Intercos (ICOS) Q4 2025 earnings summary

Executive summary

• Fiscal year marked by geopolitical tensions, market consolidation, and softness in global beauty consumption, leading to a strategic focus on profitability and higher value-added business over top-line growth.

• Net sales reached €1,047.2 million, flat at constant rates (+0.3%) and down 1.7% at current rates, impacted by currency headwinds and lower packaging sales.

• Adjusted EBITDA rose 8.8% to €156 million, with margin expansion to 14.9% of net sales and 19.2% of value-added sales, the highest since IPO.

• Adjusted net income increased 1.3% to €57.4 million, despite higher depreciation and FX-related financial expenses.

• Net debt stood at €100.5 million, leverage ratio improved to 0.64x, reflecting strong cash generation and disciplined capital allocation.

Financial highlights

• Net sales: €1,047.2 million (+0.3% at constant FX, -1.7% at current rates year-over-year).

• Value-added sales up 1.5% at constant rates, -0.5% at current rates.

• Adjusted EBITDA: €156 million (+8.8% year-over-year), margin at 14.9% (+143 bps).

• Adjusted net income: €57.4 million (+1.3% year-over-year).

• Net debt: €100.5 million, leverage ratio improved to 0.64x net debt/EBITDA.

• Operating cash flow: €73.5 million, up €16.4 million year-over-year.

• Dividend proposal: €19 million.

Outlook and guidance

• 2026 sales growth expected at 5–6% reported, 6–7% at constant FX, with growth skewed to the second half starting Q2.

• Margins expected to be at least flat or slightly improving, consolidating gains from 2025.

• Focus on consolidating leadership in makeup and returning skincare to growth.

• Market growth expected at ~4%, with company aiming to outperform.

• Record order intake in late 2025 supports positive outlook and recovery in consumption.