De’Longhi’s 2025 Performance Sets the Stage for a Strong 2026 Outlook
De’Longhi SpA, the Italian household‑durable manufacturer known for its coffee machines, kitchen appliances and air‑conditioning systems, delivered a record 2025 revenue of €3.801 billion, up 10.4 % at constant exchange rates. The figure, announced in late January, reflects a robust blend of organic growth and disciplined currency management across all three of the company’s geographical segments—Europe, Asia‑Pacific/USA and the Middle East, India and Africa.
2025 Results: A Dual‑Track Growth Story
The Group’s financial highlights reveal a steady expansion in the household segment, where sales grew organically by 5.2 % in the fourth quarter against a challenging year‑on‑year backdrop. This momentum was largely driven by the coffee sub‑segment, which benefited from a high‑profile marketing push—most notably the third global campaign featuring Brad Pitt—and a sharpened media strategy that amplified brand visibility.
The professional coffee business—the high‑margin, high‑growth arm of the Group—remained resilient throughout the year, maintaining a solid trajectory that the company estimates could reach +32 % organic growth in FY 2025. This segment is poised to become a key driver of future profitability, as De’Longhi plans to deepen its focus on the market in the coming months.
Analyst Outlook: Equita Raises Target Price
Equita Capital, the investment research firm, has revised its target price for De’Longhi’s shares to €42.00, up from €41.00. The upgrade follows the Group’s strong earnings and a clear guidance for 2026 that aligns with market expectations.
Key points behind the new target:
| Metric | 2025 (Actual) | 2026 (Guidance) | Insight |
|---|---|---|---|
| Sales | €3.80 bn | +4.4 % organic, –1 % FX | Moderate upside, FX impact neutral on EBITDA |
| Adjusted EBITDA | ~€645 m | ~€645 m | Margins expected to remain flat YoY |
| Adjusted EPS | +1 % (vs. 2025) | Slight improvement | Indicates a stable earnings trajectory |
| Professional Coffee Focus | 11–12 Feb CMD | Key event to unveil strategy | Potential catalyst for share price |
Equita’s analysts emphasize that while the Group has no specific medium‑term revenue targets, the strategic focus on the professional coffee segment and the continued expansion of its media footprint should provide “additional growth opportunities” beyond the baseline guidance.
Market Position and Investor Appeal
With a market capitalization of €5.604 billion, De’Longhi trades in an environment where investors value its diversified product portfolio and strong brand equity under the De’Longhi, Kenwood, Braun, Nespresso and Ariete labels. The company’s P/E ratio of 17.1 reflects a reasonable valuation relative to peers in the consumer discretionary and household‑durables space.
The 52‑week price range (high of €38.82 on January 14 and low of €23.28 on April 6, 2025) shows a healthy upside potential, with the recent close at €36.70 placing the shares within the upper segment of their historical volatility band.
Forward‑Looking Considerations
- FX Neutrality: While currency fluctuations exert a modest drag on sales, they are largely offset at the EBITDA level, preserving margin stability.
- Professional Segment Momentum: The Group’s planned focus event in February is expected to clarify its positioning and growth strategy for the professional coffee market, a segment that historically offers higher profitability.
- Marketing Leverage: Continued investment in global campaigns and strategic media placements is likely to sustain brand relevance and drive consumer demand across all product categories.
In summary, De’Longhi’s 2025 performance underscores a solid foundation of revenue growth and margin resilience. The upgraded target price and supportive analyst commentary suggest that the market is optimistic about the company’s capacity to translate its recent successes into sustained profitability in 2026 and beyond.
