France's Elis H1 revenue rises on commercial momentum

Elis SA

29/07/2026 16:52

Overview
France circular services firm's H1 2026 revenue rose 4.9% with stable margins
Adjusted EPS for H1 2026 rose 5.1% to €0.89
Company completed €500 mln share buyback program in July 2026

Outlook
Elis expects 2026 organic revenue growth slightly below 2025 levels
Company expects adjusted EBITDA and EBIT margins to increase slightly in 2026
Elis sees 2026 free cash flow growing at a mid-single-digit rate
Company expects headline net income per share (diluted) to grow at a high-single-digit rate in 2026
Elis expects financial leverage ratio to decrease by c. 0.1x at year-end

Result Drivers
COMMERCIAL MOMENTUM - Co said record new contract signings across all geographies and recent investments in sales force supported H1 growth
PRICING ADJUSTMENTS - Co implemented pricing adjustments to offset labor cost inflation across countries
MEXICO VOLUME LOSS - Loss of significant volumes with a public healthcare customer in Mexico following federal healthcare system reorganization weighed on results

Company press release: ID:nGNE5V1lGw

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
EUR 2.46 bln
 
H1 Adjusted EPS
 
EUR 0.89
 
H1 Adjusted Net Income
 
EUR 215.50 mln
 
H1 Net Income
 
EUR 163.60 mln
 
H1 Adjusted EBITDA
 
EUR 853.80 mln
 
H1 Adjusted EBIT
 
EUR 370 mln
 
H1 Free Cash Flow
 
-EUR 30.10 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the business support services peer group is "buy"
Wall Street's median 12-month price target for Elis SA is €30.00, about 16.4% above its July 28 closing price of €25.78
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 12 three months ago

Reuters Recommended Reads
July 29 - France's Bureau Veritas H1 profit rises, lifts FY organic revenue growth forecast
July 28 - UK's Restore H1 revenue rises on acquisition growth
July 28 - Ecolab Q2 sales slightly beat estimates, lifts 2026 adjusted EPS outlook

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)