IMCD (IMCD) Q3 2025 earnings summary

Executive summary

• Gross profit reached EUR 927 million, up 5% year-over-year on a constant currency basis, despite macroeconomic and tariff challenges.

• Operating EBITA was EUR 394 million, a 1% increase on a constant currency basis, with growth driven by organic performance and acquisitions.

• Six acquisitions in 2025 are expected to add EUR 340 million in revenue and 185 employees on a full-year basis, expanding presence in key markets.

• Free cash flow for the period was EUR 284 million, with cash earnings per share at EUR 4.16.

• The business model demonstrated resilience, with intensified efforts on cost-effectiveness, commercial excellence, and digital initiatives.

Financial highlights

• Revenue for the first nine months of 2025 was EUR 3,676 million, up 3% year-over-year (6% FX adjusted).

• Gross profit margin was 25.2%, slightly down from 25.4% in the prior year, mainly due to acquisitions and product mix.

• Operating EBITA margin was 10.7%, down from 11.2% year-over-year.

• Net result declined to EUR 180 million, an 11% decrease year-over-year, mainly due to lower EBITA and higher finance costs.

• Free cash flow was EUR 284 million, down from EUR 299 million in the same period of 2024.

Outlook and guidance

• Management remains confident in the long-term outlook, expecting year-end cash conversion ratio in the high 80% to low 90% range.

• No significant improvement in order visibility; market remains volatile with just-in-time deliveries and minimal forecasting.

• Expectation for pharma market softness to be short-term, with normalization anticipated in Q1.

• Focus remains on earnings growth through service optimization and market position strengthening.