NewPrinces (NWL) Q2 2025 earnings summary

Executive summary

• H1 2025 revenue was €1.31 billion, down from €1.36 billion, with strong margin improvement driven by cost discipline, lower average selling prices, and strategic exits from low-margin contracts.

• Adjusted EBITDA rose 16.5% year-over-year to €104.6 million, with margin up to 8% from 6.6%.

• Net profit rebounded from a loss of €1.2–1.3 million to €22.2–22.3 million.

• Free cash flow reached €88.9 million, supported by EBITDA growth and improved working capital management.

• Net debt (excl. IFRS 16) reduced to €183.6 million from €246.2 million at FY 2024.

Financial highlights

• Consolidated revenues: €1,314.2 million (down from €1,360.1 million in H1 2024).

• Gross profit increased by 8.6% year-over-year to €260.9 million, driven by lower raw material costs.

• EBIT more than doubled to €52.8 million, with margin rising to 4% from 1.8%.

• EPS rose to €0.48 from €0.19, and ROE improved to 5.4% from -0.3%.

• Net debt/EBITDA improved to 1.38x from nearly 2x at year-end; gearing ratio reduced to 0.7.

Outlook and guidance

• Full-year adjusted EBITDA guidance of €210–220 million confirmed.

• Acquisitions of Carrefour Italia, Diageo Operations Italy, and Plasmon expected to close in H2 2025, with neutral net debt impact and anticipated cost synergies.

• Cash generation targets reaffirmed, with further working capital improvements and cost discipline expected.

• Updated financial guidance to be provided after completion of acquisitions.

• Second-half expected to benefit from new product launches and continued cost discipline.