KWS SAAT & (KWS) Q3 2025 earnings summary

Executive summary

• Net sales for the first nine months of 2024/25 were €1,344.3 million, nearly unchanged year-over-year despite acreage declines and negative currency effects.

• Group net income rose 56% to €304.9 million, driven by a €102.1 million gain from the sale of the South American corn and sorghum business.

• Gross margin improved to 63.4% year to date, reflecting strong pricing power and portfolio innovation.

• Free cash flow improved significantly to €-3.9 million from €-89.6 million, mainly due to operational improvements and the business sale.

• EPS for the period was €6.15 from continuing operations, with total EPS at €9.24 including one-off gains.

Financial highlights

• FY 2023/24 net sales reached €1,678.1 million (+12% year-over-year), EBIT €302.0 million (+55%), and dividend per share €1.00 (+11%).

• 9M 2024/25 net sales were €1,344.3 million (-1.2% year-over-year), gross margin at 63.4%, and adjusted EBIT margin at 21.2% (down from 22.7%).

• Free cash flow from continuing operations improved to €-3.9 million; group free cash flow rose to €266.3 million, mainly due to the business sale.

• Net debt reduced to €179.2 million (0.5x EBITDA), with equity ratio up to 58.1%.

• Net financial result improved to €-11.7 million from €-24.7 million.

Outlook and guidance

• Full-year net sales expected to be flat year-over-year (previously: 2–4% growth), reflecting acreage declines in Europe.

• EBIT margin forecast narrowed to 14–16%, with R&D ratio expected at about 20%.

• Further improvement in net debt expected by year-end.

• Market penetration of innovative products in sugarbeet expected to increase.

• Corn Segment guidance revised to moderate net sales decline and perceptible EBIT margin decrease.