LPKF Reports Half-Year Results; LIDE Technology Positions Company for Advanced Packaging Growth in Texas and Beyond

LPKF Laser & Electronics SE, a key player in laser-based manufacturing solutions, released its half-year financial report for 2026, revealing a revenue decline of 38.3% to €36.5 million compared to €59.2 million in the prior year. The drop was primarily driven by investment reluctance in the solar segment as the industry awaits a technological shift to perovskite cells. However, the company is making significant strides in Advanced Packaging for semiconductors with its LIDE (Laser Induced Deep Etching) technology, which is gaining traction among leading semiconductor customers and research institutions.

The company's LIDE technology, recognized for enabling crack-free, high-precision glass processing, has been further established as a key technology in Advanced Packaging for AI applications. LPKF conducted a comprehensive reassessment of the addressable market in Advanced Packaging during the second quarter, estimating the Total Addressable Market (TAM) for its process solutions could grow to approximately €1.7 billion by 2030, up from a previous estimate of €500 million. This revision is driven by AI-related expansion of high-performance computers and increased wafer starts for high-performance chips, which boost demand for Advanced Packaging applications.

LPKF's strategic position in Texas and the broader U.S. market is reinforced by recent orders. In the second quarter, the company received an order for a LIDE system from a leading specialty glass manufacturer 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. These developments underscore the growing relevance of LPKF's technology in the U.S. semiconductor ecosystem, which includes Texas as a hub for chip manufacturing.

The company is also progressing with its internal North Star transformation program, led by CFO Peter Mummler. The first wave of workforce reduction was completed in the second quarter, and the organizational structure has been refined to establish clear responsibilities and process-driven workflows. The program aims to lower costs, increase resilience, and secure innovative strength, positioning LPKF to benefit from growth drivers in Advanced Packaging and the semiconductor industry. CEO Klaus Fiedler noted that while the half-year figures are unsatisfactory due to global crises, LIDE positions the company well for AI applications, and the revenue potential is now seen as significantly better than previously assumed.

In the Electronics segment, revenue and order intake were significantly higher than the prior-year figures despite a weak second quarter, with strong demand for precise laser cutting of printed circuit boards. The Development segment reported good capacity utilization, with increased order intake from China and Europe, though U.S. business faced delays from budget approvals. The Solar segment remained challenging, with customers holding back investments in anticipation of the shift to perovskite cells. The Welding segment saw revenue decline, but realignment toward consumer electronics, smart robotics, and medical technology is progressing.

Looking forward, LPKF confirms its full-year forecast of consolidated revenue between €105 million and €120 million and an adjusted EBIT margin between -3.0% and 4.5%. The Management Board is confident about medium-term development, aiming for a sustainable double-digit EBIT margin by 2028. The company sees significant growth potential in the semiconductor market, driven by LIDE and portfolio expansion, and expects the transition to perovskite technology to offer promising opportunities in the solar segment. Despite current economic uncertainty, LPKF is implementing structural adjustments to position the group as resilient and competitive.