Ariston Holding (ARIS) Q4 2024 earnings summary

Executive summary

• 2024 was a transition year with a 12.7–13.1% revenue decline to €2.63 billion, mainly due to weak European heating demand, while water heating remained resilient.

• Adjusted EBIT margin was 6.1% for the year, with Q4 margin improving to 8.7% due to efficiency initiatives.

• Free cash flow rose to €152 million, supported by working capital management and CapEx optimization.

• Strategic investments included a new plant in Serbia, an acquisition in Egypt, and ongoing M&A analysis.

• ESG targets were validated by SBTi, with improved ratings from EcoVadis, S&P, and MSCI.

Financial highlights

• FY 2024 net revenues: €2,633M, down 12.7% YoY; Q4 net revenues: €727M, down 6.8–7.3% YoY.

• Adjusted EBIT: €160M (6.1% margin) for FY, €63M (8.7% margin) for Q4; margins improved sequentially.

• Free cash flow: €152M for FY, with Q4 FCF at €139M.

• Net debt/EBITDA improved to 2.1 at year-end; net financial indebtedness at €579–603M.

• Dividend proposal of €0.08/share, representing 33% of adjusted net profit.

Outlook and guidance

• 2025 organic revenue expected to grow 0–3% YoY, with adjusted EBIT margin above 7%.

• Gradual recovery anticipated, with stronger performance in H2 2025.

• CapEx to rise to 5–6% of net revenues, focused on technology, automation, and digital transformation.

• Mid-term outlook: mid-single-digit organic growth and adjusted EBIT margin above 10%.

• Fit-to-Win program targets €50M in permanent savings by 2027.