Samsonite Group (1910) Q4 2025 earnings summary

Executive summary

• Returned to positive net sales growth in Q4 2025, with reported net sales up 2.2% and 1% on a constant currency basis compared to the prior year, driven by innovative product launches, strong D2C and non-travel business, and improved execution across regions.

• Gross margin expanded to 60.3% in Q4 2025, up 10 basis points year-over-year, supported by favorable sales mix and tariff mitigation.

• Adjusted EBITDA margin for Q4 was 20.3%, with adjusted net income at $106 million, down from $116 million last year; full-year adjusted net income was $293 million, down from $370 million in 2024, reflecting normalization after post-pandemic surges.

• FY 2025 net sales declined 2.5%–2.6% year-over-year to $3,497.6 million, mainly due to cautious wholesale purchasing amid macroeconomic uncertainty, partially offset by DTC and e-commerce growth.

• Strategic focus on brand elevation, digital excellence, and product innovation, with increased marketing investment planned for 2026.

Financial highlights

• Q4 2025 net sales: $963 million (+2.2% reported, +0.9% constant currency year-over-year); D2C e-commerce grew 12%, with D2C mix rising to 45.1% of sales from 43.1% last year.

• Non-travel category grew 6.7% year-over-year in Q4, now 37.6% of sales; travel category net sales declined 2.2% but improved sequentially.

• Wholesale channel declined 2.3% in Q4 but improved sequentially from prior quarter.

• Operating profit for 2025 was $528 million, down from $629 million in 2024; adjusted free cash flow for 2025 was $246 million.

• Basic EPS for 2025 was $0.208 (–12.8% YoY); adjusted basic EPS: $0.212 (–17.3% YoY).

Outlook and guidance

• Expectation of continued net sales growth momentum in early 2026, but Q1 is now expected to be flat due to Middle East conflict; full-year guidance withheld due to uncertainty.

• Sequential constant currency net sales growth anticipated as 2026 progresses.

• Marketing spend to increase to 6.5% of net sales in 2026 to support brand awareness and long-term growth.

• Dual listing in the U.S. planned for 2026 to enhance shareholder value.

• Continued focus on DTC expansion, digital leadership, and non-travel product growth.