The Villeroy & Boch Group closed the first quarter of 2026 with a satisfactory result in a continued challenging market environment, shaped primarily by the current geopolitical and global economic situation. Group revenue for the first quarter of 2026 amounted to €318.7 million, representing a decline of 13.7% compared with the prior-year figure of €369.1 million.
Revenue performance was affected by the disposal of the northern European business of the Gustavsberg and Vatette brands as well as adverse currency effects. On an adjusted basis, the revenue decline amounts to 8.3%.
Despite the decline in revenue, Villeroy & Boch recorded a pleasing increase in its order book as at 31 March 2026, up by €47.3 million to €197.7 million. The Group achieved operating EBIT (earnings before interest and taxes) of €17.2 million.
“The first quarter of 2026 was marked by a complex interplay of divestments and geopolitical tensions that affected our results. Despite these challenges, we were able to achieve positive developments in certain areas, such as the order book across both divisions and the e-commerce business in Dining & Lifestyle. This underscores the resilience of our business model and our strategic direction,” said Dr Markus Warncke, Chief Financial Officer of Villeroy & Boch AG.
Dining & Lifestyle division delivers stable result
The Dining & Lifestyle division remained stable with revenue of €70.0 million. Particularly noteworthy were the positive developments in e-commerce and in own retail stores, the latter supported by the Easter trading period. In Germany, revenue grew by 7.5%, driven by e-commerce. Operating EBIT rose slightly to €4.3 million.
Bathroom & Wellness division affected by geopolitical situation
The Bathroom & Wellness division achieved revenue of €248.0 million in the first quarter of 2026, representing a decline of 16.1% year on year. Adjusted for revenue from the divested Gustavsberg entities, the revenue decline was 9.9%. On a regional basis, revenue fell by 15.6% in EMEA and by 23.2% in APAC/Americas, driven primarily by divestments, economic weakness, the conflict in the Middle East, and the slowdown in the Chinese construction sector. Operating EBIT for Bathroom & Wellness amounted to €12.9 million.
Full-Year 2026 Outlook
Despite the continuing high level of geopolitical and economic uncertainty, the Executive Board of Villeroy & Boch AG confirms its full year 2026 forecast, with consolidated revenue expected to be in the mid- to high-single-digit percentage range below the prior year. However, the Executive Board now expects operating EBIT, which had been forecast between €75 million and €85 million, to be at the lower end of this range.
