“Ad hoc announcement pursuant to Art. 53 LR”

Very strong first quarter order intake on high customer demand; revenue recognition temporarily delayed following middle east conflict

• High demand for leading-edge semiconductor manufacturing equipment is driving strong order momentum for VAT; book to bill ratio of 1.6x achieved as order backlog continues to build
• Conflict-related disruptions in the supply chain led to delayed revenue recognition
• Sales of CHF 221 million negatively impacted by about 20 – 25 million in delayed revenue recognition in the first quarter
• Sizeable negative foreign exchange impact on first quarter 2026 orders and sales
• Positive outlook for 2026 confirmed

Q1 2026 results

• Order intake of CHF 356 million – up 17% sequentially and 47% year on year (up 19% and 67% respectively on a constant currency basis)

• This represents the second largest in VAT’s history and is further proof of the acceleration of the ramp, reflecting the high demand for semiconductor manufacturing equipment linked to the buildout of both leading-edge logic and memory capacity
• Sales of CHF 221 million were down 14% sequentially and down 20% year on year (down -13% and down 9% on a constant currency basis)
• Book-to-bill of 1.6x; order backlog up 42% to CHF 431 million compared to year-end 2025

Outlook for 2026

• VAT confirms the positive outlook provided at the full-year announcement in early March
• In Semiconductors VAT expects further growth in the build-out of leading-edge chip manufacturing capacities to support AI driven demand, increasing WFE to USD130 billion; direct China business expected to remain on a growth path
• Global Service expected to grow further as utilization rates in semiconductor fabs remain high and demand for manufacturing capacity drives upgrading activity
• Advanced Industrials expected to see selective growth, except in Research. Main growth markets will be the semi-related business areas as well as energy generation businesses; and solar will see the return of investing, at a low level, and scientific instruments and industrial coatings will turn into steady growth
• As a result, VAT expects full-year 2026 orders, sales, EBITDA, EBITDA margin, net income, and free cash flow to be higher than in 2025

Guidance for Q2 2026

• VAT expects sales of CHF 265 – 295 million and a book-to-bill ratio that remains above one

Group first quarter 2026

1 Quarter on quarter; 2 Year on year

Q1 2026 summary

Throughout the first quarter of 2026 demand for VAT products continued with strong momentum that started at the end of 2025. Orders were up 17% sequentially, confirming the structural demand for semiconductor manufacturing capacity. Investment announcements by hyperscalers into cloud computing continued to tick higher, with total investments for 2026 estimated to be above USD750bn, or more than two thirds higher than in 2025.

Recent developments, however, negatively impacted VAT’s ability to deliver on the sales guidance provided in early March. This was communicated to the public on March 31, 2026 in a media release. The outbreak of the Middle East conflict in late February led to partial and temporary disruptions in VAT’s supply chain and required swift actions to re-rout shipments of goods to customers. While VAT does not source materials or components directly from the conflict regions, certain components within VAT’s supply chain were blocked in transit. In total, the negative impact on sales is estimated at approximately CHF 20 to 25 million in the first quarter. The situation has since been mitigated by determining missing components, finding alternate sources where required and expediting shipping through other channels. All orders placed for shipping in the first quarter are expected to be delivered during the second quarter and thus VAT expects no material impact on its outlook for full-year 2026 sales as a result.

In the Semiconductors unit, orders were up 38% quarter on quarter and 65% higher compared to the same quarter last year on the back of unprecedented demand for leading-edge logic and memory chip manufacturing tools. Sales declined in Q1 due to the previously mentioned logistical disruption. In Advanced Industrials, semiconductor-related products in scientific instruments saw an uplift in demand in-line with the overall market. Industrial coatings also saw an increase in project-related business, but in research applications, VAT saw a decline in orders and sales compared to last year’s first quarter. Orders in Global Service declined in Q1 2026 quarter on quarter, following a restocking in Q4 but orders are 31% higher year on year, reflecting increased demand for consumables and repairs due to high utilization rates.

Overall, Group orders in the first quarter amounted to CHF 356 million, 47% higher than in the same quarter in 2025 (up 67% on a constant currency basis), while net sales declined by 20% to CHF 221 million year on year (down 9% on a constant currency basis).

Outlook: AI-driven global fab expansion and leading‑edge spend underpin VAT’s 2026 outlook

With industry observers expecting no slowdown in the scope of ongoing AI infrastructure investments in 2026 and 2027, VAT believes the market is entering a strong structural growth phase with demand for advanced logic and memory chips outpacing the industry’s ability to provide supply. In general, market intelligence providers believe that the global semiconductor market will surpass the USD 1 trillion mark already in 2027, three years earlier than previously predicted. With over 110 semiconductor fabs currently under construction globally there will be a strong demand for manufacturing equipment, especially in leading-edge to cover demand for logic chips of 5nm and below and HBM memory chips.

Q1 2026 confirmed these trends, and VAT expects to see a continued, significant build-out of manufacturing equipment in the coming quarters. However, as demonstrated by the Middle East conflict, challenges can emerge in the current ramp environment arising from unforeseen or uncontrollable impacts on the extensive supply chain. These include geopolitics and macroeconomic risks, including the monetary policy of core global economies, which remain a swing factor for VAT in 2026, and are likely to lead to a continued FX drag on results. VAT’s globally diversified manufacturing footprint and its flexible operating model provides resilience and the ability to effectively manage such external influences.

On this basis, VAT reiterates its guidance provided at the full-year 2025 results presentation in March and expects full-year 2026 orders, sales, EBITDA, and EBITDA margin to be higher than in 2025. Net income and free cash flow are also expected to be higher in 2026.

Segment results Q1 2026

Valves

1 Quarter on quarter; 2 Year on year

1 Quarter on quarter; 2 Year on year

For further information please contact:
VAT Group AG
Head Marketing, Communications,
Investor Relations
Michel R. Gerber
T +41 81 553 70 13
investors@vatgroup.com