Croatia, Zagreb: KONČAR Group is entering 2026 with exceptional momentum, driven by a record backlog of over €2.5 B, a figure that has grown steadily from €2.3 B at the end of the third quarter. President Gordan Kolak emphasises that this milestone is a direct result of a long-term transformation strategy initiated six to seven years ago, which focused on unifying all parts of the KONČAR Group into a single, integrated entity capable of achieving far greater impact on international markets than its individual companies could previously.
Kolak explains that the strategy was built around a stronger focus on export-oriented projects and higher-value contracts, leveraging synergies across knowledge and experience within the Group. The transformation also included identifying key leaders to drive change and innovation, establishing a foundation for continued operational excellence, and doubling productivity over the past six years.
Four years ago, KONČAR launched KONČAR – Digital, recognising that the future of energy lies in digitalisation. Today, the company is commercialising microgrid solutions, with concrete products ready for market, and expects significant breakthroughs next year. The Group’s core operations continue to revolve around power generation, transmission and distribution, urban mobility, infrastructure, and digital solutions, underpinned by strong foundations reinforced through acquisitions such as Dalekovod, ensuring vertical integration across energy transmission and distribution.
KONČAR has also made substantial investments in expanding manufacturing capacities and technological capabilities. These include the construction of laboratories for large electrical machines in Bedekovčina, a new plant for medium-energy transformers, measuring transformers, and medium-voltage blocks, as well as upgrades in the production of generators and motors. The Group plans to invest €140 M in capital expenditure in 2026, with 2026–2028 set to be the period of major capacity expansion, positioning the company to achieve all strategic goals by 2030.
The Group’s international presence continues to grow. Europe remains a cornerstone, with strong positions in Germany, Sweden, Norway, and the Netherlands, while the Middle East, particularly Saudi Arabia, is an increasingly important market. Notably, KONČAR is making a strategic push into the United States, partnering with Sanmina Corp to build a fully operational factory in Texas by 2027. The move will enable the company to meet high demand, shorten lead times for transformers, and serve the American market with locally produced products.
This year alone, KONČAR has achieved several major milestones. In January, a cybersecurity project was implemented to ensure protection across all complex solutions. February saw the delivery of the first tram ahead of schedule. In March, KONČAR launched a greenfield substation project in Sweden, one of its fastest-growing export markets. Secondary equipment replacements at the Senj hydropower plant began in March, while April marked the start of construction for the Bedekovčina laboratory. In May, KONČAR inaugurated a 1 MW charging station for battery and electric battery trains in Bjelovar, capable of charging a train in just 27 minutes.
June brought a major contract with Hrvatske željeznice (HŽ) for 13 new trains, including 4 battery and 4 electro-battery units, while July included the signing of the agreement for a new 400 kV substation in Croatia, 10 trams for Osijek, and important hydroelectric plant refurbishments in Bosnia and Herzegovina. In August, Dalekovod delivered on a major 420 kV power line in Norway, and October saw a €100 million transmission line contract in Sweden, further solidifying the company’s position in Scandinavia. Board member Ivan Paić highlights the company’s innovative microgrid project, integrating hydrogen technology, solar panels, battery storage, and EV chargers, which demonstrates the practical application of green transition solutions.
The year closed with groundbreaking deals. In November, KONČAR inaugurated a charging station at the Kvarner motorway stop near Učka. December brought the signing of a contract with INA for the construction of a hydrogen production plant, the first in Southeastern Europe, in partnership with Siemens Energy, as well as a defence contract with the Croatian Ministry of Defence (MORH) for counter-drone systems. These projects exemplify KONČAR’s dual focus on innovation, green transition, and digital technologies, which are expected to create significant new revenue streams.
KONČAR’s workforce has grown to over 6,000 employees, nearly double the number from 2019, reflecting the Group’s commitment to operational excellence and human capital development. Corporate social responsibility remains a priority, with 48 % increased investment in humanitarian and social initiatives this year, supporting organisations such as the Croatian Paralympic Committee, Caritas, Red Noses Clowndoctors, Ansambl Lado, and the Višnjan Astronomical Society.
As 2026 approaches, KONČAR enters the year as one of the most ambitious and stable industrial groups in the region, with record contracts, major investments, pioneering hydrogen and microgrid projects, and a strong digital expansion. Led by Gordan Kolak and Ivan Paić, the Group is strategically positioned to capitalise on opportunities in Europe, the Middle East, and the United States, while continuing to shape the future of the global energy sector.
Source: KONČAR Group
