Emmi (EMMN) H1 2025 earnings summary

Executive summary

• Achieved net sales of CHF 2,272.4 million in H1 2025, up 12.7% year-over-year, driven by organic growth of 4.4% and acquisitions, despite negative currency effects.

• EBITDA rose to CHF 223.1 million, maintaining a 9.8% margin; EBIT increased to CHF 145.4 million, but margin declined to 6.4% due to higher depreciation and currency headwinds.

• Net profit declined to CHF 97.2 million (4.3% margin), mainly due to higher financial expenses and FX losses.

• Strong performance in Americas and Europe, with Switzerland showing modest growth; acquisitions, especially Mademoiselle Desserts, were key contributors.

• Advanced sustainability initiatives, including packaging innovation, emissions reduction, and animal welfare progress.

Financial highlights

• Organic sales growth of 4.4% exceeded guidance; acquisitions contributed 11.8%, while currency effects reduced sales by 3.5%.

• EBITDA increased to CHF 223.1 million (+12.8%), with EBIT at CHF 145.4 million (+3.6%).

• Net profit declined to CHF 97.2 million (-7.4%) due to higher financial expenses and FX losses.

• Gross profit increased 15.9% to CHF 908.7 million, margin up to 40.0%.

• Operating cash conversion normalized to 75% (from 91%), reflecting higher working capital and taxes.

Outlook and guidance

• 2025 guidance: organic sales growth raised to 2.0–3.0% (from 1.5–2.5%), EBIT CHF 330–350 million, net profit margin 4.8%–5.3%.

• Mid-term guidance confirmed: organic sales growth 2–3%, net profit margin 5.5–6.0%, improving ROIC, payout ratio 35–45%.

• Americas division guidance increased to 4–6% organic growth; Switzerland and Europe guidance unchanged.

• Market conditions remain challenging with high input costs, FX volatility, and macroeconomic uncertainties.