01—Abstract
Summary
Summary of the 10-K filed February 23, 2026. Cited figures are marked; the original filing is the authoritative source.
Ecolab Inc. (ECL) reported solid performance for the year ended December 31, 2025, with record sales, operating income margin, adjusted diluted earnings per share, and free cash flows.
The company's reported sales increased by 2% to $16.1 billiona, driven by organic sales growth across its key segments, particularly Global Pest Elimination and Global Life Sciences. This growth was supported by strong value pricing and improved productivity, which helped offset investments in the business. The company also highlighted its commitment to returning capital to shareholders, increasing its quarterly dividend by 12% and continuing its long history of dividend payments.
The acquisition of Ovivo Electronics for $1.6 billionb in December 2025 was a significant event, intended to bolster the company's offerings in the semiconductor manufacturing sector within the Global Water segment. Despite challenges from global economic and geopolitical factors, Ecolab maintained strong financial health, with credit ratings of A-/A3/A- and a commitment to maintaining 'A' range credit metrics. The company's strategic initiatives, including the "One Ecolab" program, aim to further enhance growth and margin expansion through digital technology and operational efficiencies.
02—Key points
Key Highlights
- Record financial performance in 2025 with growth in sales, operating income margin, adjusted diluted EPS, and free cash flow.
- Reported sales increased 2% to $16.1 billion, with organic sales up 3%, driven by strong performance in Global Pest Elimination and Global Life Sciences.
- Acquisition of Ovivo Electronics for $1.6 billion to strengthen offerings in the semiconductor manufacturing industry.
- 12% increase in quarterly dividend, continuing a 34-year streak of annual dividend rate increases.
- Strong balance sheet maintained with 'A' range credit ratings and commitment to 'A' range credit metrics.
- Effective management of costs through value pricing and productivity improvements, with gross margin improving to 44.5%.
- Continued investment in business growth and innovation, supported by robust cash flow generation.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2025, Ecolab Inc. kept $0.13.
- Revenue$16.08B100.0%
- Cost of revenue−$8.93B55.5%
- Gross profit$7.15B44.5%
- Operating costs−$4.41B27.4%
- Operating income$2.74B17.0%
- Interest, other & tax−$662.0M4.1%
- Net income$2.08B12.9%
Where FY2025 revenue went
$16.08B- Cost of revenue: $8.93B, 56% of revenue
- SG&A: $4.26B, 26% of revenue
- Net income: $2.08B, 13% of revenue
- R&D: $202.0M, 1.3% of revenue
- Interest, other & tax: $662.0M, 4.1% of revenue
Kept 13% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2025filed February 23, 2026Financial Statements
FY2025 against FY2024
| Line item | FY2025FY2024 | Change |
|---|---|---|
| Revenue | $16.08B$15.74B | +2.2% |
| Cost of Revenue | $8.93B$8.90B | +0.3% |
| Gross Profit | $7.15B$6.84B | +4.5% |
| R&D Expenses | $202.00M$207.00M | −2.4% |
| SG&A Expenses | $4.26B$4.23B | +0.7% |
| Operating Income | $2.74B$2.80B | −2.3% |
| Interest Expense | $306.20M$340.30M | −10.0% |
| Net Income | $2.08B$2.11B | −1.7% |
| EPS (Basic) | $7.33$7.43 | −1.3% |
| EPS (Diluted) | $7.28$7.37 | −1.2% |
| Shares Outstanding (Basic) | 283.30M284.30M | −0.4% |
| Shares Outstanding (Diluted) | 285.20M286.60M | −0.5% |
05—Questions
Frequently Asked Questions
What was Ecolab's overall financial performance in 2025?
Ecolab reported record results in 2025, including record sales, operating income margin, adjusted diluted earnings per share, and free cash flows. Reported sales increased by 2% to $16.1 billion, supported by a 3% organic sales growth.
What were the key strategic moves made by Ecolab in 2025?
The most significant strategic move was the acquisition of Ovivo Electronics for $1.6 billion in December 2025, aimed at enhancing its ultrapure water technologies for semiconductor manufacturing. Additionally, the company continued to advance its 'One Ecolab' initiative, focusing on leveraging digital technologies for operational efficiencies and growth.
How did Ecolab return capital to shareholders in 2025?
Ecolab demonstrated its commitment to shareholder returns by increasing its quarterly cash dividend by 12% to $0.73 per share, marking its 34th consecutive annual dividend rate increase. The company also continued its share repurchase programs.
How did Ecolab manage costs and margins in 2025?
Ecolab achieved an improved gross margin of 44.5% in 2025, up from 43.5% in 2024. This improvement was driven by strong value pricing and enhanced productivity, which helped offset increased investments in the business.
06—Continue