Belgium's Azelis Q3 revenue rises on volume growth

By Reuters News


Overview

  • Belgium specialty chemicals distributor's Q3 revenue rose 8.5% yr/yr in constant currency, driven by organic growth

  • Adjusted EBITA for Q3 up 14.6% yr/yr, mainly from organic growth

  • Company recorded EUR 350 mln non-cash goodwill impairment in Americas


Outlook

  • Azelis targets positive organic adjusted EBITA growth for full year 2026

  • Company aims for mid to high single-digit annual gross profit growth in the medium term

  • Company says near-term market conditions limit visibility on pace of recovery


Result Drivers

  • INDUSTRIAL CHEMICALS GROWTH - Strong organic growth in Industrial Chemicals segment drove overall group revenue

  • PRICING AND VOLUME - Gross profit margin expansion attributed to volume growth and constructive pricing

  • COST DISCIPLINE - Conversion margin expanded due to continued cost discipline while pursuing growth


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

9M Revenue

EUR 3.29 bln

9M Adjusted EBITA

EUR 347 mln

9M Adjusted EBITA Margin

10.50%

9M Free Cash Flow

EUR 190 mln

9M Gross Profit

EUR 786 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 7 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the diversified industrial goods wholesale peer group is "buy"

  • Wall Street's median 12-month price target for Azelis Group NV is €14.00, about 10.2% above its October 21 closing price of €12.70

  • The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 11 three months ago


Reuters Recommended Reads

  • Oct 20 - Switzerland's ABB Q3 revenue rises 14%, to form joint venture with Mitsubishi Electric

  • Oct 20 - Germany's Deutsche Boerse Q3 net revenue rises, lifts FY outlook

  • Oct 20 - Adidas prelim Q3 operating profit rises as full-price sales support gross margin gains


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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