Aalberts (AALB) Q2 2025 earnings summary

Executive summary

• First half performance was impacted by market headwinds and global trade policy uncertainty, resulting in a 3.2% organic revenue decline and a downward adjustment of the full-year outlook.

• Strategic progress included three value-accretive acquisitions (Paulo, Geo-Flo, and intended Grand Venture Technology) and ongoing divestment efforts in Building and Industry segments.

• Operational excellence initiatives and cost actions helped sustain added value margins and improve free cash flow, despite EBITDA/EBITA margin pressure.

• 'Thrive 2030' strategic actions were deployed, focusing on profitable growth, leadership, and sustainability.

• Full-year EBITA/EBITDA margin outlook was adjusted downward due to persistent market headwinds.

Financial highlights

• Organic revenue declined 3.2% year-over-year to EUR 1,557 million, with a total revenue decrease of EUR 61.9 million.

• EBITA/EBITDA margin dropped to 13.5% from 15.0% last year; EBITA at EUR 209.8 million.

• Net profit before amortisation and exceptionals was EUR 151.4 million, translating to EUR 1.38 per share.

• Free cash flow improved to EUR 56 million, supported by lower CapEx and inventory reduction.

• Capital expenditure reduced by 14% to EUR 100 million, with full-year guidance of EUR 200–225 million.

Outlook and guidance

• No improvement expected in organic revenue growth for the second half; full-year EBITA/EBITDA margin guidance revised to 13–14%.

• Continued focus on protecting EBITA/EBITDA margin, optimizing free cash flow, and executing long-term strategic actions.

• 2026 EBITDA margin target to be updated in February based on market conditions.