INDUS Group reported substantial earnings growth and improved profitability in the third quarter of 2025, with adjusted EBITA increasing 10.1% year-over-year to EUR 48.1 million. The company achieved its highest quarterly revenue of the year at EUR 437.4 million, nearly matching the previous year's performance despite persistent macroeconomic challenges. The adjusted EBITA margin rose significantly to 11.0% from 9.9% in the prior year period, demonstrating improved operational efficiency across the organization.
Dr. Johannes Schmidt, Chairman of the INDUS Group's Board of Management, stated that the company gained significant momentum during the quarter, with quarterly earnings reaching their highest level since early 2024. Our cost management efforts are delivering results, Schmidt noted, emphasizing that the company is proceeding as planned despite the complex political and macroeconomic environment. The full interim report provides detailed financial information and can be accessed at https://www.indus.eu.
Incoming orders showed particularly strong performance, increasing 17.2% year-over-year, indicating healthy demand for 2025. Earnings per share climbed to EUR 2.46, significantly higher than the previous year's EUR 1.89, while earnings after taxes rose to EUR 61.9 million from EUR 50.0 million in the prior year period. The company's free cash flow showed substantial improvement in the third quarter, increasing by approximately EUR 67 million compared to the previous year.
All three business segments demonstrated positive earnings development during the period. The Engineering segment companies increased incoming orders by 35.5% in the first three quarters, with notable orders for long-term plant engineering projects. The segment was further strengthened by strategic acquisitions including stud welding specialist HBS and its US subsidiary SUNBELT, as well as US precision metal manufacturer METFAB. Additional information about these acquisitions is available through the company's official communications at https://www.indus.eu.
The Infrastructure segment defied market trends with revenue rising to EUR 453.5 million in the first nine months, up from EUR 425.2 million in the previous year. In July, INDUS announced the acquisition of formwork specialist TRIGOSYS, marking the segment's third acquisition this year, with the transaction completed on October 31, 2025. The Materials Solutions segment also showed a clear upward trend in the third quarter, with segment earnings of EUR 16.4 million significantly exceeding the previous year's EUR 12.6 million.
For the full year 2025, the Board of Management continues to project Group revenue between EUR 1.70 billion and EUR 1.85 billion and earnings in the range of EUR 130 million to EUR 165 million. The adjusted EBITA margin is still expected to be between 7.5% and 9.0%, with free cash flow projected to exceed EUR 90 million. International revenue now accounts for 52% of total revenue, reflecting the success of the company's EMPOWERING MITTELSTAND strategy that emphasizes internationalization, acquisitions, and engineering competence as key growth drivers.
INDUS has added five acquisitions to its portfolio so far in 2025, including deals in Sweden and the United States, with expectations for completing additional transactions by year-end. Schmidt described the current M&A market as particularly attractive for buyers, indicating continued strategic expansion through acquisitions. The company's equity ratio remained strong at 37.4% as of September 30, 2025, supporting its growth initiatives and financial stability.
