ARYZTA (ARYN) H2 2025 earnings summary

Executive summary

• Revenue reached €2,223.3m for FY2025, with organic growth of 1.5% driven by both volume and price increases.

• EBITDA was €306.9m with a margin of 13.8%, above guidance and reflecting resilience amid cost inflation.

• Free cash flow totaled €120.0m, supporting a 5.7% increase in EPS to €4.25.

• Leadership changes and board transitions planned, with a new Chair and permanent CEO to be appointed at AGM 2027; head office relocation to Zug subject to approval.

• Strategic repositioning included customer negotiations, innovation driving 19% of revenue, and new capacity investments in Switzerland, Portugal, and Poland.

Financial highlights

• Revenue increased to €2,223.3m from €2,194.5m year-over-year; organic growth was 1.5%.

• EBITDA margin at 13.8% (down from 14.6% in 2024) due to input cost inflation, partially offset by pricing and cost savings.

• Free cash flow conversion at nearly 40% of EBITDA.

• EPS increased 5.7% to €4.25; ROIC at 12.1%, well above WACC of 8%.

• Net debt to EBITDA improved to 2.6x; core equity ratio rose to 21.1% from 15.6%.

Outlook and guidance

• Midterm plan targets: low-to-mid single-digit organic growth, EBITDA margin ≥15%, EBIT margin ≥9%.

• CapEx to remain at 3.5%-4.5% of revenue; net debt leverage targeted at 1.5-2x.

• Guidance for 2026: continued strong cash flow, stable financing costs (€40-43m), and further progress on capital return policy.

• Board to publish capital return policy in 2026, with potential for dividends or share buybacks.

• Plans to repurchase last remaining CHF 144.3m hybrid bond at next interest payment date.