The HCOB Germany Composite PMI for February 2026 was revised slightly upward to 53.2 from a preliminary estimate of 53.1, and was also higher than January’s reading of 52.1. This marked the strongest expansion in four months, supported by faster growth in both manufacturing and services activity.
Demand for goods and services strengthened, including from abroad, with export sales rising in both monitored sectors simultaneously for the first time since February 2022. In contrast, overall employment continued to decline on a broad basis, though the pace of job losses slowed as factory layoffs eased. Backlogs of work increased marginally, registering their first rise in four months.
On the price front, input costs rose at a faster rate, while output price inflation slowed, although it remained above its long-run average. Business expectations were broadly unchanged, staying close to January’s 20-month high.
