Safilo Group (SFL) Q2 2026 earnings summary

Executive summary

• Net sales for H1 2026 were €512.0 million, down 4.8% year-over-year (1.9% at constant exchange rates), reflecting a resilient start but a softer Q2 due to subdued consumer sentiment and cautious ordering in core markets.

• Margin expansion and strong cash generation were achieved through disciplined execution, favorable price/mix, cost control, and a significant one-time benefit from US tariff refunds.

• Strategic investments included the acquisition of SPY+ and Serengeti, fully funded from internal resources, and the launch of a new share buyback program.

• Full ownership of Blenders was achieved after purchasing the remaining 20% stake.

• Positive signs emerged towards the end of Q2, with improving consumer confidence in selected markets.

Financial highlights

• Net sales: €512.0M in H1 2026, down 4.8% year-over-year; Q2 sales: €239.1M, down 5.1%.

• Gross profit: €344.0M, up 4.8%; gross margin: 67.2% (up 6.1pp), with Q2 gross margin at 73.1% (up 11.5pp), aided by €20M US tariff refunds.

• Adjusted EBITDA: €86.0M (up 38.1%), margin 16.8% (up 5.2pp); Q2 adjusted EBITDA: €49.0M (up 75.2%), margin 20.5% (up 9.4pp).

• Adjusted net profit: €49.4M (up 46.7%), margin 9.6% (up 3.3pp).

• Free cash flow: €36.4M in H1 2026; net financial position improved to -€5.4M (positive €29.6M pre-IFRS 16).

Outlook and guidance

• Management expressed increased confidence for H2 2026, citing positive market signals and readiness to capitalize on gradual improvements in demand.

• Gross margin benefit from tariff refunds expected to be less pronounced in H2; further refunds, if any, will be residual.

• Additional marketing investments in 2026 are one-off and will not be included in the structural base for 2027.