RHI Magnesita N.V.

Latest Results (25.05.2026):

RHI Magnesita N.V. — Full year 2025 (year ended 31 December 2025): The Group reported a mixed 2025 with a weak H1 followed by a strong H2 recovery driven by management self‑help actions (pricing, cost control, plant network optimisation) and modest demand improvement. Reported revenue was €3,366m (down 3% y/y; -1% constant currency), Adjusted EBITDA €504m (-7%), Adjusted EBITA €373m (-8%) with an Adjusted EBITA margin of 11.1% (down ~60bps). Cash generation remained strong (adjusted operating cash flow €391m; cash conversion 105%), net debt rose to €1,495m (leverage 2.9x Pro Forma Adjusted EBITDA) largely reflecting the Resco acquisition. Management expects Adjusted EBITA to increase in FY 2026 (~+17% cc to €435m; ~€400m after FX headwinds) and further deleveraging to ~2.6x by year end 2026.

Revenue and volumes

Group revenue €3,366m (-3% reported, -1% cc). Sales volumes down ~2% overall; North America growth (+22% reported, helped by Resco/BPI) offset declines in Europe, China/East Asia, Latin America and META where Chinese exports pressured volumes and pricing.

Profitability

Adjusted EBITDA €504m (-7%); Adjusted EBITA €373m (-8%) and margin 11.1% (2024: 11.7%). Strong H2 swing: H1 Adjusted EBITA €141m (8.4% margin) vs H2 €232m (13.7% margin), reflecting realised cost savings and network actions.

Reported earnings & tax

Reported profit before tax €128m (2024: €200m); profit after tax €94m (2024: €154m). Reported EPS €1.82 (2024: €3.01). Adjusted EPS €4.18 (2024: €5.32). Reported tax charge €34m.

Cash flow and balance sheet

Adjusted operating cash flow €391m (cash conversion 105%); free cash flow €214m. Net debt €1,495m at year‑end (includes €64m IFRS16 leases), up from €1,251m, driving leverage to 2.9x Pro Forma Adjusted EBITDA. Available liquidity €955m (cash €355m + undrawn €600m).

M&A and portfolio

Acquisition of Resco (closed 28 Jan 2025) integrated successfully — contributed €184m revenue and €25m Adjusted EBITA (11 months). M&A remains strategic but no large cash‑out deals expected in 2026.

Cost actions and sustainability

Management reported €70m of second‑half savings from efficiency, SG&A and plant optimisation (including Mainzlar and Wetro closures). Recycling rate reached a record 15.9% (2024: 14.2%); sustainability initiatives and vertical integration remain priorities.

Regional performance

North America outperformed (revenue €863m, +22% reported) and delivered 32% of Group gross profit. Europe saw the largest decline (revenues €727m, -12%) with significant H1 weakness. India showed volume growth (+4%) but weak pricing; Latin America, China & East Asia, and META faced competitive pressure from Chinese exports.

Risks and headwinds

Main risks remain weak global steel end‑markets, elevated Chinese refractory/steel exports, FX headwinds and regulatory/tariff uncertainty. Management does not expect meaningful refractory demand recovery before H2 2026 at the earliest; regulatory changes may only support demand from ~2027.

Outlook for 2026

Management guidance: Adjusted EBITA to increase by ~17% on a constant currency basis to €435m (translated to ~€400m after FX). Cash conversion expected >90% and net debt leverage targeted to fall to ~2.6x by end‑2026, driven by continued self‑help measures and disciplined working capital management.