Ecolab Q4 EPS Jumps 14.9% to $2.08, Margins Expand
Ecolab posted Q4 adjusted EPS of $2.08, up 14.9% year over year, on revenue of $4.19 billion, up 4.8%. Gross margin expanded 69 basis points to 44% and adjusted operating margin climbed 162 basis points to 18.7%, while digital sales grew 24% to $99 million.
1. Q4 Earnings and Revenue
Ecolab delivered adjusted EPS of $2.08 in Q4 2025, marking a 14.9% increase year over year. Revenue rose to $4.19 billion, up 4.8%, with organic sales growth of 2.9%.
2. Margin Expansion
Gross profit climbed 6.4% to $1.85 billion, boosting gross margin by 69 basis points to 44%. Adjusted operating profit increased 14.6% to $786.6 million, lifting operating margin by 162 basis points to 18.7%.
3. Segment Performance
Digital sales surged 24% to $99 million, driven by software and hardware subscriptions. All major segments—Water, Institutional & Specialty, Pest Elimination, and Life Sciences—reported mid-single-digit organic sales gains.
4. Outlook and Guidance
Ecolab expects Q1 adjusted EPS of $1.67–$1.73, an 11%–15% increase, and full-year 2026 adjusted EPS of $8.43–$8.63. Including the Ovivo Electronics acquisition, management forecasts 7%–9% sales growth and 3%–4% organic growth for 2026.