SMCP Reports a Return to Profitability and Significant Debt Reduction by 2025
The accessible luxury group SMCP recorded a significant improvement in profitability and a record generation of cash flow in 2025, facilitating a 38% reduction in its net financial debt. These results reflect the execution of its strategic plan despite a complex environment.
Financial Performance Highlights
In 2025, SMCP achieved a total revenue of 1,217 million euros. The group reported a net profit of 17 million euros, reversing a loss of 24 million euros in 2024. Adjusted EBIT amounted to 95 million euros, up 80% from 53 million euros in 2024, resulting in an adjusted EBIT margin of 7.8%, an improvement of 3.4 points. Adjusted EBITDA reached 231 million euros with a margin of 19% of sales, compared to 216 million and 18% in 2024. This profitability improvement reflects the management's disciplined implementation of a full-price strategy, coupled with operational cost control.
Debt Reduction and Financial Management
The group's net financial debt stood at 148 million euros as of December 31, 2025, down 89 million euros compared to 237 million euros a year earlier. The net debt to EBITDA ratio was halved to 1.3x in 2025, from 2.6x in 2024. The group reduced its inventory from 260 million euros at the end of 2024 to 233 million euros at the end of 2025. Capital expenditures decreased from 39 million euros in 2024 to 28 million euros in 2025. Financial expenses amounted to 30 million euros in 2025 compared to 32 million euros in 2024, benefiting from the reduction in debt outstanding and lower interest charges on financial debt to 13 million euros from 18 million euros in 2024.
Regional Sales Performance
The EMEA region reported an organic growth of 6.8% with record sales of 430 million euros, driven by a like-for-like growth of 5.4%. The Americas saw an organic increase of 10.1% to 193 million euros despite a high comparison base. France experienced a decline of 1.6% in organic terms to 411 million euros, impacted by the political and social climate, particularly in the fourth quarter. The APAC region recorded an organic decline of 8.8% to 183 million euros, resulting from the network optimization in China initiated in 2024 and the reduction of discounts. For 2026, in an uncertain macroeconomic and geopolitical context, the group reiterates its objectives of improving EBIT margin and generating free cash flow.
