Villeroy & Boch stays on course and confirms adjusted full-year forecast in a volatile market environment

What happened

Villeroy & Boch keeps its adjusted full-year forecast and expects to stay within its target range despite geopolitical tensions. Nine-month revenue fell 11.1% to €956.2 million, or 5.2% adjusted for currency effects and the sale of its Northern European brands.

Confirmed

Global impact / market context

Revenue fell because of currency effects and the sale of Gustavsberg and Vatette, which trimmed the business. Operating profit dropped to €40.9 million, and one-off tax effects pushed the group to a €12.4 million loss, so the confirmed forecast rests on the adjusted figures.

Analyst inference

Orders on hand rose to €167.4 million from €150.4 million, which means orders already received but not yet delivered. That gives the company a clearer view of future sales, supporting its decision to confirm the full-year target despite volatile markets.

Analyst inference

What to watch

1. Watch whether the company converts its higher order backlog of €167.4 million into revenue in the fourth quarter, since orders on hand are already received but not yet delivered. Confirmed
2. Watch management's adjusted full-year forecast for revenue and operating earnings, which means profit before interest and taxes, to see if it stays within the defined target range. Proposed
3. Watch costs tied to geopolitical tensions and any further divestments, which means selling business units, because these factors cut revenue and operating profit in the first nine months. Analyst inference

Evidence

• eqs-news.com