Ceconomy (CEC) Q3 2025 earnings summary

Executive summary

• Achieved 10th consecutive quarter of year-on-year growth, with Q3 sales up 5.1% to €4.8 billion and adjusted EBIT improving by €20 million; nine-month sales up 5.5% year-over-year.

• Growth driven by expansion in services & solutions, marketplace, and retail media, with strong omnichannel and customer experience enhancements, including instant delivery and AI-driven service.

• Loyalty program surpassed 50 million members, five quarters ahead of plan.

• Free cash flow improved significantly, up €297 million year-over-year in Q3 and €132 million for the nine months; net debt reduced by €276 million.

• Announced strategic partnership and investment agreement with JD.com, including a planned takeover and financial support provisions.

Financial highlights

• Q3 sales reached €4.8 billion, up 5.1% year-over-year (adjusted for FX and portfolio effects); adjusted EBIT improved by €20 million in Q3 and €56 million for the nine months.

• Gross margin improved by 80 basis points in Q3 to 18.2%; EBIT margin up 40 basis points to 0.6%.

• Reported EPS increased by €0.10 in Q3; free cash flow at €257 million for nine months.

• Online sales grew 12.2% year-over-year in Q3, with online share at 24.6%.

• Non-recurring items in Q3 included €47 million mainly due to hyperinflation accounting in Turkey and restructuring.

Outlook and guidance

• FY 2024/25 guidance: moderate increase in FX- and portfolio-adjusted sales, with all segments contributing.

• Adjusted EBIT expected around €375 million, driven by DACH and Western/Southern Europe.

• Outlook excludes portfolio changes, equity-method earnings, IAS 29 effects, and non-recurring items.