Villeroy & Boch successfully holds its own in the 2025 financial year despite challenging market conditions

In the 2025 financial year, the Villeroy & Boch Group increased its revenue by 1.8% to €1,447 million in a difficult market environment, driven by acquisitions. Operating EBIT of €97.8 million reflected a stable result.

Gabi Schupp, Chair of the Management Board of the Villeroy & Boch Group: "For us, 2025 was all about strategic realignment. We have consistently honed our brand positioning while further strengthening our profitability. The acquisition of Ideal Standard has made us significantly more resilient in an economic environment that remains challenging. As a result, we were able to hold our own despite a general reluctance to spend and a weak construction sector."

Bathroom & Wellness: Acquisition-driven increase in sales and stable operating profit

The Bathroom & Wellness Division increased its revenue by 2.3% to €1,124.5 million in the 2025 financial year due to acquisitions, slightly exceeding the previous year's level despite the difficult situation in the construction sector. Adjusted for currency effects, sales increased by 3.4%. The Europe, Middle East, Africa region (EMEA) developed positively, while Asia Pacific and the Americas recorded a decline. The strongest sales growth was achieved by taps and shower systems as well as sanitary ceramics. This performance was driven by successful innovations such as ALU+ made from recycled aluminium, the new Vortex flushing technology and the i.life, Architectura and Antao collections. The Bathroom & Wellness Division closed the year with an operating profit (EBIT) of €65.2 million, on a par with the previous year.

Dining & Lifestyle: Stable business performance despite weak consumer demand

The Dining & Lifestyle business division maintained its position in the 2025 financial year with sales of €319.8 million despite subdued consumer spending, recording an increase in sales of 1.0% (excluding licence sales). The strong fourth quarter and successful new launches, such as the Fleur collection, particularly contributed to the result. In regional terms, the Asia Pacific and Americas regions developed positively, while the Europe, Middle East, Africa region recorded a slight decline. In terms of sales channels, the stationary retail partners stood out with growth of 9.4%. The Dining & Lifestyle business division successfully closed the 2025 financial year with an operating profit (EBIT) of €32.6 million, up on the previous year despite the difficult economic environment.

Investments

In the 2025 financial year, the Villeroy & Boch Group continued to invest heavily in property, plant and equipment as well as intangible assets, totalling €45.8 million, primarily in the modernisation of production facilities and company-owned retail shops.

Dividend

The Supervisory Board and Management Board will propose a dividend of €0.80 per ordinary share and €0.85 per preference share at the Annual General Meeting on 8 May 2026.

Outlook for 2026

In view of the current economic situation, and particularly in the context of geopolitical tensions, such as the current conflict in the Gulf region, Villeroy & Boch expects consolidated sales in the 2026 financial year to be in the mid to high single-digit percentage range below the prior year, with an operating EBIT of €75 to €85 million. As a result of the sale of the Northern European business of the Gustavsberg and Vatette brands effective 1 October 2025, net sales and operating EBIT in the first three quarters of 2026 are expected to fall significantly below the previous year, in line with this forecast. The financial year will continue to be influenced by integration expenses and the ongoing alignment of the production network. The Group plans to invest up to €50 million in the current financial year, primarily toward the further strategic expansion of the two divisions and the introduction of SAP S/4HANA enterprise software.

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