Villeroy & Boch navigates a challenging market and confirms its full-year forecast

Despite a market environment that continues to be characterised by geopolitical tensions, Villeroy & Boch AG says it considers its economic performance for the first 6 months of the 2026 financial year to be 'satisfactory overall'. Consolidated revenue for the first half of 2026 stood at €635.8m, down 12.4% on the previous year’s figure of €725.8m. Adjusted for exchange rate effects and for the sale of the Northern European brands Gustavsberg and Vatette on 1st October 2025, the decline amounts to 7.4%. By contrast, the order book showed a positive trend: it rose by €49.5m compared with the end of 2025 to €199.9m. Operating EBIT amounted to €34.5m, compared with €47.8m in the previous year. This decline is primarily attributable to the divestment carried out in the previous year, as well as the effects of the geopolitical conflict in the Persian Gulf. Group result stood at –€6.8m (previous year: +€13.8m).  

 

The Bathroom & Wellness Division generated revenue of €504.4m (previous year: €594.1m, -15.1%); adjusted for portfolio and currency effects, the decline amounted to 9.4%. Whilst revenue in EMEA fell by 14.5%, primarily due to divestments and the conflict in the Middle East, some markets – such as Italy, Bulgaria and Hungary – recorded encouraging growth. APAC and the Americas saw a decline of 21.3% against a backdrop of a downturn in the construction sector. The division’s operating EBIT stood at €29.5m (previous year adjusted: €43m). 

 

“The current global economic environment poses significant challenges for the entire industry, and the Villeroy & Boch Group is not being spared either. Still, we are confident that the broader market position resulting from the acquisition of Ideal Standard will strengthen our business in the medium and long term, particularly in challenging times,” said Georg Lörz, management board member for Bathroom & Wellness. 

 

The global market environment will continue to be affected by geopolitical and economic uncertainty; a further deterioration in the second half of the year cannot be ruled out. Against this backdrop, the management board of Villeroy & Boch AG revealed its forecast for the full year 2026, with an expected operating EBIT of €75m. 

 

“The economic environment remains exceptionally volatile. We expect geopolitical tensions to continue to impact our business for the rest of the year, and we are addressing this uncertainty through appropriately cautious planning. That said, our solid orders on hand and the stable performance in the Dining & Lifestyle Division highlight the fundamental strength of our business,” said CFO Dr Markus Warncke.