Outokumpu Oyj

Latest Results (19.01.2026):

Outokumpu Oyj — Q2 2025: Adjusted EBITDA improved to EUR 75 million (Q1: EUR 49m) on sales of EUR 1,486 million; reported EBITDA was EUR 39 million after EUR -35 million of items affecting comparability. Q2 net result was EUR -19 million (EPS -0.04) and stainless steel deliveries were 483,000 tonnes. Free cash flow in Q2 was EUR 21 million (H1 2025: EUR -41m) and net debt fell to EUR 169 million following convertible bond conversions.

Headline financials

Sales: EUR 1,486m (Q2 2025). Adjusted EBITDA: EUR 75m; EBITDA: EUR 39m (includes EUR -35m items affecting comparability). Net result: EUR -19m; EPS -0.04. H1 2025 adjusted EBITDA: EUR 124m.

Profit drivers and comparability items

Profitability supported by lower raw material costs, short‑term cost savings (EUR 29m YTD) and ferrochrome improvements. Items affecting comparability of EUR -35m were mainly restructuring provisions related to the EVOLVE strategy (cash impact ~EUR 29m over 2025–2028).

Deliveries and market trends

Stainless steel deliveries in Q2 were 483kt (up ~3% vs Q1); Europe demand remained weak with price pressure, while Americas saw improved volumes and margins. Company expects Q3 2025 adjusted EBITDA to be lower than Q2, citing seasonality, weak European prices and maintenance impacts (up to ~EUR -10m).

Cash flow and balance sheet

Q2 free cash flow: EUR 21m; H1 free cash flow: EUR -41m. Inventory value declined (EUR 1,623m at 30 Jun). Net debt reduced to EUR 169m (Mar 31: EUR 252m), helped by convertible bond conversions (approx. EUR 122m); liquidity reserves ~EUR 1.1bn.

Capex and operational program

Capex Q2: EUR 35m (H1: EUR 86m). Company targets cumulative EBITDA run‑rate improvements of EUR 350m by end‑2025; cumulative achieved EUR 328m by end‑Q2 2025. 2025 planned capex ~EUR 160m.

Strategy and investments

EVOLVE strategy announced (2026–2030) — businesses classified as foundational or transformative. Planned foundational investment: ~EUR 200m for a new annealing & pickling line in Tornio (with planned closure of two Krefeld lines). Feasibility study started for melt‑shop expansion in Avesta for high‑nickel alloys.

Sustainability & safety

Recycled material content 97%; rolling 12‑month emission intensity 1.39; TRIFR 1.2 in Q2. Kemi chrome mine provides low‑CO2 ferrochrome (reported 67% lower carbon footprint vs global average). Outokumpu continues SBTi‑aligned decarbonization work and product initiatives (Circle Green®).

Corporate actions & shareholder returns

First dividend installment for 2024 (EUR 0.13 per share) paid in Q2 2025; second installment planned for Oct 2025. Convertible bonds converted in Q2 reduced net debt and led to share issuances/cancellations as reported.

Key risks & legal matters

Key external risks: trade policy uncertainty (U.S./EU tariffs), geopolitical tensions, energy price volatility and raw‑material exposure (nickel). Several legal proceedings and provisions remain disclosed in the report (including matters related to the terminated Fennovoima project and U.S. litigation).