Earnings release
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EBITDA up +12.3% in the first nine months of 2025 with sales growth of +2.9% at constant exchange rates Agrate Brianza, November 6, 2025- The Board of Directors of Intercos S.p.A. (ICOS.MI), at today’s meetingchaired by Dario Gianandrea Ferrari, approved the Interim Report for the period ended September 30, 2025.oNet Salesin the first nine months of the year of€785.6 million, up +2.9%at constant exchange rates (+1.4% atcurrent exchange rates). Despite the challenging geopolitical and market environment, compared to 2024sales were supported by the strong performance of the most innovative business unit, with Make-upexpanding +8.8%, the substantially stable skincare result, while contract manufacturing business volumes (i.e.Hair&Body) contracted. The third quarter reported sales of€260.7 million, decreasing -2.7% at constantexchange rates (-5.3% at current exchange rates) compared to the previous year. The performance reflects thehigh comp. base (+11.6% in 3Q24 vs. 3Q23), the lower packaging invoiced to customers, together with thehighly unfavorable exchange rates.oAdjusted EBITDAin the first nine months of the year was€115.9 million, growth of+12.3% (+€12.7 million),thanks to a sharp rise in profitability for all three quarters of 2025. The third quarter saw growth of +5.4% to€41.4 million, with a sales margin of15.9%(+161Bpson 2024).oTheNet Financial Positionat September 30, 2025 was€133.7 million, up +€16 million on September 30,2024, mainly reflecting the higher capex to expand the production capacity.Financial leverage(net financialposition on adjusted EBITDA over the last twelve months) was0.86x, in line with the previous year (0.85x atSeptember 30, 2024), despite the dividends distributed and the launch of the Buyback program. The netfinancial position at September 30, 2025, excluding the IFRS16 impact, was €95.5 million. 1INTERCOS S.P.A. - REGISTERED OFFICE: PIAZZA GENERALE ARMANDO DIAZ NO. 1 - 20123 MILAN (MI) - SHARE CAPITAL EURO 11,313,514.75 FULLY PAID-IN - COMPANIES REG. 05813780961 R.E.A. 1850176 - TAX CODE AND VAT NUMBER 05813780961 - VAT NUMBER FOR EU TRANSACTIONS IT 05813780961OPERATIONAL HEADQUARTERS: VIA G. MARCONI, 84 - 20864 AGRATE BRIANZA (MB) - TEL. +39-03965521 (10 LINES) - FAX +39-039654498 Renato Semerari, CEO of Intercos“Following 3 years of strong sales growth (+16.5% CAGR) and in a year featuring significant geopoliticaltensions, less stable market trends than expected and unfavorable currency movements, Intercos continues onits growth path by focusing on profitability. This enables us to confirm our EBITDA growth targets both for thefirst 9 months of the year and for the last quarter.It is important in fact to highlight the significant increase in our Group’s profitability for all the quarters of 2025,which after many years of strong sales expansion underlines the benefits delivered by the work of our teamacross the world.Sales at constant exchange rates for the first nine months of the year in fact were up +2.9%, with EBITDAincreasing +12.3% and the margin on net sales increasing 143Bps on the previous year to 14.7%. This marginhowever strengthened further in the third quarter reaching 15.9% (+161Bps).We believe that this is the best way to consolidate the strong sales growth achieved to date, in anticipation of aglobal beauty market recovery and particularly for the categories in which our Group is the undisputed marketleader. Ahead of this recovery, which is expected to emerge in 2026, internal activities have been significantlyintensified: the Group has expanded its production capacity in Asia (both in China and South Korea) and hascontinued to invest in innovation, with a marked focus on Advanced Research. Moreover it has revised the
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2 Sales by Business Unit, Commercial area, customer type at CURRENT EXCHANGE RATES Group Net Sales in the first nine months of the year amounted to€785.6 million,growth of+2.9%at constantexchange rates (+1.4% at current exchange rates). The third quarter reported sales of€260.7 million,decreasing -2.6% at constant exchange rates (-5.3% at current exchange rates), substantially due to thereduced packaging invoiced to end customers, which had increased significantly in the third quarter of 2024.Analyzing revenues bybusiness unit:-Make-upreported sales in the first nine months of€495 million,up+8.8%on 2024. The Multinationalshave supported the growth of the business unit in all regions in which the Group operates, and primarilyAsia and EMEA. The prestige segment saw the strongest growth. The contraction in the third quarterreflects the very high comparative figure (+14.6% in 2024 compared to 2023), which was driven by anelevated “packaging” component (i.e. “Full-Service” sales).-Skincarefor the first nine months of 2025 reports sales of€121.2 million, a slight decrease on 2024 (-3.2%or -€4 million), mainly due to the gap generated in the first quarter (third quarter +2.3%). The business unitcontinues to report increasing sales in EMEA and Asia, both for the Multinationals and the EmergingBrands, offset however by lower USA sales, mainly due to the fluctuating market trends and theuncertainties arising from the tariff policies.INTERCOS S.P.A. - REGISTERED OFFICE: PIAZZA GENERALE ARMANDO DIAZ NO. 1 - 20123 MILAN (MI) - SHARE CAPITAL EURO 11,313,514.75 FULLY PAID-IN - COMPANIES REG. 05813780961 R.E.A. 1850176 - TAX CODE AND VAT NUMBER 05813780961 - VAT NUMBER FOR EU TRANSACTIONS IT 05813780961OPERATIONAL HEADQUARTERS: VIA G. MARCONI, 84 - 20864 AGRATE BRIANZA (MB) - TEL. +39-03965521 (10 LINES) - FAX +39-039654498 organization and internal processes to improve the ability to respond in a timely manner to the emergingexpectations of local customers. We believe in fact that the era of major globalization has concluded and that ithas become increasingly important to provide our branches with a more decisive level of autonomy oninnovation than in the past. Our global presence is a competitive advantage, which we are confident willbecome an increasingly important factor and which we intend to increasingly capitalize upon.€/mln 9M25 9M24Var. % vs. 9M243Q25 3Q24Var. % vs. 3Q24Business UnitMake-up 495.0 455.0 40.0 8.8% 161.9 171.6 (9.8) (5.7%)Skincare 121.2 125.2 (4.0) (3.2%) 43.2 42.2 1.0 2.3%Hair&Body 169.4 194.9 (25.5) (13.1%) 55.7 61.3 (5.7) (9.2%)Total Net Sales 785.6 775.1 10.5 1.4% 260.7 275.2 (14.5) (5.3%)Commercial CompanyEMEA 399.9 404.3 (4.4) (1.1%) 139.2 140.9 (1.7) (1.2%)Americas 216.9 215.5 1.4 0.6% 69.5 80.0 (10.5) (13.1%)Asia 168.9 155.4 13.5 8.7% 52.0 54.3 (2.3) (4.2%)Total Net Sales 785.6 775.1 10.5 1.4% 260.7 275.2 (14.5) (5.3%)Customer TypeMultinationals 392.6 348.7 43.9 12.6% 131.8 128.2 3.5 2.8%Emerging Brands 341.1 378.8 (37.6) (9.9%) 112.6 129.4 (16.8) (13.0%)Retailers 51.9 47.6 4.3 9.0% 16.4 17.6 (1.2) (6.8%)Total Net Sales 785.6 775.1 10.5 1.4% 260.7 275.2 (14.5) (5.3%)
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3 -Hair&Bodyin the first nine months reported sales of€169.4 million, a contraction of-13.1%andreflecting, as reported for the half-year, a number of new product launches to EMEA customers thatpositively impacted 2024 (+13.7% on 2023).In terms of sales bycommercial area:-EMEAreported sales in the first nine months of 2025 of€399.9 million, a slight contraction on theprevious year (-1.1%), reflecting the strong Make-up and Skincare Multinationals performance, offsethowever by the Hair&Body business unit contraction. The prestige customers performed well. Thistrend was visible also in the third quarter, which also saw a slight contraction (-1.2%).- TheAmericasreported a slight increase in net sales in the first nine months (+0.6%) to€216.9 million.The prestige segment performed the best, particularly the Multinationals. Make-up saw significantgrowth, while Skincare was more moderated. Following the good performance for the first twoquarters, the third quarter declined (-13.1% on the previous year). The market continues to be highlyvolatile, with customers taking a more cautious approach than in the past, as they wait to understandthe real impacts on end customers from the tariff policies introduced during the year.-Asia, despite a highly challenging 2024 figure (+28.9% on 2023), continues to see the highest growthrates (+8.7%on the first nine months of 2024), reporting sales of€168.9 million,thanks to goodgrowth both in China and Korea and particularly for the Make-up segment. The Emerging Brands andthe Multinationals also contributed strongly, with the latter recovering on the previous year. Thecontraction in sales in the third quarter of -4.2% (or -€2.3 million) was mainly due to the unfavorablecurrency movements affecting both the Korean Won and the Chinese Renminbi. The expected medium-term growth trends remain unchanged.Finally, with regards to sales bycustomer type:- TheMultinationalsreported sales for the first nine months of€392.6 million,growth of+12.6%on2024. The Make-up business unit drove growth across all Regions. The prestige segment saw thestrongest growth. This customer type grew also in the third quarter (+2.8%).- TheEmerging Brandshowever saw a reduction in sales of-9.9%, with revenues of€341.1 million. TheEMEA and USA Hair&Body results affected the overall performance. Within the customer groups, theperformance was positive in Asia, both for Skincare and for Make-up. The same dynamics characterizedthe third quarter of the year, which contracted -13%.- TheRetailercustomers reported sales of€51.9 millionin the first nine months of the year, up+9%,following on from the year of 2024 which featured a marked decline. The growth was mainly driven bythe good Hair&Body performance.INTERCOS S.P.A. - REGISTERED OFFICE: PIAZZA GENERALE ARMANDO DIAZ NO. 1 - 20123 MILAN (MI) - SHARE CAPITAL EURO 11,313,514.75 FULLY PAID-IN - COMPANIES REG. 05813780961 R.E.A. 1850176 - TAX CODE AND VAT NUMBER 05813780961 - VAT NUMBER FOR EU TRANSACTIONS IT 05813780961OPERATIONAL HEADQUARTERS: VIA G. MARCONI, 84 - 20864 AGRATE BRIANZA (MB) - TEL. +39-03965521 (10 LINES) - FAX +39-039654498
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4 EBITDAGroupAdjusted EBITDAin the first nine months amounted to€115.9 million, increasing+12.3%(or+€12.7 million), thanks to a significant expansion in profitability to14.7%(+143Bps) and a slight increasein sales. The EBITDA margin on net sales was up significantly for all quarters (+225Bps in the first quarter,+103Bps in the second and +161Bps in the third). This result was made possible by (i) the actionsundertaken by the operations team to improve processes, (ii) the growth in Make-up sales, which returnedto account for more than 60% of total Group business and (iii) a rebalancing of the sales mix between “full-service” and “free-issue” which, particularly in the second half of 2024, resulted in a significant increase inthe packaging sold to customers, a factor which while supporting sales had eroded margins.9M24 9M25103.2115.9+12%3Q24 3Q2539.241.4+5%15.9%14.3%13.3%14.7%€mOutlook & Guidance2025 continues to be a very particular year for the Beauty market globally, with the Group’s focus onhigher added-value categories and on operations, allowing Intercos to increase profitability in a tangibleway.While Europe continues to see low growth rates, although in line with expectations, the US market - themost important for the Beauty sector globally - continues to see significant volatility, with oftencontracting volumes across the various categories in which our Group operates, and increased averageprices most likely also related to the tariffs introduced over the preceding months. Asia, and in particularChina, reports stronger growth on the previous year, although is now the market most highly dependenton specific promotional activities such as the “Double Eleven” (the largest online shopping event) or the“6/18” (the second largest online event in China).Against this market backdrop, we expect, after two years of mixed trends, 2026 to see a tangiblerecovery, driven by the recovery in the US market and an improved performance in China. At the sametime, the emerging markets such as India shall increasingly contribute to the development of the overallBeauty market globally, and particularly for the Make-up segment.INTERCOS S.P.A. - REGISTERED OFFICE: PIAZZA GENERALE ARMANDO DIAZ NO. 1 - 20123 MILAN (MI) - SHARE CAPITAL EURO 11,313,514.75 FULLY PAID-IN - COMPANIES REG. 05813780961 R.E.A. 1850176 - TAX CODE AND VAT NUMBER 05813780961 - VAT NUMBER FOR EU TRANSACTIONS IT 05813780961OPERATIONAL HEADQUARTERS: VIA G. MARCONI, 84 - 20864 AGRATE BRIANZA (MB) - TEL. +39-03965521 (10 LINES) - FAX +39-039654498
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During this period of market transition, our Group, while on the one hand consolidating the sharp sales growthof the preceding years, on the other is strongly recovering profitability. At the same time, it is executingmultiple initiatives to gain market share over the short-term.The initiative to increase production capacity is continuing as expected, which in the first nine months of 2025saw the South Korea plant double, alongside one of the Chinese plant. At the same time, new technologies arebeing developed at our various research centers across the world, and new product processing technologiesare at an advanced stage of development.Finally, we are making organizational changes to strengthen the capacity and autonomy of our regionalresearch centers to be able to anticipate locally emerging trends more quickly and efficiently.Looking to the short-term, for the remainder of the year we confirm the guidance provided on publishing thefirst half results, and therefore a Full-Year 2025 adjusted EBITDA of approximately €155 million, reflecting agrowth of more than €10 million on 2024 and in line with the current consensus expectations.Outlook & Guidance 5INTERCOS S.P.A. - REGISTERED OFFICE: PIAZZA GENERALE ARMANDO DIAZ NO. 1 - 20123 MILAN (MI) - SHARE CAPITAL EURO 11,313,514.75 FULLY PAID-IN - COMPANIES REG. 05813780961 R.E.A. 1850176 - TAX CODE AND VAT NUMBER 05813780961 - VAT NUMBER FOR EU TRANSACTIONS IT 05813780961OPERATIONAL HEADQUARTERS: VIA G. MARCONI, 84 - 20864 AGRATE BRIANZA (MB) - TEL. +39-03965521 (10 LINES) - FAX +39-039654498
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OTHER INFORMATIONDECLARATION OF THE EXECUTIVE OFFICER FOR FINANCIAL REPORTINGMr. Vittorio Brenna, as Executive Officer for Financial Reporting, declares - in accordance with paragraph 2, Article 154-bis ofLegislative Decree No. 58/1998 (“Consolidated Finance Act”) - that the accounting information included in this press releasecorresponds to the underlying accounting records.RESULTS PRESENTATION CONFERENCE CALLThe first nine months 2025 results shall be presented to analysts and investors on November 6, 2025 at 6.30PM (CET). The conferencemay be followed by connecting to the following numbers: +39 02 8020911 (from Italy), +44 1 212818004 (from UK), +1 718 7058796(from USA), (for journalists +39 02 8020927). The supporting presentation for the conference call shall be made available on thecompany website www.intercos-investor.com in the “Investor Relations” section at the following link: https://www.intercos-investor.com/investors/documenti-finanziari/presentazioni/ and on the "1info” storage mechanism at www.1info.it. From the daysubsequent to the call, a recording of the call shall be made available on the same website.UPCOMING FINANCIAL CALENDAR EVENTSThe date of publication of the Annual Financial Report at December 31, 2025 will be announced on the publication of the next financial calendar. IDENTIFICATION CODESISIN Code of the Shares: IT0005455875Symbol: ICOSINTERCOS GROUPIntercos is one of the leading business-to-business operators internationally in the creation, production and marketing of cosmetics(Make-up) and Skincare products, in addition to hair and body care products (Hair&Body), for leading domestic and internationalbrands, emerging brands and retailers serving the cosmetics market and the wider beauty sector. Founded in 1972 by Dario Ferrari,Intercos lists the top cosmetics brands among its customers, with a staff of over 6,000, 12 research centers, 16 production facilities and16 commercial offices across three continents. Intercos for over 50 years has interpreted beauty, creating cosmetic products andbecoming a trend setter which predicts, anticipates and influences new cosmetic trends, meeting the demands of a range ofcustomers with products for all price ranges.NOTE AND DEFINITIONSAlternative performance measures, not covered by IFRS, are used by management for a better assessment of the Group’s operatingand financial performance and are in line with the Group’s performance policies and control parameters. These measures should notbe considered to replace those set out in the IFRS.The alternative performance measures not stemming directly from the financial statements are outlined below:• EBITDA: this is defined as the sum of net profit for the period, plus income taxes, financial income and expense, and the effects ofvaluing equity investments held as financial investments using the equity method and amortization and depreciation.• Adjusted EBITDA: this is obtained by deducting from EBITDA those components evaluated by the Company as non-recurring, i.e.,particularly significant events that are not linked to the ordinary performance of the core businesses or that do not determine cashflows and/or changes in the amount of equity.• Net debt (cash) or net financial position: the sum of current and non-current financial payables, net of current and non-currentfinancial receivables, including cash and cash equivalents;Other definitions:• Order-in-take: means all orders legally placed and processed by a company during the accounting period or fiscal year under review.• Order Book: open order book at a certain date6INTERCOS S.P.A. - REGISTERED OFFICE: PIAZZA GENERALE ARMANDO DIAZ NO. 1 - 20123 MILAN (MI) - SHARE CAPITAL EURO 11,313,514.75 FULLY PAID-IN - COMPANIES REG. 05813780961 R.E.A. 1850176 - TAX CODE AND VAT NUMBER 05813780961 - VAT NUMBER FOR EU TRANSACTIONS IT 05813780961OPERATIONAL HEADQUARTERS: VIA G. MARCONI, 84 - 20864 AGRATE BRIANZA (MB) - TEL. +39-03965521 (10 LINES) - FAX +39-039654498
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OTHER INFORMATION APPOINTMENT OF THE NEW GROUP CHIEF FINANCIAL OFFICER AND EXECUTIVE OFFICER FOR FINANCIAL AND SUSTAINABILITY REPORTING It is recalled that, following the resignation of Mr. Stefano Zanelli, Group Chief Financial Officer of Intercos Group, Executive Officer for Financial Reporting (e.g. Dirigente Preposto) and Senior Director with Strategic Responsibilities of the Company (DIRS), as of September 13, 2025, Mr. Vittorio Brenna, Group Chief Operating Officer, has been appointed as – ad interim – Group Chief Financial Officer and Executive Officer for Financial Reporting, for the time required to the search for a suitable candidate to fill these roles. It is announced that the selection process has been concluded with the identification of Mrs. Paola Agasso as new Group Chief Financial Officer of Intercos Group, considering her high managerial profile and proven professional experience in the economic and financial sector, gained in Italian and multinational companies. The Board of Directors of Intercos S.p.A. on November 6, 2025, after consulting the Nomination and Remuneration Committee, therefore appointed Mrs. Paola Agasso as the new Group Chief Financial Officer of Intercos Group, with effect from December 1, 2025. Mrs. Paola Agasso will report directly to Mr. Vittorio Brenna, who will hold his role as Chief Operating Officer of Intercos Group. In addition, today the Board of Directors of the Company, subject to the favorable opinion of the Board of Statutory Auditors, in compliance with the requirements of the law and the Articles of Association, appointed Mrs. Paola Agasso as the new Executive Officer for Financial Reporting (e.g. Dirigente Preposto) as of December 1, 2025 and until revocation, with responsibility for the certifications pursuant to art. 154-bis of the TUF, including the certification on sustainability reporting. It should be noted that, as of today, on the basis of the information available, Mrs. Paola Agasso does not hold any shares of the Company. DISCLAIMER The information presented in this document has not been audited. This document may contain forward-looking statements relating to future events and results of operations, financial position and cash flows of Intercos. These statements by nature contain an element of risk and uncertainty in that they depend on future events and developments. The actual results may even diverge significantly from those announced, due to a range of factors. CONTACTS Media Relations: Image Building Via Privata Maria Teresa, 11 20123 – Milan Tel. +39 02 89011300 intercos@imagebuilding.it Group Financial Sr. Director & IR: Intercos S.p.A. Andrea Tessarolo tel. +39 039 65521 investor.relations@intercos.com 7INTERCOS S.P.A. - REGISTERED OFFICE: PIAZZA GENERALE ARMANDO DIAZ NO. 1 - 20123 MILAN (MI) - SHARE CAPITAL EURO 11,313,514.75 FULLY PAID-IN - COMPANIES REG. 05813780961 R.E.A. 1850176 - TAX CODE AND VAT NUMBER 05813780961 - VAT NUMBER FOR EU TRANSACTIONS IT 05813780961 OPERATIONAL HEADQUARTERS: VIA G. MARCONI, 84 - 20864 AGRATE BRIANZA (MB) - TEL. +39-03965521 (10 LINES) - FAX +39-039654498