Forbo Profits Slide in 2025 as Tough Markets Bite, but Dividend Held and Capacity Expanded

Forbo Holding AG ( (CH:FORN) ) just unveiled an announcement.

Forbo Holding AG, a global supplier of flooring systems, construction adhesives and conveyor belts, reported 2025 net sales of CHF 1,085.4 million, down 0.3% in local currencies and 3.3% in Swiss francs amid weak construction markets, trade tensions and a stronger franc. Operating profit fell 27.2% to CHF 87.8 million and net profit dropped 27.5% to CHF 68.9 million, while EBITDA margin narrowed to 12.6% and EBIT margin to 8.1%.

Despite earnings pressure, Forbo maintained a solid balance sheet with an equity ratio of 66.8%, a net cash position and fully self-financed investments of CHF 47.0 million from operating cash flow of CHF 74.0 million. The board will propose an unchanged dividend of CHF 25.00 per share and a new director, while the group strengthens its management team, expands production capacity in Japan and the U.S., and pursues operational excellence and innovation to restore profitable growth.

Flooring Systems saw sales fall 3.6% to CHF 738.2 million and EBIT drop 18.7% amid weak European construction and U.S. tariffs, though product innovation and supply-chain optimization supported resilience. Movement Systems recorded a 2.6% sales decline to CHF 347.2 million and a 49.3% plunge in operating profit as higher costs and U.S. investment hesitancy weighed on margins, even as it pushed into structurally attractive sectors such as food processing and e-commerce.

Sustainability remains a core pillar of Forbo’s strategy, with climate-positive products like Marmoleum and expanded ESG reporting underpinning its positioning with environmentally focused customers. For 2026, management expects the market environment to stay difficult, guiding for slightly lower sales due to currency effects but a slightly higher profit, supported by stricter cost discipline, focused innovation and stronger customer orientation.

The most recent analyst rating on (CH:FORN) stock is a Buy with a CHF1050.00 price target. To see the full list of analyst forecasts on Forbo Holding AG stock, see the CH:FORN Stock Forecast page.

More about Forbo Holding AG

Forbo Holding AG is a Switzerland-based manufacturer of floor coverings, construction adhesives, and conveyor and processing belts for power transmission and light conveying. Headquartered in Baar with about 5,050 employees, it operates 25 production and sales sites plus a broad global sales network in 39 countries, serving construction, renovation, industrial and logistics applications with a focus on functionality, design and sustainability.

Average Trading Volume: 2,344

Technical Sentiment Signal: Hold

Current Market Cap: CHF1.27B

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