Aquafil Group (ECNL.MI) reported second-quarter 2026 results that underscore its ability to maintain margins even as raw material and transportation costs surged during the period. The company's revenue declined 1.0% year-over-year to €135.7 million, with volumes broadly stable, while EBITDA fell 2.5% to €20.7 million. The EBITDA margin held at 15.3%, compared with 15.5% in the same quarter last year, according to Stonegate Capital Partners' updated coverage.
The modest EBITDA decline was attributed to a timing mismatch between higher input costs and contractual price recovery, rather than a deterioration in underlying cost performance. Management indicated that the majority of the second-quarter cost increase is being recovered through third-quarter pricing, with additional recovery expected in the fourth quarter. This normal pricing lag of about three months has been communicated, with key North American customers incorporating higher raw-material pricing starting in August.
For the first half of 2026, net financial position (NFP) improved to €196.9 million from €209.5 million at year-end 2025. This balance-sheet progress has reduced NFP to last twelve months (LTM) EBITDA leverage to 2.64x, down from 2.89x. Management continues to prioritize deleveraging, which could eventually reopen capacity for higher capital expenditures or external growth opportunities.
The results reinforce that Aquafil's lower fixed cost base and operating efficiencies are supporting margins even before a broader demand recovery. According to Stonegate, the main remaining execution requirement for 2026 is volume growth rather than margin recovery. First-grade volumes increased only 0.3% in the first half, versus management's approximate 5% full-year objective. This implies a meaningful acceleration in the second half is required, even as management reaffirms its annual goals and identifies Europe as the principal area of demand uncertainty.
Stonegate Capital Partners, a capital markets advisory firm providing investor relations and equity research, updated its coverage on Aquafil following the earnings release. The firm highlighted that the quarter supports the margin and deleveraging reset, positioning the company for potential benefits once demand recovers.
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