Holland Colours Results 2025/2026
Managing through uncertainty and market headwinds
Political and economic uncertainty continued to increase worldwide in financial year 2025/2026. Deglobalization including trade tariff disputes, geopolitical power shifts, and armed conflicts created uncertainty in demand across our key markets. In particular, Coatings & Sealants globally and Building & Construction in Asia and EMEIA were negatively affected. Packaging markets in EMEIA continued to grow, albeit more slowly and amid ongoing discussions on cost, sustainability, and circularity. We stopped doing business with Russia, because of stricter EU sanctions. And in Asia, lower growth in China continued to weigh on industry demand. The initiatives from our growth strategy progressed at a slower pace than planned. In these challenging circumstances, we saw a modest decline in our volumes sold.
Holland Colours can report the following results for the 2025/2026 financial year:
• 2.9% revenue decrease on the previous financial year, but a slight increase of 0.5% in constant currency;
• Operating result of € 4.6 million versus € 7.9 million in the previous year;
• Net result of € 3.5 million versus € 5.9 million in the previous year, while net earnings per share came in at € 4.05 versus € 6.85 the previous year;
• Final dividend proposed of € 1.7 million (€ 2.02 per share).
Revenue for the 2025/2026 financial year was € 109.0 million, a decrease of 2.9% on the previous year (€ 112.3 million), primarily driven by stagnation in several of our key markets and the weakening of the US dollar compared to the euro.
Revenue in the EMEIA division (Europe, Middle East, India, and Africa) slightly decreased versus the previous year. The decrease in revenue was mainly driven by softer demand in Europe, particularly in our Coatings & Sealants segment, geopolitical tensions in the Middle East and stricter EU sanctions on Russia.
The Americas division saw revenues increase compared with the previous year. 2025/2026 was characterized by weakness in residential building and construction markets and indirect demand effects related to uncertainty about import tariffs. Nevertheless, we secured several successes with new strategic business projects, including increased volumes of dark colors for window frames. The market for white UHT dairy packaging remains important, with volumes again exceeding the previous year.
Our Asia division saw a decrease in revenues compared to the previous year. The continued slowdown of the Chinese economy negatively impacted export-driven volumes and reduced domestic demand in Indonesia. Additionally, our UHT dairy business in China contracted sharply due to local competition on price. Softer demand in our Coatings & Sealants segment also negatively impacted our revenues for the year. The contribution margin for the Group was € 51.8 million, a decrease of € 3.8 million on the year before. The margin as a percentage of revenue ended lower, at 47.6% versus 49.5% in the previous year. Margin management remained challenging, as higher input costs and commercial conditions limited full pass through. Pressure was most pronounced in the US, driven by tariff uncertainty and an unfavorable sales mix.
Operating expenses were € 47.3 million, € 0.3 million (0.6%) lower than the previous year. This was driven by the weakening of the US dollar compared to the euro, and strict management of operational expenses and efficiency measures to offset inflationary pressure.
The net result was € 3.5 million (€ 4.05 per share) versus € 5.9 million in the previous year (€ 6.85 per share).
Net cash flow came in at € 10.4 million negative in 2025/2026, versus € 2.0 million positive in the previous year. This was driven by operating activities of € 1.5 million, a cash outflow from investment of € 4.8 million representing an increased investment level to support growth, a dividend payout of € 5.9 million driven largely by one time 100% dividend payout of the net profit in 2024/2025, a cash outflow from financial activities of € 0.6 million and a negative effect from exchange rate differences on cash and cash equivalents of € 0.6 million.
As policy, Holland Colours aims to distribute at least 50% of its net profit as dividend, provided that the solvency ratio continues to be at least 40% after distribution. In recognition of the trust and support of our shareholders, we propose to distribute a final dividend of € 2.02 per share, which represents 50% of the net profit in 2025/2026 (100% of the net profit in 2024/2025).
OUTLOOK 2026/2027
Around the world, uncertainties in international politics remain high, and the longer-term effects of global trade tariffs are difficult to predict, while the conflict in the Middle East is negatively affecting our business both in the region and elsewhere.
Our priority is to continue serving customers globally; to support this, we closely monitor developments, explore alternative sourcing options, and pass on cost increases to our customers. We remain cautious regarding business expectations for 2026/2027.
Our strategy includes specific initiatives to accelerate the growth of our core business, and we are committed to developing new, innovative opportunities in the area of recycling and circularity. Our strategy continues to reflect our commitment to solidifying our position as an independent supplier of pigment and additive concentrates. Holland Colours traditionally does not include forward-looking financial statements in its annual reports, and we continue to adhere to this policy.
Apeldoorn, May 28, 2026
Board of Management
Coen Vinke (CEO)
Martijn Klomp (CFO)
Eelco van Hamersveld (CTO)
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Go to Annual Report 2025-2026
