Avolta (AVOL) Q1 2025 TU earnings summary

Executive summary

• Turnover grew 8.2% at constant exchange rates (CER) and 5.3% organically in Q1 2025; adjusting for the leap year, organic growth was 6.5%.

• April year-to-date turnover increased 8.5% CER, with organic growth of 5.7% (6.6% excluding leap year effects).

• CORE EBITDA reached CHF 196 million, up 16.3% year-over-year, with a margin of 6.4% (+37 bps YoY).

• Diversified geographic and channel presence, digital transformation, and new store concepts—including hybrid F&B-retail formats—supported growth and increased spend per passenger.

• Major contract wins in JFK and Shanghai, and loyalty program expansion, advanced strategic growth projects.

Financial highlights

• Q1 2025 CORE turnover was CHF 3.05 billion, with organic growth of 5.3% (6.5% excluding leap year effect).

• CORE EBITDA was CHF 196 million, margin 6.4% (+37 bps YoY).

• Equity-free cash flow (EFCF) was CHF -104 million, reflecting typical Q1 seasonality.

• Financial net debt was CHF 2,820 million, with leverage improved to 2.18x from 2.55x YoY.

• CHF 49 million of CHF 200 million share buyback completed in Q1.

Outlook and guidance

• Full-year and medium-term guidance reaffirmed: 5–7% organic growth, 20–40 basis points EBITDA margin expansion, and 100–150 basis points annual improvement in EFCF conversion.

• Management expects to remain within guidance even if North America remains flat, with upside if recovery occurs.

• Currency translation impact for 2025 expected at 0% to -1%.