Jefferies believes the results are in line with expectations and the outlook for fiscal year 2026 indicates organic growth slightly lower than that of fiscal year 2025, while profitability is expected to improve further, broadly in line with forecasts.
Full-year EBITDA rose by 5.6% year-on-year to reach 1,700 million, in line with consensus (1,697 million, Jefferies: 1,699 million).
Adjusted EBIT grew by 4.6% year-on-year to 767 million, in line with consensus. Adjusted EPS was up 5.2% year-on-year at 1.85, which is 1% higher than consensus forecasts of 1.83 (Jefferies 1.84).
Free cash flow (FCF) for fiscal year 2025 is up 3.5% year-on-year to 358.6 million, consistent with market forecasts (360 million, Jefferies estimates: 365 million).
According to the analyst, the main positive takeaways today are the confirmation of the upcoming drop in energy costs and the share buyback, which is significantly higher than forecasts (up to 500 million compared to the 200 million expected by Jefferies / estimate: 150 to 200 million).
Oddo BHF believes for its part that Elis confirms excellent fundamentals, providing reassurance on its margins and FCF generation despite an unfavorable economic context (including the Middle East).
According to the analyst, the announcement of a share buyback program of up to 500 million is a significant additional asset; while continuing to show a 0.1x decrease in its leverage ratio and pursuing external growth operations.
"For 2026, the group's objectives are based notably on organic growth slightly lower than in 2025, which is consistent with the slight decline in contract signings recorded in the 4th quarter. We are therefore leaving our estimates unchanged (2026 LFL: +3.5%e versus 3.8% in 2025). The EBITDA margin is expected to show a slight improvement (+10bps in our view), supported by continued productivity gains across all geographies," Oddo BHF highlighted in its report today.
Elis figures among the European leaders in services of rental and maintenance of table and household linen, work clothes and hygiene and wellness equipment. The services are provided to more than 400,000 companies operating in the hotel and restaurant trade, the health sector (public hospitals, private clinics and retirement homes), industry, commerce (hypermarkets and supermarkets and retail stores) and services (cleaning companies, the professions, public authorities, etc.).
At the end of 2025, the group had more than 480 production and distribution centers worldwide.
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