B&C Speakers SpA reported a 7% drop in first-half revenue, yet managed to maintain margins and generate strong cash flow amid softness in its U.S. DIY retail audio segment and persistent competitive headwinds in China.
Revenue for the period ended June 30 was €47 million, down from the prior-year period, according to a Q2 and H1 results transcript published Sept. 10, 2026. EBITDA exceeded €9 million, yielding a margin of roughly 19%; adjusted for approximately €300,000 in non-recurring legal and dispute costs, the margin was close to 20%. Gross margin remained nearly stable compared with the first half of 2025.
Net profit came in "significantly bigger" than the year-ago semester, CFO Francesco Spapperi said, attributing the gain primarily to improved management of foreign-exchange losses rather than operational leverage.
"We are still a company not only resilient in terms of efficiency and cost management, but also, as you can see, in cash flow generation," Spapperi said. Free cash flow from recurring operations before financing and investments totaled €5.1 million. The company also paid a €7.6 million dividend in May.
Revenue weakness was concentrated in the U.S. do-it-yourself and retail audio market, which management said had declined sharply. That segment had previously contributed roughly €3 million to €4 million annually, often driven by Latino communities organizing street events.
L-Acoustics and d&b audiotechnik — the company's two largest original-equipment-manufacturer customers — together accounted for about 30% of consolidated sales. CEO Lorenzo Coppini said he was confident the relationship with both OEMs remained secure.
"For these two customers, which are of course key for our numbers, both sales and marginality, we are 100% sure that there is no loss in favor of some of our competitors," Coppini said.
China remains the chief uncertainty. Coppini called it the "big question mark," citing policy shifts that favor domestic brands and intense counterfeit competition. He compared enforcement efforts against copycats to "trying to fish with your hand."
Management expects demand to recover in September and October, with orders projected to return to 2025 levels or better. A price adjustment was implemented on June 1.
Cash is being directed toward inventory builds — the firm rented double warehouse space — as well as R&D, sales expansion, and a new highly automated assembly line at its main Italian factory. B&C also appointed a new global sales manager in June.
On the stock market, shares fell 1.74% to $11.30. The stock trades about 9.7% above its 52-week low of $10.35 and roughly 41.1% below its 52-week high of $19.20. Return on assets over the trailing twelve months was 10.66%, the debt-to-equity ratio stood at 0.35, and the current ratio was 3.44. The dividend yield was 6.09%.
