Ecolab reported strong first quarter 2025 results, delivering 12% growth in adjusted diluted EPS to $1.50. This performance was driven by effective value pricing, volume gains, and productivity improvements, which offset softening in certain end markets. Reported sales declined 2% to $3.7 billion, reflecting a 2% drag each from divestitures and currency effects, though organic sales rose 3%, led by Institutional & Specialty, Pest Elimination, and Life Sciences.

The company reported an operating income margin of 15.0%, with the organic margin rising 190 basis points to 16.0%. Despite a 1% decline in reported EPS to $1.41, Ecolab maintained its full-year 2025 adjusted EPS guidance of $7.42 to $7.62 (+12% to 15%) and expects Q2 adjusted EPS of $1.84 to $1.94 (+10% to 15%), citing continued pricing strength, business wins, and productivity gains.

Ecolab Announces 5% U.S. Trade Surcharge Starting May 1

Ecolab will apply a 5% trade surcharge on all U.S. products and services beginning May 1, 2025. This move is meant to offset rising raw material costs linked to new global trade tariffs, including a 145% tariff on China and other tariffs exceeding 10%.

CEO Christophe Beck emphasized Ecolab’s commitment to customer value and its “local for local” supply model, which enables over 90% of sales to be produced near customers. The company said the surcharge supports reliable supply and ongoing investments, and it will adjust the rate as needed based on market conditions.

Ecolab announced progress on its water stewardship goals in line with World Water Day 2025, emphasizing the growing importance of water conservation in the AI era. The company helped customers conserve over 226 billion gallons of water in 2024 and aims to reach 300 billion gallons annually by 2030. Ecolab’s efforts include AI-powered water efficiency solutions, new industry partnerships, public engagement campaigns, and certifications recognizing leadership in water stewardship.

It also invested in innovation, including funding for PFAS treatment technology, and led initiatives such as the Water Resilience Coalition and the California Water Resilience Initiative. Ecolab reinforces that smart water management is key to business success and environmental sustainability.

Ecolab Q1 2025 Earnings Release Call
April 29, 2025 1:00 PM ET

Ecolab Named One of the World’s Most Ethical Companies for 19th Consecutive Year