Hornbach defies market challenges with steady growth and leadership shift

Hornbach Holding has reported steady growth for the 2025/26 financial year, with net sales rising by 3.8% to €6.434 billion. Despite a challenging fourth quarter, the company met its financial targets and maintained a stable adjusted EBIT of €264.7 million. Leadership changes are also underway, with Erich Harsch set to take over as CEO from Albrecht Hornbach.

Over the past five years, Hornbach has expanded its presence across Europe, growing its store network to 168 locations in nine countries. Revenue climbed consistently, reaching €6.2 billion in 2024/25—a 3.2% year-on-year increase. This performance outpaced competitors like Obi, which struggled financially and filed for insolvency in 2024, as well as Bauhaus, which saw slower growth of around 2% annually. Hornbach's gains were particularly strong in online sales and the DIY sector, where it captured an additional 1-2% market share.

The latest financial results showed net sales up 3.8% to €6.434 billion. However, the fourth quarter saw an adjusted EBIT loss of €34.8 million, largely due to rising costs. Overall, adjusted EBIT for the year remained nearly stable at €264.7 million, in line with company forecasts. To improve profitability, Hornbach plans efficiency measures and price adjustments. Leadership will also shift, with Erich Harsch replacing Albrecht Hornbach as CEO. Jan and Nils Hornbach will join the board, reinforcing family involvement in the business.

Hornbach remains a solid investment for DACH-region shareholders, thanks to stable dividends and ongoing European expansion. Analysts predict modest revenue growth in the next financial year, with a focus on cost control and operational improvements. The company's long-term strategy aims to strengthen its market position while restoring profitability.