OVS (OVS) Q3 2025 earnings summary

Executive summary

• Net sales for Q3 2024 rose 12.8% year-over-year to €414.7 million, with adjusted EBITDA up 31.7% and profit before tax up 70.9%, driven by strong brand and product performance, especially in the women’s and beauty segments.

• For the nine months ended 31 October 2024, net sales increased 6.7% to €1,176.3 million, with adjusted EBITDA up 11.3% and profit before tax up 20.4% year-over-year.

• Upim posted record results since acquisition, outperforming OVS year-to-date, while Stefanel showed strong recovery in the second half due to new creative leadership.

• Strategic focus on women’s, kids', and men’s segments, new house brands, and beauty products drove increased store traffic and customer base expansion.

• Operating leverage from higher sales drove margin improvements, offsetting increased personnel costs.

Financial highlights

• Q3 2024 adjusted EBITDA margin improved to 11.1% from 9.5% in Q3 2023; EBIT margin rose to 7.0% from 5.1%.

• Nine-month adjusted EBITDA margin reached 11.5%, up from 11.0% in 9M 2023; EBIT margin increased to 7.3%.

• Last twelve months net sales and EBITDA reached €1,609 million and €196 million, respectively, with a 12.2% EBITDA margin.

• Cash flow before dividends and treasury share purchases increased by €8.0 million year-over-year, mainly due to higher EBITDA.

• OVS EBITDA margin approached 13%, Upim exceeded 10%.

Outlook and guidance

• Q4 sales and EBITDA are expected to align with strong 2023 performance and market consensus, with full-year growth in turnover and EBITDA confirmed.

• November-December sales trend is in line with last year, with expectations to close the quarter and year slightly above 2023.

• Guidance for full-year CapEx is €90–95 million, with a reduction expected in future years.

• Growth drivers for next year include easier first-half comparisons, new projects (notably Les Copains), continued beauty segment expansion, new store openings, and Goldenpoint consolidation.

• Interest confirmed in acquiring part of Conbipel's retail network, with further consolidation opportunities being explored.