Rotoplas: Third Quarter 2025 Results
MEXICO CITY, Oct. 22, 2025 /PRNewswire/ -- Grupo Rotoplas S.A.B. de C.V. (BMV:AGUA) ("Rotoplas", "the Company"), the leading provider of water solutions in the Americas, today reports its unaudited financial results for the third quarter of 2025. The information has been prepared in accordance with International Financial Reporting Standards (IFRS). Figures are expressed in millions of Mexican pesos. Key Highlights Q3'25Net sales were $2.7 billion, a 5.9% decrease compared to Q3'24. On a cumulative basis, net sales reached $8.3 billion, a 2.7% decrease compared to 2024.EBITDA of $285 million, a 15.0% increase year-over-year, with a 10.7% margin. The cumulative EBITDA was $954 million, with a cumulative margin of 11.6%.Despite having a 43.7% increase in the operating result, net loss was $198 million in Q3'25. In the first nine months of the year, net loss was $133 million.Service sales increased by 50.0% during the quarter and by 25.6% in the first nine months of the year, primarily driven by bebbia.bebbia reached more than 159,000 active subscribers at the end of September.Message from the CEO"The third quarter unfolded in a challenging operating environment. We remained focused on what we can control amid market volatility. In Argentina, the construction market remained depressed, while in Mexico, heavy rains tempered product demand. Even so, our results reflect Rotoplas' resilience and commitment to maintaining industry leadership and protecting profitability.Operating expenses remained under strict control, resulting in a more efficient and sustainable cost structure that positions us well to expand margins as market conditions improve.The services segment continued its positive trajectory, further increasing its share within the portfolio, while the United States delivered its second consecutive profitable quarter. Meanwhile, Central America, Peru, and Brazil maintained double-digit growth and improved profitability, strengthening their relevance and driving consolidated performance.We continue to prioritize disciplined expense management, cash generation, and working capital efficiency—supporting a solid balance sheet and reinforcing our commitment to long-term sustainable value creation for all stakeholders." — Carlos Rojas AboumradResults January – September(Figures in millions of Mexican pesos)IndicatorQ3'25Q3'24%YoY9M'259M'24%YoYNet Sales2,6712,838(5.9 %)8,2518,477(2.7 %)Adjusted EBITDA[1]28524715.0 %9541,253(23.9 %)% margin 10.7 %8.7 %200 bps11.6 %14.8 %(320) bpsNet Result(198)(73)NA(133)291NAROIC[2] 5.8 %10.3 %(450) bpsNet Financial Debt[3] 3,7893,798(0.2 %)Net Financial Debt / EBITDA23.2 x2.1 x1.1 xQ3'25 vs Q3'24 ResultsNet Sales reached $2,671 million, 5.9% below Q3'24, driven by a 9.9% decline in the product segment, partially offset by a 50.0% growth in the services segment.Gross profit was $1,116 million. Gross margin closed at 41.8%, expanding by 20 bps due to strict cost control and greater operational efficiencies, despite lower sales.Operating income reached $127 million, up 43.7% compared to Q3'24. The increase was mainly due to lower operating expenses, reflecting greater efficiency.EBITDA closed at $285 million, and the EBITDA margin stood at 10.7%. This represented a year-over-year expansion of 200 bps, driven by broad-based expense control.Net loss was $198 million, due to higher financial expenses related to foreign exchange losses and the inflation effect in Argentina.Cumulative Results 2025 vs 2024Net sales reached $8,251 million, a 2.7% decrease, driven by a 5.0% decline in the product segment, partially offset by a 25.6% growth in the services segment.Gross profit was $3,449 million, a 12.0% decrease. Gross margin closed at 41.8%, contracting by 450 bps mainly due to lower sales volumes as Argentina continued to face a weak construction environment, and in Mexico, given a high comparison base from the 2024 drought.Operating income reached $473 million, a 42.1% decrease compared to 2024. This decline was the result of gross margin pressure, as lower sales impacted operating leverage. EBITDA closed at $954 million, with an EBITDA margin of 11.6%.Net loss was $133 million. The decline reflects lower operating income and higher financial expenses from FX losses and inflation in Argentina.Net financial debt / EBITDA[4] leverage closed at 3.2x, mainly reflecting the decrease in LTM EBITDA, as financial debt increased by only 4.0% while net financial debt decreased 0.2% year-over-year.CapEx for the period amounted to $353 million, primarily focused on the services segment in Mexico, particularly in bebbia and in water treatment and recycling plants.Sales and EBITDA by Geography and Solution January - September(Figures in millions of Mexican pesos)SalesQ3'25Q3'24% YoY9M'259M'24% YoYMexico1,5361,5131.5 %4,7845,046(5.2 %)Argentina497728(31.8 %)1,4981,724(13.1 %)United States267292(8.5 %)86277710.9 %Other37030521.5 %1,10793019.0 %Products2,3882,649(9.9 %)7,4297,823(5.0 %)Services28318950.0 %82265425.6 %EBITDAQ3'25Q3'24% YoY9M'259M'24% YoYMexico236243(3.2 %)8491,148(26.0 %)Argentina(40)16NA(104)106NAUnited States15(30)NA21(99)NAOther7418NA1889793.1 %Products348352(1.2 %)1,0711,488(28.0 %)Services(63)(105)(39.6 %)(117)(235)(50.1 %)EBITDA MarginQ3'25Q3'24% YoY9M'259M'24% YoYMexico15.3 %16.1 %(80) bps17.8 %22.7 %(490) bpsArgentina(8.0 %)2.2 %NA(6.9 %)6.1 %NAUnited States5.5 %(10.2 %)NA2.4 %(12.7 %)NAFull story available on Benzinga.com
