In the latest SektorReport Industrials Q2 2026, we turn our attention to a segment that has long been taken for granted as a technical given within the German industrial sector and is now undergoing a structural upgrade: electrical measurement and power quality technology.
As early as the previous quarter, we used the example of process filtration to show how regulation is replacing the economic cycle as a driver of demand. A similar mechanism is at work in measurement technology, amplified by the energy transition.
VDE standards and DGUV regulations mandate periodic inspections of electrical systems. At the same time, distribution grids are coming under pressure from decentralized generation, electromobility, and growing data center loads, making continuous grid quality monitoring an operational requirement. Providers of measurement, testing, and grid analysis technology thus serve a market driven by regulatory and technical mandates, offering high predictability and recurring revenue.
In this segment, the provider landscape remains highly fragmented. Many specialized small and medium-sized enterprises have established customer relationships and recurring revenue from calibration, maintenance, training, and software, but lack the critical mass needed for stronger, market-driven growth. Serial acquirers such as Addtech and Indutrade have been consolidating precisely this type of profile in the DACH region for years. The significant size discount compared to publicly traded electrical equipment companies makes these targets highly attractive, while the increase in demand (guaranteed by regulations and infrastructure expansion) very strongly limits the risk profile. Combined with the wave of succession planning, this opens up a favorable valuation window. Read more on page 3 of the SektorReport Industrials Q2 2026.
In the Deal Report, we analyze an exemplary transaction that illustrates this consolidation dynamic among German SMEs. Read more on page 5 of the SektorReport Industrials Q2 2026.
Our SektorReports are available in German language. If you have further questions regarding this topic, feel free to get in touch.