Exosens (EXENS) Q4 2025 earnings summary

Executive summary

• Achieved strong 2025 results, exceeding guidance with revenue up 22.1% to €468.2 million and adjusted EBITDA up 26.6% to €151.6 million, reaching a 32.4% margin.

• Net profit from continued operations more than doubled to €70.2 million, reflecting improved profitability.

• Free cash flow reached €57.3 million, with a 73.6% cash conversion rate and leverage at 1.3x adjusted EBITDA.

• Defense & Surveillance accounted for 75% of revenue, driven by global demand for night vision and imaging systems.

• Continued investment in R&D and capacity expansion to support future growth and technological leadership.

Financial highlights

• Revenue grew to €468.2 million (+22.1% YoY), with like-for-like growth of 12.7%.

• Adjusted EBITDA increased 26.6% to €151.6 million; margin reached 32.4%.

• Adjusted gross margin rose to 50%; EBIT margin reached 27.3%.

• Net profit from continuing operations was €70.2 million, more than double the prior year, excluding a €27.5 million loss from the microwave amplifier divestment.

• Free cash flow was €57.3 million, with a stable cash conversion ratio of 73.6%.

Outlook and guidance

• 2026 revenue guidance: €520–540 million; adjusted EBITDA: €168–178 million.

• 2024–2026 EBITDA CAGR projected at 18–22%, above previous high-teens guidance.

• Midterm ambition to reach €1 billion in revenue, with organic sales growth in the mid-teens and EBITDA growth above 15% per year.

• CapEx rate to normalize at 5% of sales post-2026, with R&D capitalization at 3%.

• Dividend payout ratio maintained at 20–25% of net income.