Lectra posts slower Q1 growth amid market uncertainty
Lectra, the French specialist in digital solutions and cutting equipment for the soft materials industry, generated a revenue of €134.4 million in Q1 2025. This was equivalent to a 4% growth, slower than the 10% increase recorded in fiscal 2024, owing to widespread market uncertainty.
In Q1 2025, Lectra also recorded stable EBITDA at €21.1 million, though its net income slumped by 13% to €5.8 million. Lectra cited as a cause the deteriorating global economic context, made even more volatile after new tariffs were introduced by the USA on April 2.
'As of today, software and services are not subject to customs duties,' said Lectra, adding that 'half of our equipment sales in the USA come from local production. Therefore, only 10% of our revenue is affected by the announced customs duties. The group has reflected the increased customs duties in its selling prices.'
The current global tensions are coinciding with a strategic juncture for Lectra, which last year took control of French marketing analytics specialist Launchmetrics, and has recently launched digital supply chain platform Valia Fashion. The latter is an AI-based solution designed to connect, automate and streamline every step of apparel production, notably with the aim of minimising offcuts and fabric use via finely tuned requirement predictions.
'In light of the unprecedented circumstances stemming from economic and policy announcements, leading to a stronger-than-anticipated wait-and-see attitude among [our] clients, it is premature to provide updated annual forecasts at this time,' stated Lectra. With the 2024 annual results, it said it was expecting a revenue between €550 million and €600 million for 2025, and a 20% EBITDA margin at constant exchange rates.
It reported a 2024 revenue of €526.7 million, equivalent to a 10% growth over fiscal 2023, with EBITDA of €91.1 million, up 15%.
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