity utilisation at spinning mills globally.
Full-Year Guidance Maintained; Recycling Partnership Launched
Rieter reaffirmed its full-year 2026 financial guidance, targeting group sales of CHF 1.3–1.5 billion alongside a positive operating EBIT margin of 0–3%. Management describes 2026 as a transition year, with integration activities and restructuring measures from 2025 running in parallel.
In June 2026, Rieter also formed a strategic partnership with Recycling Powerhouse to accelerate large-scale adoption of textile recycling technologies. Under the agreement, Rieter contributes expertise in textile waste tearing and short-fibre spinning to develop scalable, industrial circular manufacturing systems.
Rising textile waste volumes and growing B2B demand for sustainable fibre solutions are creating significant market opportunities across the industry. Rieter expects stronger earnings in H2 2026 as integration synergies increase and operating leverage improves across the enlarged group.
Frequently Asked Questions
What is the Barmag acquisition and why is it significant for Rieter?
Rieter completed the acquisition of Barmag on 2 February 2026, making it the company's largest-ever deal. The transaction established a new Man-Made Fiber Division and positioned Rieter as the world's largest system supplier for both natural and man-made fibre processing.
How did the Barmag acquisition affect Rieter's H1 2026 financial results?
The acquisition drove a 56% increase in order intake to CHF 554.1 million and a 72% rise in group sales to CHF 576.7 million. Integration and restructuring costs contributed to a net loss of CHF 54.9 million for the period.
What is Rieter's financial outlook for full-year 2026?
Rieter reaffirmed full-year guidance of CHF 1.3–1.5 billion in group sales and a positive operating EBIT margin of 0–3%. The company expects a stronger second half as Barmag integration synergies build and global market conditions continue to improve.
