IONOS Group (IOS) Q4 2025 earnings summary

Executive summary

• Net new customer additions nearly doubled to 310,000 in 2025, raising the total base to 6.63 million; strong momentum expected to continue in 2026.

• AI integration is a key growth driver, now embedded across all product lines, driving higher customer acquisition, ARPU, and operational efficiency; AI contributed 20% of additional revenue in 2025 and is expected to reach 50% in 2026.

• Web Presence & Productivity remains the core segment, with Cloud Solutions also showing robust growth, especially in public cloud offerings.

• The company is transitioning to an AI-first business model, driving both external product innovation and internal operational efficiency.

• European cloud market expansion and digital sovereignty trends are supporting structural growth.

Financial highlights

• 2025 revenue reached EUR 1.317 billion, up 5.5% YoY (6.1% in constant currency).

• Adjusted EBITDA grew 18.5% to EUR 485.2 million, with margin expanding to 36.8% (up 4 percentage points YoY).

• Q4 revenue was EUR 336.7 million (+3.6% YoY), with Adjusted EBITDA at EUR 116.8 million (+11.9% YoY), margin at 34.7%.

• Free cash flow after leases was EUR 308 million, up from EUR 296 million in 2024.

• Adjusted EPS increased 50% YoY to EUR 1.53.

Outlook and guidance

• 2026 revenue growth guided at ~7% constant currency, with Web Presence & Productivity expected to grow 7-8% and Cloud Solutions ~10%.

• Adjusted EBITDA guidance for 2026 is EUR 530 million, with margin expected to rise to 37-38%.

• Midterm targets reaffirmed: double-digit group revenue growth (>10%), Cloud Solutions >20% CAGR, and Adjusted EBITDA margin of 40%.

• CapEx for 2026 expected at EUR 75-85 million (~6% of revenue).