Elis (ELIS) H1 2025 earnings summary

Executive summary

• H1 2025 revenue reached €2,343.1 million, up 4.3% year-over-year, with 3.5% organic growth and 1.8% from acquisitions, partially offset by -1% FX and -0.5% calendar effects.

• Adjusted EBITDA rose 5.1% to €813.8 million, margin up 30 bps to 34.7%; Adjusted EBIT increased 3% to €353.8 million, margin down 20 bps to 15.1%.

• Net income rose 28.6% to €152.5 million; headline net income per share grew 3% to €0.85 fully diluted; free cash flow was €31 million; leverage ratio declined to 1.92x.

• Strong commercial momentum, especially in workwear, hospitality, and Southern Europe, with positive pricing and productivity gains offsetting inflation.

• All 2025 financial objectives reaffirmed despite macroeconomic challenges.

Financial highlights

• Organic revenue growth of 3.5% (approx. 4% restated for calendar), with robust performance in France, Central Europe, Southern Europe, and Latin America.

• Adjusted EBITDA margin improved by 30 bps to 34.7%; EBIT margin slightly declined by 20 bps to 15.1%.

• Net income rose 28.6% to €152.5 million; headline net income up 2.6% to €213.2 million.

• Free cash flow of €31 million, impacted by seasonal working capital but aligned with full-year trajectory.

• Net financial debt at €3,206.5 million, leverage ratio down to 1.92x at June 30, 2025.

Outlook and guidance

• 2025 organic revenue growth expected slightly below 4% due to -0.3% calendar effect.

• Modest improvements anticipated in adjusted EBITDA margin, EBIT margin, EPS, and free cash flow.

• Financial leverage ratio targeted to decrease by ~0.1x by year-end.

• Medium-term (2025–2028) targets: 5–6% annual revenue growth (4% organic, 1–2% M&A), 20 bps average annual EBITDA margin improvement, €1.5 billion cumulative free cash flow.

• All 2025 financial objectives confirmed.