Orthex (ORTHEX) Q3 2025 earnings summary

Executive summary

• Q3 2025 net sales increased by 2.5% to EUR 23.4 million, marking record Q3 sales and reversing earlier declines, driven by active campaigns and new product launches despite challenging market conditions.

• Year-to-date net sales declined by 1.4% to EUR 64.9 million, mainly due to a weak Q1 impacted by limited shipments to financially challenged customers.

• Profitability improved in Q3, with adjusted EBITA margin rising to 14.3% (from 12.6% last year), supported by cost control and stable or slightly declining raw material prices.

• Cash flows from operating activities increased 4.1% in Q3 to EUR 5.9 million.

• Focus remains on steady growth in the Nordics, accelerating expansion in Europe, and sustainability initiatives.

Financial highlights

• Q3 2025 adjusted EBITA rose to EUR 3.3 million (14.3% margin), with adjusted EBITDA at EUR 4.5 million (+13.6% y/y).

• Year-to-date adjusted EBITA was EUR 6.8 million (10.4% margin), down from last year.

• Gross margin stable at 28.5% in Q3; year-to-date gross margin at 28.1%.

• Basic EPS for Q3 increased 34.6% year-over-year to EUR 0.14.

• Net debt at period end was EUR 14.5 million, leverage at 1.0x.

Outlook and guidance

• No short-term outlook published; long-term targets include >5% annual organic net sales growth, >10% outside Nordics, adjusted EBITA margin >18%, and net debt/adjusted EBITDA <2.5x.

• Dividend policy aims for stable and increasing payout, at least 50% of net profit biannually.

• Investments expected to increase in Q4 as several projects are finalized.