(PRESS RELEASE) PADUA — The Board of Directors of the Group has reviewed and approved the key performance indicators for the third quarter and first nine months of 2025.
Angelo Trocchia, Safilo Chief Executive Officer, commented:
“In the third quarter, we confirmed the solidity of our results, with steady top-line growth and further strengthening of both margins and cash generation.
While the period was penalized by intensified forex headwinds, the strength of our contemporary and lifestyle brands supported a resilient sales increase of 2.1%, broadly in line with our first-half performance. Our diversified geographical footprint enabled us to offset a flat trend in North America with a high singledigit upside in Europe while, in emerging markets, continued growth in Asia-Pacific helped mitigate softness in the Rest of the World.
In the quarter, our operations continued to face pressure from tariffs. Yet the effectiveness of our mitigation actions, together with favourable price/mix dynamics and the gradual normalization of logistics and marketing costs, led to a year-on-year improvement in gross margin, and a significant increase in our adjusted EBITDA margin to 10% of sales.
Thanks to this solid operating performance and our disciplined working capital management, we delivered another quarter of robust cash flow generation, which enabled us, for the first time in our history, to reach a positive net financial position, pre-IFRS 16.
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We are proud of these results, which reinforce our confidence in the Group’s ability to navigate complexity and continue delivering sustainable growth.”
NET SALES PERFORMANCE
In the third quarter of 2025, Safilo’s net sales equalled Euro 220.8 million, confirming a positive trajectory at constant exchange rates, up 2.1%, broadly in line with performance recorded in the first half of the year. The further weakening of the US dollar against the euro was the main headwind to reported sales, which declined by 2.1% at current exchange rates.
Prescription frames continued to grow across all regions, while sunglasses sales supported acceleration in Europe, reflecting improving sell-out dynamics.
Carrera, David Beckham, Marc Jacobs, BOSS, Kate Spade and Carolina Herrera led the positive performance, confirming the momentum of Safilo’s contemporary and lifestyle brands across key markets. The quarter remained muted for Blenders, and for Smith’s sport products in stores.
Safilo closed the first 9 months of 2025 with net sales of Euro 758.4 million, up 2.2% at constant exchange rates, and in line with the first nine months of 2024 at current exchange rates (+0.1%).
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NET SALES PERFORMANCE BY GEOGRAPHY (in Euro million)
In North America, Q3 sales amounted to Euro 96.9 million, remaining in line with the same period of last year at constant exchange rates. At current exchange rates, revenues declined by 6.6%, reflecting the significant depreciation of the dollar against the euro.
Performance in the US was shaped by differing trends and dynamics, both across eyewear and sport products channels.
In the sports segment, Smith delivered solid growth in its direct-to-consumer business, benefiting from positive demand and effective online engagement. Sales to physical sport shops were instead affected by the ongoing recovery of sport products shipments from China.
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In the eyewear segment, the Group’s wholesale business achieved a mid-single digit increase, supported by solid sales to chains and independent opticians, with Tommy Hilfiger, Marc Jacobs, BOSS, Kate Spade and David Beckham serving as Safilo’s key engines.
The quarter remained challenging for Blenders’ e-commerce, penalized by intense promotional campaigns run by several players in the value-for-money segment.
Sales in North America totalled Euro 317.8 million in the first nine months of 2025, up 1.9% at constant exchange rates and down 1.1% at current exchange rates compared to the first nine months of 2024.
In Europe, Q3 sales reached Euro 90.9 million, up 7.7% at constant exchange rates and 6.7% at current exchange rates.
Growth in the region was led by the continued outperformance of the prescription frames business, also supported by a favourable phasing of deliveries to certain clients, and a rebound in sunglasses sales, particularly in Italy, following the weak performance recorded in May.
Positive momentum was supported by sustained demand from independent opticians and chains, further enhanced by the ongoing adoption of the You&Safilo BtB platform.
Growth was broad-based across the Group’s brands portfolio, with Carrera, David Beckham, Marc Jacobs, Tommy Hilfiger, BOSS, and Carolina Herrera further strengthening their competitive position.
France continued to make the strongest contribution, benefiting from an expanding customer base and dynamic commercial and marketing efforts. The country’s growth was again fuelled by the Group’s leading international brands as well as regional successes such as Isabel Marant, which continued to gain traction among French consumers.
Safilo maintained solid momentum in Germany within independent opticians and internet pure players, while again delivering strong growth in Poland and Turkey, its largest markets in Eastern European.
In the first nine months of 2025, sales in Europe totalled Euro 334.0 million, up 3.2% at constant exchange rates and 3.0% at current exchange rates compared to the same period of 2024.
In Asia and Pacific, Q3 2025 sales amounted to Euro 13.8 million, up 7.8% at constant exchange rates and 1.9% at current exchange rates. The region sustained its positive momentum, supported by distributor-led markets and the strong performance of Australia. Growth in the country was driven by Carrera’s ongoing brand-building activities, including the successful launch of its Women’s collection earlier this year, and further enhanced by Smith’s continued development in the market.
In the first nine months of 2025, sales in Asia and Pacific totalled Euro 44.0 million, up 12.4% at constant exchange rates and 9.9% at current exchange rates compared to the first nine months of 2024.
In the Rest of the World, Q3 2025 sales amounted to Euro 19.2 million, down 13.0% at constant exchange rates and 16.7% at current exchange rates. In the quarter, the region faced continued challenges, with performance impacted by persistent headwinds in India and a difficult market environment for Middle Eastern distributors. Among Latin American markets, Mexico demonstrated resilience, supported by positive sales to independent opticians. Tommy Hilfiger, BOSS and David Beckham emerged as top-performing brands, helping to partially offset broader market pressures.
In the first nine months of 2025, sales in the Rest of the World totalled Euro 62.7 million, down 6.8% at constant exchange rates and 12.7% at current exchange rates compared to the first nine months of 2024.
ECONOMIC PERFORMANCE
In the third quarter of 2025, Safilo continued to effectively offset much of the tariff pressures through its mitigation actions, in particular the price adjustments and the ongoing shift to out-of-China sourcing. These measures, combined with a positive evolution in price/mix and a favourable foreign exchange impact, contributed to a year-on-year improvement in gross margin.
Furthermore, reduced logistic costs and the gradual normalization of marketing investments after the peak recorded in the first half of the year supported a significant upside at the EBITDA level, confirming the Group’s ability to deliver solid results in a complex external environment.
Q3 2025 ECONOMIC HIGHLIGHTS (in Euro million and % on net sales)
In Q3 2025:
- gross profit totalled Euro 131.7 million, recording a decrease of 1.2% compared to the gross margin recorded in Q3 2024. Gross margin increased by 60 basis points, from 59.1% to 59.7%.
- adjusted EBITDA grew to Euro 22.1 million, up 24.3% compared to Q3 2024, with the adjusted1 EBITDA margin increasing by 210 basis points, from 7.9% to 10.0%.
In the first 9 months of 2025, Safilo confirmed its upward economic trajectory, marked by continued improvement in profits and margins. These results were achieved while maintaining a strong commitment to strategic brand-building, with sustained investments in marketing activities to support the development and visibility of its home brands.
As a reminder, Safilo’s operating performance for the period included a gain of Euro 9.7 million from the disposal of the subsidiary Lenti S.r.l., which, together with other non-recurring items, is excluded from the adjusted results.
FIRST 9-MONTHS 2025 ECONOMIC HIGHLIGHTS (in Euro million and % on net sales)
In the first 9 months of 2025:
- gross profit totalled Euro 459.9 million, recording an increase of 1.6% compared to the gross margin recorded in the first nine months of 2024. Gross margin increased by 90 basis points, from 59.7% to 60.6%.
- adjusted EBITDA grew to Euro 84.4 million, up 11.9% compared to the first nine months of 2024, with the adjusted1 EBITDA margin increasing by 110 basis points, from 10.0% to 11.1%.
FINANCIAL PERFORMANCE
In the third quarter the solid operating performance, combined with disciplined working capital management, resulted in a positive free cash flow of Euro 20.7 million, compared to Euro 16.9 million in Q3 2024. This brought the total cash generation for the first nine months of 2025 to Euro 64.2 million, including the net proceeds of Euro 11.9 million from the disposal of Lenti S.r.l..
As of September 30, 2025, the Group’s net debt decreased to Euro 30.4 million, equal to a positive net financial position of Euro 10.7 million pre-IFRS 16. This result, which includes the impact of the execution of the Share Purchase Programme, compares to the net debt of Euro 42.4 million recorded at the end of June 2025 (Euro 0.7 million pre-IFRS) and Euro 82.7 million (Euro 40.3 million pre IFRS-16) at the end of December 2024.
SHARE PURCHASE PROGRAMME
Based on the Share Purchase Programme launched on June 24, 2025 and started on June 25, 2025, as of September 30, 2025 Safilo S.p.A. had purchased around 7.8 million of Safilo Group ordinary shares, equal to approximately 1.9% of the outstanding shares, for a total transaction amount of Euro 10.2 million.
As a reminder, under such Programme, the purchase of Shares will concern a maximum of 15 million shares, equal to approximately 3.6% of the outstanding shares, for a total maximum consideration up to Euro 18 million.
At the same date, taking into consideration the shares already owned, it held a total number of 18.8 million of Safilo Group ordinary shares, equal to approximately 4.5% of the outstanding shares.
2025 TOP BUSINESS NEWS
- On January 14, 2025 Safilo and Under Armour announce the renewal of their global eyewear licensing agreement.
- On February 6, 2025 Safilo and Dsquared2 announce the early renewal of their global multi-year licensing agreement for eyewear.
- On March 10, 2025 Safilo and Special Olympics renew long-standing partnership through to 2027.
- On May 29, 2025 Safilo announces the renewal of the supply agreement with Kering Eyewear until 2029.
- On June 10, 2025 Safilo communicates the disposal of the subsidiary Lenti S.r.l.
- On June 23, 2025 Safilo and Carolina Herrera announce the renewal of their global multi-year eyewear licensing agreement
- On June 24, 2025 Safilo announces the launch of Safilo Group S.p.A. shares purchase programme
- On July 1, 2025 Safilo and Victoria Beckham announce a ten-year global licensing agreement for eyewear collections
