IONOS Group SE

Latest Results (24.02.2026):

IONOS Group SE — first half (H1) 2025 (through Q2 2025): The company reported strong H1 2025 results with revenue up 19.1% to €895.0m, EBITDA €258.4m (adjusted EBITDA €268.7m, +23.3%) and an improved adjusted EBITDA margin of 30.0% (H1 2024: 29.0%). Consolidated net income was €115.4m and adjusted EPS rose to €0.91 (H1 2024: €0.63). Customer base reached 6.47m (+0.22m year‑over‑year). Free cash flow was €168.0m and equity strengthened to €214.6m, lifting the equity ratio to 13.2% (Dec‑31‑2024: 4.1%).

Top-line and margin performance

Revenue increased 19.1% year‑over‑year to €895.0m. Adjusted EBITDA rose 23.3% to €268.7m, translating to an adjusted EBITDA margin of 30.0% (vs 29.0% in H1 2024). EBIT was €203.9m (+33.4%). The gross margin dipped slightly (impact largely from faster-growing, lower‑margin AdTech), but operating leverage raised profitability overall.

Segments — Digital Solutions & Cloud

Digital Solutions & Cloud revenue grew ~7.0% to €656.0m (7.4% excl. intercompany). Adjusted segment EBITDA increased ~20.7% to €236.9m and the segment margin expanded to 36.1% (H1 2024: 32.0%). The company expects ~8% currency‑adjusted revenue growth for this core segment in FY2025 and an adjusted EBITDA margin around 35% for the year.

Segments — AdTech

AdTech revenue rose sharply (+72.7%) to €239.0m (base effect + successful product transition). Adjusted EBITDA for AdTech reached €31.8m (+45.9%). Management expects H2 2025 AdTech revenue roughly in line with prior‑year H2, implying full‑year AdTech revenue of ~€400m (2024: €312.2m), and anticipates medium‑term margin/earnings improvement as the product transition matures.

Cash flow, balance sheet and capital structure

Cash flow from operations was €198.2m and free cash flow €168.0m (both up y/y). Cash and cash equivalents at June 30 were €24.3m. Equity rose to €214.6m (from €66.7m) and the equity ratio improved to 13.2%. Net debt remains significant due to bank liabilities (~€798m non‑current bank debt) but the company is generating strong operating cash flows.

Shareholder returns and market performance

IONOS shares rose to €39.90 at June 30, 2025 (substantial YTD appreciation and inclusion in the MDAX on June 23, 2025). The company repurchased 1,500,000 treasury shares (≈1.1% of capital) for €36.6m between Jan 27 and Apr 1, 2025, partly to service employee stock ownership program obligations.

Earnings per share and tax

Adjusted EPS (excl. non‑cash valuation of contingent purchase price liability) was €0.91 (+43.7% y/y). Reported EPS was €0.83. Financial result benefited from lower interest outflows versus prior year and a smaller valuation effect on the STRATO purchase price liability, but tax expense rose as taxable income increased.

Customers, products and operational initiatives

Customer base reached 6.47m (+150k since Dec‑31‑2024; +220k paying customers y/y). Key product and infrastructure initiatives highlighted: IONOS GPT (privacy‑compliant AI), Bare Metal Cloud upgrades (Raptor Lake & ARM), Image Factory for managed Kubernetes, OneDNS/SSL Checker/Afternic integration, SedoTMP (RSOC monetization), and a new Frankfurt colocation expansion.

Outlook

Management raised FY2025 adjusted EBITDA guidance to ~€530m (previous €520m). Core Digital Solutions & Cloud is expected to grow ~8% (currency‑adjusted) with ~35% adjusted EBITDA margin for FY2025; AdTech full‑year revenue ~€400m is expected with medium‑term improvement as transitions mature.

People and costs

Headcount at June 30 was 4,115 (down 3.3% y/y). Personnel expenses were slightly lower y/y (€143.9m) and the personnel expense ratio declined to 16.1% of revenue, reflecting efficiency measures despite one‑time optimization costs in some areas.