Carl Zeiss Meditec Reports Loss: What Does the China Crisis Mean for Jena?

Jena, 13.02.2026 – It is news that is causing a stir in the economic hub of Thüringen: The medical technology group Carl Zeiss Meditec, one of the flagship companies of the City of Light, Jena, has slipped into the red. For the first time in a long period, the MDAX-listed company had to report a quarterly loss. While a profit of 15.7 million euros was recorded in the same period last year, there is now a deficit of 4.9 million euros on the balance sheet.

A Sluggish Start and Currency Turmoil

CFO Justus Felix Wehmer spoke of a “sluggish start” to the new fiscal year, which traditionally begins in October at Zeiss Meditec. In addition to operational challenges, currency effects in particular weighed down the results. Business in the US dollar zone, especially, developed less favorably than hoped due to exchange rates. However, the real challenge for the long-established Jena company lies not in the USA, but in Asia.

The China Dilemma: When the Rules of the Game Change

China is of enormous importance to Carl Zeiss Meditec. The specialist for ophthalmology and microsurgery generates around a quarter of its total revenue in the “Middle Kingdom.” But it is precisely there that the company is now facing stiffer headwinds. The Chinese government has adjusted the rules of the game for the public healthcare system.

Specifically, this concerns so-called “Volume-Based Procurement” (VBP), a centralized tendering process. Artificial lenses, which are needed by the millions for the treatment of cataracts, are particularly affected. In these new tendering processes, Chinese providers currently enjoy massive advantages, putting international corporations like Zeiss under pressure. The previous competitive advantage of quality “Made in Germany” is less effective in these price-sensitive and politically driven procurement decisions than before.

Concerns for the Jena Location: Production Follows the Market

The management’s reaction to these market changes is economically logical but is causing local unease. To secure long-term access to the world’s largest market for ophthalmology, Carl Zeiss Meditec must focus more heavily on production and development directly on-site in China. “Local for Local” is the motto in the global economy.

The company already operates two production sites in China. What the planned relocation or expansion of capacities in Asia means for the headquarters in Jena is currently the great unknown. According to corporate management, whether and to what extent jobs in Germany and Thüringen might be affected has not yet been decided. Globally, the group employs around 5,800 people, more than 2,400 of whom are in Germany. Further strategic decisions are expected to be made by May, which should provide clarity.

Revenue Decline and Forecast Adjustment

The current figures reflect the uncertainty: Revenue fell by 4.8 percent to 467 million euros in the first quarter. Already in January, the Thüringen-based company had to adjust its expectations to reality. The board now assumes that the originally forecasted group revenue of 2.3 billion euros for the current fiscal year will not be achieved. Market uncertainties and a noticeable reluctance to invest on the part of clinics and practices are the main reasons.

Outlook

For Jena as a business location, developments at Carl Zeiss Meditec remain a central issue. On May 12, the company plans to announce a new, detailed forecast for the fiscal year running until September. Until then, it remains to be seen how profound the planned realignment of research and development will be and whether the Jena location can maintain its central role in the global strategy.

We will stay on top of this important topic for you and report as soon as new decisions from the corporate headquarters are available.

Read original article in German