Amadeus (AMS) Q2 2025 earnings summary

Executive summary

• Group revenue rose to €3,260 million in H1 2025, up 8% at constant currency (6.8%–7% reported), with profit increasing 12%–12.3% despite macro and geopolitical challenges.

• R&D investment exceeded €700 million (over 20% of revenue), supporting innovation, cloud migration (90% of applications cloud-based), and AI/data initiatives.

• Expanded partnerships and major customer wins, including Google, Microsoft, British Airways, Air France-KLM, Finnair, Saudia, Marriott, Accor, Ryanair, and Hertz.

• Strategic focus on airline retailing, hospitality IT leadership, and digital transformation, with strong commercial momentum across all business lines.

• Ongoing €1.3 billion share repurchase program since March 2025.

Financial highlights

• Revenue reached €3,260 million, up 8% at constant currency (6.8%–7% reported); EBIT was €938 million (+8%), adjusted EBIT €973 million (+8% at cc).

• Profit was €727 million, up 12%–12.3%; diluted EPS up 12%–12.4%; adjusted profit and adjusted EPS both grew 8.5%–9%.

• Free cash flow was €469 million, down 11.6%–12% year-over-year due to higher capex and working capital outflows.

• EBITDA reached €1,276 million, up 6.3%, with EBITDA margin at 39.1% (down 0.2 p.p.); adjusted EBIT margin at 29.8%.

• Net financial debt at €1,715 million (0.7x–0.71x EBITDA), with strong liquidity and investment grade ratings.

Outlook and guidance

• 2025 outlook at constant currency unchanged: revenue expected at €6.60–€6.84 billion (7.4%–11.4% growth), EBITDA €2.46–€2.58 billion, FCF €1.25–€1.33 billion.

• Revenue growth expected at lower end of range due to industry outlook; EBITDA and EBIT to grow faster than revenue.

• Confident in delivering group results within guidance, with acceleration expected in H2, especially in Hospitality and Air IT segments.

• Management remains focused on steady growth and continued investment in R&D and digital transformation.