Ecolab(US:ECL) ZACKS·2025-10-28 18:25Core Insights - Ecolab Inc. reported third-quarter 2025 adjusted earnings per share (EPS) of $2.07, reflecting a 13.1% year-over-year increase, surpassing the Zacks Consensus Estimate by a penny [1][9] - The company's revenue for the quarter reached $4.17 billion, a 4.2% increase year-over-year, also exceeding the Zacks Consensus Estimate by 1.1% [2][9] Revenue Details - Ecolab's organic sales amounted to $3.97 billion, up 3.2% from the prior-year period [2] - The Global Water segment generated fixed currency sales of $1.95 billion, marking a 2.9% year-over-year growth, with organic sales at $1.93 billion, up 1.9% [3] - The Global Institutional & Specialty segment reported fixed currency sales of $1.54 billion, a 1.3% increase year-over-year, with organic sales also at $1.54 billion, up 3.8% [4] - The Global Pest Elimination segment's fixed currency sales were $322.6 million, improving 6.9% year-over-year, with organic sales at $321.3 million, up 6.5% [5] - The Global Life Sciences segment reported fixed currency and organic sales of $171 million each, reflecting a 5.8% year-over-year growth [6] Margin Analysis - Ecolab's gross profit increased by 7.4% year-over-year to $1.87 billion, with gross margin expanding by 135 basis points to 44.8% [7] - Selling, general and administrative expenses rose by 5.3% year-over-year to $1.08 billion [7] - Adjusted operating profit totaled $786.4 million, a 10.4% increase from the prior-year quarter, with adjusted operating margin expanding by 107 basis points to 18.9% [7] Financial Position - At the end of the third quarter 2025, Ecolab had cash and cash equivalents of $1.96 billion, up from $1.92 billion at the end of the second quarter [8] - Total debt decreased to $8.07 billion from $8.21 billion at the end of the second quarter [8] Guidance - Ecolab expects adjusted EPS for the fourth quarter to be between $2.02 and $2.12, indicating a 12-17% increase from the previous year [11] - For the full year 2025, the company anticipates adjusted EPS of $7.48 to $7.58, reflecting a 12-14% increase from 2024 [12] Overall Performance - Ecolab's third-quarter results exceeded expectations, with strong year-over-year growth across all segments and improved profitability reflected in margin expansions [13] - The company's core businesses showed mid-single-digit growth, particularly in Institutional & Specialty and Food & Beverage, supported by its One Ecolab growth strategy [14]