2025 first half results: higher volumes and improved cash generation in H1; recovery in profitability in Q2
HIGHLIGHTS
- Confirmed recovery in volume growth in H1: revenue of €1,723 million, down -2.4% compared to H1 2024 mainly reflecting lower selling prices. Adjusted EBITDA[1] was €351 million, or a 20.4% margin, compared to €431 million and a 24.4% margin in H1 2024
- Strong sequential improvement in profitability in Q2: adjusted EBITDA for the quarter reached €204 million with a margin of 22.5%, up sequentially (+€57 million and +457 bps) compared to Q1 25 (adjusted EBITDA of €147 million and margin of 18.0%) thanks to stronger activity and a less negative inflation spread than in Q1
- Significant increase in cash generation: free cash-flow reached €66 million in H1 2025 compared to €(49) million in H1 2024, an increase of €115 million
- Net debt ratio at 6x last 12-month adjusted EBITDA (2.1x at the end of December 2024) after the payment of €202 million in dividends; liquidity[2] at €810 million as of June 30, 2025
- Successful outcome of BWGI’s voluntary public tender offer
[1] Adjusted EBITDA is calculated based on operating profit adjusted for depreciation, amortisation and impairment,
restructuring costs, acquisition and M&A costs, hyperinflationary effects, management share ownership plans, disposal related effects and subsidiary contingencies, site closure costs, and other items.
[2] Calculated as available cash + undrawn revolving credit facilities – outstanding commercial paper (Neu CP). Certain funds Bridge Loan is excluded from Liquidity as available only to refinance the existing bonds in the event of a change of control in the context of the BWGI Offer.
Patrice Lucas, Group Chief Executive Officer, said: ” In the second quarter, Verallia confirmed its organic volume growth and posted materially stronger profitability that in Q1. The increase in activity, the contribution of the Performance Action Plan (PAP) and strict cost discipline across the Group helped offset a still adverse inflation spread. These levers also drove a significant free cash flow improvement, in line with our annual target of over €200 million. Finally, together with the entire management team, we are delighted with the success of the public tender offer initiated by BWGI and we believe that, with the commitment to keep Verallia listed and a strong stake of c.30% of minority shareholders, BWGI has now the right shareholder basis to support Verallia in the execution of its strategic plan and creation of long-term value for all shareholders. »