EcoLab Posts Higher 1Q Sales, Adds Energy Surcharge to Offset Fuel Costs

By Katherine Hamilton

EcoLab posted higher revenue in the first quarter as it implemented a surcharge to offset higher fuel costs.

The water-treatment company on Tuesday posted a profit of $432.6 million, or $1.52 a share, in the quarter ended March 31, compared with $402.5 million, or $1.41 a share, a year earlier.

Stripping out certain one-time items, adjusted per-share earnings were $1.70, in line with analysts' estimates.

Sales rose 10% to $4.07 billion. Analysts surveyed by FactSet forecast sales of $4.03 billion.

Sales growth was driven by strong value pricing, volume growth and improved productivity, Chief Executive Christophe Beck said.

Life-sciences sales increased 11%, driven by bioprocessing, which more than doubled its sales during the quarter, the company said. Pest-elimination revenue rose 7%, while Ecolab's digital and global high-tech units both grew sales by more than 20%, it said.

To mitigate the rising cost of fuel during the quarter, Ecolab added a global energy surcharge, it said. As a result, commodity costs are expected to increase by a high-single-digit percentage starting in the second quarter, as fuel prices are expected to stay elevated.

Ecolab expects adjusted earnings per share in the second quarter will be $2.02 to $2.12, compared with the $2.10 analysts are estimating. The company anticipates there will be a short transition period while the benefits of the energy surcharge build to offset fuel prices.

Ecolab said it expects that, once the company hits the second half of the year, the surcharge will offset costs and its margin will stabilize. It maintained its guidance for the full year.

Write to Katherine Hamilton at katherine.hamilton@wsj.com

(END) Dow Jones Newswires

April 28, 2026 08:43 ET (12:43 GMT)