Puig Brands (PUIG) H2 2025 earnings summary

Executive summary

• Achieved record net revenue of €5,042 million in FY2025, up 7.8% like-for-like and 5.3% reported, at the top end of guidance, outperforming the premium beauty market.

• Adjusted EBITDA reached €1,045 million (20.7% margin), with adjusted net profit of €587 million (11.6% margin) and reported net profit of €594 million (11.8% margin), both showing year-over-year improvement.

• Free cash flow conversion was 64% of adjusted EBITDA; leverage reduced to 0.7x net debt/EBITDA, well below the 2x threshold.

• Growth was broad-based across all segments and regions, with double-digit like-for-like growth in Asia Pacific.

• Completed five-year strategic plan, more than tripling 2020 revenue by 2025.

Financial highlights

• Net revenue: €5,042 million (+7.8% like-for-like, +5.3% reported year-over-year); gross profit: €3,787 million, gross margin: 75.1% (up 19 bps year-over-year).

• Adjusted EBITDA: €1,045 million (20.7% margin, up 49 bps year-over-year).

• Adjusted net profit: €587 million (11.6% margin, up 6.5% year-over-year); reported net profit: €594 million (11.8% margin, up 11.9%).

• Free cash flow from operations: €664 million; operational cash flow: €684 million; CapEx: 4% of net revenues.

• Net debt/adjusted EBITDA: 0.7x, down 0.4x from 2024.

Outlook and guidance

• 2026 guidance expects stable adjusted EBITDA margins, continued investment in brands, and ongoing FX/tariff headwinds.

• Like-for-like revenue growth expected to outperform the premium beauty market; negative FX impact anticipated, especially in Q1.

• Dividend payout ratio to remain at ~40% of reported net profits; €237 million dividend (€0.42/share) proposed for 2025.

• Capital structure policy unchanged, targeting net debt/EBITDA ≤2x; selective M&A approach to continue.

• Plans for new product launches and Capital Markets Day on April 14, 2026.