Stihl, the manufacturer known for its chainsaws, has lowered its revenue forecast for 2026. According to Michael Traub, the CEO of Stihl, the company expects a slight, low single-digit decline in sales. This forecast suggests that earnings will fall below the 5.48 billion euros achieved in 2025. Previously, during its financial presentation in May, the company had projected stable revenues while celebrating its centenary.
Traub cited the drought across Europe as the primary reason, noting that this condition is impacting markets that had contributed to growth in 2025. He explained, “Our business is to shorten tall grass. When grass and scrub dry out due to the heat and stop growing, customers naturally require fewer cutting tools.”
The manager also expressed concern about the location of operations in Germany due to high labor costs. “We currently do not see any necessity to close factories, but neither do we foresee any,” Traub stated. While he mentioned that manufacturing battery-powered tools might not be economically viable in Germany, he added that the domestic production of professional gasoline-powered equipment remains secure. Currently, Traub does not foresee the need for staff reductions. He concluded by asserting that Stihl aims to be the “last man standing” in ten years, positioning the brand as a technological leader capable of enduring the longest.
The company maintains a broad international presence. Currently, one quarter of its total production is carried out in both the United States and China.
