Group Performance

Strengthened financial profile, strong progress in strategy execution

For dormakaba, the financial year 2024/25 marked a major milestone in strategy execution, reflected in stronger financial performance. The Group achieved good organic net sales growth and further expanded its adjusted EBITDA margin, leaving it well on track to deliver its mid-term commitments.

Amid a challenging economic environment marked by trade tariffs and geopolitical tensions, net sales reached CHF 2,870.1 million. This represents organic growth of 4.1% compared to previous year’s growth of 4.7%. This good growth was driven by strong volume growth (+2.4%) and robust pricing (+1.7%). Focused go-to-market strategies enabled the company to achieve growth in key verticals, such as healthcare, hospitality, and airports. Both business segments, Access Solutions (AS) and Key & Wall Solutions and OEM (KWO), contributed to the organic net sales growth. While momentum remained unchanged in Access Solutions, sales in Key & Wall Solutions and OEM in particular, were slightly impacted by trade tariffs and softer demand in residential and automotive. The appreciation of the Swiss franc against several major currencies negatively affected net sales by 2.3%. In total, net sales increased by 1.2% compared to the previous year.

Adjusted EBITDA reached CHF 445.0 million for the financial year with an adjusted EBITDA margin of 15.5%, an increase of 80 bps over the previous year. This represents the sixth consecutive semester of margin improvement for the Group. Strong progress was made with the transformation program. Continued efficiency gains significantly contributed to this margin improvement. Shared service centers were fully established in Sofia (Bulgaria), Nogales (Mexico), and Chennai (India). More than 500 employees joined in the last 12 months, taking over Finance, HR, Product Development, IT, and commercial business service functions from over 20 countries.

One-off restructuring expenses and overall items affecting comparability (IAC) at EBITDA level stood at CHF 44.7 million. The impact of goodwill amortization on EBIT amounted to CHF 24.7 million, leading to an adjusted EBIT of CHF 366.1 million. Net profit reached CHF 188.0 million, an increase of 128.7% over the previous year.

Substantial free cash flow was delivered. Adjusted operating cash flow amounted to CHF 336.0 million. Free cash flow stood at CHF 176.9 million, CHF 20.1 million below the previous year due to restructuring expenses paid.

To further accelerate growth, and in line with the company strategy, dormakaba re-launched its M&A activities. In the period under review, the Group successfully closed 3 bolt-on transactions.

Additionally, to further strengthen dormakaba’s position in the fast-growing vertical data centers, the company signed an agreement to acquire German Access Solutions company TANlock at the beginning of the new financial year 2025/26. With this transaction, dormakaba enhances its offering within critical infrastructure to provide attractive growth opportunities.

In the financial year 2024/25, dormakaba further strengthened its financial profile, reducing the ratio of net debt to adjusted EBITDA to 0.8x (from 1.1x previously). Net debt decreased to CHF 358.2 million (–21.2%). Cash and cash equivalents increased to CHF 445.1 million, driven by the solid free cash flow and the issuance of a 5-year CHF 200 million bond.

Return on capital employed (ROCE) improved by 160 bps and reached 30.6% one year ahead of plan.

Organic net sales growth and margin expansion in both business segments

Both business segments, Access Solutions and Key & Wall Solutions and OEM, supported dormakaba’s development in line with its mid-term targets.