BIC (BB) Q3 2025 earnings summary

Executive summary

• Q3 2025 marked the third consecutive quarter of negative organic growth, with net sales up 0.3% at constant currency but down 3.3% excluding Tangle Teezer, reflecting ongoing challenges and leading to a downward revision of the 2025 outlook.

• Tangle Teezer contributed robustly, while other acquired businesses (Skin Creative, Rocketbook, Cello) underperformed.

• U.S. performance remained weak, with only stationery showing improvement; other regions saw growth in value-added products and back-to-school sales.

• CEO's first major action was the divestiture of Cello in India to reduce complexity and sharpen operational focus.

Financial highlights

• Q3 2025 net sales: €519 million, down 3.9% as reported, up 0.3% at constant currency; excluding Tangle Teezer, down 3.3%.

• 9M 2025 net sales: €1,595 million, down 5.0% as reported, down 1.6% at constant currency; excluding Tangle Teezer, down 5.4%.

• Adjusted EBIT margin for 2025 expected around 13.7%.

• Free cash flow for 2025 expected at approximately €210 million.

• Currency fluctuations, especially USD, BRL, and ARS, negatively impacted results.

Outlook and guidance

• Full-year 2025 outlook revised: net sales growth at constant currency expected between -1% and -1.5%.

• Adjusted EBIT margin forecasted at around 13.7%.

• Free cash flow guidance set at €210 million, including full impact of U.S. tariffs.

• U.S. tariffs to have a gross impact of nearly €15 million in 2025, with less than half offset at EBIT margin level; annualized impact for 2026 expected at €30 million.