Ecolab Q4 sales rise 5% on Food & Beverage unit strength

Overview

• Water solutions firm's Q4 sales rose 5%, slightly beating analyst expectations

• Adjusted EPS for Q4 beat analyst expectations, rising 15% yr/yr

• Company expects 2026 adjusted EPS to grow 12% to 15%

Outlook

• Ecolab expects 2026 adjusted diluted EPS between $8.43 and $8.63, up 12% to 15%

• Company anticipates 1Q 2026 adjusted diluted EPS between $1.67 and $1.73, up 11% to 15%

• Ecolab forecasts 2026 organic sales growth of 3% to 4%, accelerating through the year

Result Drivers

• ORGANIC SALES GROWTH - Ecolab's Q4 results were driven by strong organic sales growth in Food & Beverage, Pest Elimination, and Life Sciences, offsetting challenges in basic industries and Paper

• OVIVO ACQUISITION - The acquisition of Ovivo Electronics enhanced Ecolab's Global High-Tech business, contributing to Q4 performance

• PRODUCTIVITY INITIATIVES - One Ecolab productivity initiatives improved operating income margins, contributing to Q4 results

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 16 "strong buy" or "buy", 12 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the specialty chemicals peer group is "buy"

• Wall Street's median 12-month price target for Ecolab Inc is $300.00, about 4.1% above its February 9 closing price of $288.16

• The stock recently traded at 34 times the next 12-month earnings vs. a P/E of 31 three months ago

Press Release: ID:nBw8MnTxXa

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