Intercos (ICOS) Q3 2025 earnings summary

Executive summary

• Net sales for the first nine months of 2025 reached €785.6 million, up 2.9% at constant exchange rates, led by Make-up, while Hair & Body declined and Skincare remained stable.

• Adjusted EBITDA for 9M25 was €115.9 million, up 12.3% year-over-year, with margin improvement to 14.7%.

• Profitability gains were driven by manufacturing efficiency, business mix rebalancing, and a focus on the core Make-up segment.

• Expansion of production capacity in Asia and investments in innovation and advanced research continued.

Financial highlights

• Third quarter sales were €260.7 million, down 2.7% at constant exchange rates, reflecting a high prior-year base and deliberate reduction in packaging sales.

• Q3 Adjusted EBITDA was €41.4 million, up 5.4% year-over-year, with a margin of 15.9%.

• Net financial position at September 30, 2025 was €133.7 million, up €16 million from the previous year, mainly due to higher capex, dividends, and share buyback.

• Financial leverage (Net Debt/Adj. EBITDA) remained stable at 0.86x.

Outlook and guidance

• Full-year 2025 adjusted EBITDA is expected to be approximately €155 million, over €10 million higher than 2024 and in line with consensus.

• Flat sales are expected for 2025 due to market softness and negative currency effects.

• Anticipates a tangible market recovery in 2026, especially in the US and China, with emerging markets like India contributing more to growth.

• Innovation and manufacturing expansion, especially in Asia, to support future growth.