Ecolab

ECL Q1 2025 Earnings

Reported Apr 29, 2025 at 8:07 AM ET · SEC Source

Q1 25 EPS

$1.50

BEAT +0.05%

Est. $1.50

Q1 25 Revenue

$3.70B

MISS 0.02%

Est. $3.70B

vs S&P Since Q1 25

-22.7%

TRAILING MARKET

ECL +7.2% vs S&P +30.0%

Market Reaction

Did ECL Beat Earnings? Q1 2025 Results

Ecolab posted a narrow but meaningful earnings beat in Q1 2025, with adjusted diluted EPS of $1.50 edging past the $1.50 consensus estimate by 0.05%, while revenue of $3.69 billion came in fractionally light against the $3.70 billion consensus and fe… Read more Ecolab posted a narrow but meaningful earnings beat in Q1 2025, with adjusted diluted EPS of $1.50 edging past the $1.50 consensus estimate by 0.05%, while revenue of $3.69 billion came in fractionally light against the $3.70 billion consensus and fell 1.5% year over year, weighed down by the divestiture of its global surgical solutions business and a 2% currency headwind. The real story, however, was margin expansion, as consolidated organic operating income margin widened 190 basis points to 16.0%, driven by value pricing and productivity gains that more than offset growth investments. The standout was Global Institutional & Specialty, where organic operating income surged 27% and margins expanded 390 basis points to 21.2%, reflecting strong sales momentum and easing supply chain costs. Global Life Sciences, elevated to a standalone segment this quarter, added further momentum with 5% organic sales growth and 31% organic operating income growth. With secular tailwinds in water and hygiene drawing growing investor attention, Ecolab reaffirmed its full-year 2025 adjusted EPS guidance of $7.42 to $7.62, representing 12% to 15% growth, projecting Q2 adjusted EPS of $1.84 to $1.94.

Key Takeaways

  • Value pricing contributing 2% to organic sales growth
  • Volume growth of 1% from new business wins and innovation
  • Improved productivity and lower supply chain costs
  • Organic operating income margin expansion of 190 bps to 16.0%
  • Accelerating double-digit growth in high tech (data centers and microelectronics)
  • Strong new business wins leveraging One Ecolab enterprise selling strategy
  • Lower net interest expense of $13 million from lower rates and higher cash balances
24/7 Wall St

ECL YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

ECL Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“Our team delivered another strong quarter of double-digit earnings growth. This is despite near-term macroeconomic trends that became more challenging during the quarter, resulting in slightly softer organic sales growth. Importantly, our growth continued to significantly outpace end market trends as our team delivered attractive share gains and increased pricing supported by exceptional total customer value. We are also delivering strong performance across our growth engines – including global high tech, life sciences, pest intelligence, and Ecolab digital. When combined with improved productivity, we drove continued robust margin expansion to deliver double-digit earnings growth. This is Ecolab at its best, demonstrating the strength of our team, our proven operating model, and the breadth and health of our business.”

— Christophe Beck, Q1 2025 Earnings Press Release