Ontex Reports Revenue Decline in 2025 but Targets Growth Recovery in 2026
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The global personal hygiene products manufacturer Ontex experienced a challenging year in 2025, reporting a decline in revenue due to weaker demand in key product segments, especially baby care products. Despite the slowdown, the company remains optimistic about returning to growth in 2026 as it implements efficiency programs and focuses on new business opportunities.
According to the company’s latest financial update, Ontex recorded a revenue drop in 2025 compared with the previous year. Total revenue fell to around €1.76 billion, mainly due to reduced sales volumes and softer consumer demand in several markets. The decline was largely driven by weakness in the baby care segment, which has traditionally been one of the company’s major product categories.
Industry experts say the baby care market faced strong competition and changing consumer behavior during the year. Retailer-brand baby care products saw lower demand in Europe and North America, while large branded players increased promotional activities, making it difficult for private-label producers like Ontex to maintain strong sales volumes.
In addition to lower demand, rising operating costs and supply chain challenges also affected the company’s financial performance. Adjusted EBITDA, a key profitability measure, declined significantly during the year, reflecting the impact of lower sales volumes and increased production costs. As a result, profit margins also decreased compared with 2024 levels.
Despite these difficulties, Ontex highlighted several positive developments that could support future growth. The company’s adult care segment performed relatively well and continued to show stable demand. This category now represents a significant portion of the company’s overall revenue and is expected to remain an important growth driver in the coming years.
To improve performance, Ontex has launched strategic initiatives aimed at strengthening its operations and financial position. The company is focusing on cost efficiency programs, operational improvements, and new customer contracts. These efforts are expected to enhance productivity and help restore profitability over the next few years.
The company has also introduced a long-term efficiency plan that includes investments in technology, operational restructuring, and cost optimization. These initiatives aim to streamline operations and improve overall competitiveness in the global hygiene products market.
Looking ahead, Ontex expects gradual improvement in market conditions. The company forecasts a return to moderate growth in 2026, supported by new business contracts and increasing demand in some product segments such as adult care and feminine care. Analysts also believe that improved operational efficiency and stronger customer partnerships could help the company recover from the slowdown experienced in 2025.
While 2025 was a challenging year for Ontex, the company remains focused on strengthening its market position and rebuilding growth momentum. With strategic cost controls, new product opportunities, and improving market demand, Ontex aims to move toward a more stable and profitable future starting in 2026.
12:06 PM, Mar 10
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