EQS-News: wienerberger grows and increases dividend – third-best year on record

EQS-News: Wienerberger AG / Key word(s): Annual Results
   wienerberger grows and increases dividend – third-best year on record
   (news with additional features)

   26.02.2025 / 07:00 CET/CEST
   The issuer is solely responsible for the content of this announcement.

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   wienerberger grows and increases dividend – third-best year on record

   Highlights 2024

     • Total revenues of € 4.5 billion (+ 6%), operating EBITDA of
       € 760 million (- 6%)
     • Free cashflow of close to € 420 million (+ 62%)
     • One-off decline in reported profit due to non-recurring negative
       effects – sale of Russian business and restructuring measures to
       € 80 million
     • Proposed dividend of € 0.95 per share (+ 5.6%)

   Strategy and outlook 2025

     • Strategic growth and expansion of solution portfolio through
       innovation and acquisitions
     • Continuous expansion of a highly efficient network of modern and
       sustainable production sites
     • Ready for reconstruction in Ukraine
     • 2025 Operating EBITDA approximately € 800 million

    

   Vienna, February 26, 2025 – 2024 was the third-best year in the history of
   the company, which confirms the strength of its strategy, its resilience,
   and its strong operative performance. Despite a challenging market
   environment, especially in the new build sector, robust margins were
   achieved through disciplined cost management and operational efficiency.

   The construction sector faced significant headwinds in 2024, including a
   sharp decline in single- and multi-family home construction of sometimes
   more than 25%. Rising interest rates, increasing construction costs and
   political uncertainties further impeded market development. In order to
   face these challenges and mitigate margin pressure, wienerberger acted
   swiftly and thoroughly: capacity adjustments, restructuring measures and
   disciplined cost management have contributed € 100 million to profits,
   securing a group-level operating EBITDA margin of around 17%. Thanks to a
   strong focus on working capital management and inventory optimization, the
   company was able to generate a free cash flow of close to € 420 million.
   These measures were complemented by targeted portfolio adjustments,
   securing the company's financial stability, and allowing for further
   growth.

   Strengthening the market position: accelerated integration, synergies, and
   strategic growth

   The resilience of wienerberger’s diversified portfolio was particularly
   evident in the roof sector, which profited from the high demand for
   renovations in Europe. With the integration of Terreal, wienerberger
   further strengthened its market position and its portfolio of solutions
   for the entire building envelope. The integration process advanced ahead
   of schedule, further contributing to overall profitability. Additional
   strategic acquisitions – including Slatek OY in Finland and Tekken AS in
   Norway (smart water solutions) and GrainPlastics in the Netherlands
   (drainage and cable protection solutions) – have expanded the company's
   portfolio, optimized the supply chain and positioned wienerberger for
   long-term, sustainable growth.

   wienerberger also continued its growth in the sector of piping for water
   and energy management and gained further market share. Thanks to targeted
   investments in plant expansions and new system solutions, this sector made
   a significant contribution to the Group's overall performance and now
   represents the largest business unit within wienerberger.

   Performance of the Segments

   Europe West: In 2024, external revenues amounted to € 2.5 billion (2023:
   € 2.2 billion) and operating EBITDA came to € 350 million (2023:
   € 378 million). The results include the ten months of strong contributions
   from the Terreal Group.

   In countries such as Germany, France and Belgium, the anticipated recovery
   of the new residential housing markets did not materialize as anticipated.
   High interest rates and inflation-driven construction costs continued to
   impact demand. The Dutch housing market has improved sequentially, driven
   by growth in roof sales volumes. Together with the continuing demand for
   pipework solutions, this led to a clear turnaround. Residential markets
   also recovered in the UK and Ireland, with the renovation sector remaining
   robust. In Scandinavian markets, wienerberger further strengthened its
   position in smart water management by acquiring Slatek OY in Finland and
   Tekken AS in Norway.

   Europe East: In 2024, external revenues amounted to € 1.2 billion (2023:
   € 1.2 billion) and operating EBITDA came to € 219 million (2023:
   € 220 million).

   While the new-build market in Eastern Europe remained challenging,
   positive momentum was seen in some markets, driven by government-backed
   subsidies in Poland, the Czech Republic, and Hungary. In Croatia, the
   renovation and infrastructure sectors rebounded, contributing to earnings,
   with Vargon’s integration further strengthening wienerberger’s market
   position. Austria continued to experience weak residential construction
   activity, while Hungary saw increased demand in renovation. Infrastructure
   projects in the Czech Republic developed positively.

   North America: In 2024, external revenues amounted to € 799 million (2023:
   € 838 million) and operating EBITDA came to € 191 million (2023:
   € 213 million).

   While long-term housing demand remained robust, the facade business in
   North America continued to be impacted by high mortgage rates. The pipe
   business, however, performed well, supported by sustained demand for water
   management solutions. wienerberger strengthened its presence in the region
   through acquisitions, including Ludowici, a specialty roof tile
   manufacturer, and Summitville Tiles, a producer of facade systems.

   Innovation and sustainability are central pillars of the strategy and
   drivers of growth

   Innovation and sustainability are central pillars of wienerberger’s
   strategy and significant drivers of its long-term growth. wienerberger is
   more resilient, innovative, and efficient than ever. Already today, the
   company generates 33% of its revenue from innovative products, with a goal
   of reaching 35% by 2026. One major step was the launch of Wioniq, bringing
   together four innovative companies – Inter Act, I-Real, Wideco, and Slatek
   – and creating a new platform for smart water and energy management
   solutions, which offers significant growth potential.

   For wienerberger, innovation and sustainability go hand in hand.
   Sustainability is a central part of its strategy and drives both progress
   as well as a positive impact on the environment and society. Among other
   things, wienerberger is increasingly focusing on the circular economy by
   expanding recycling capacities and integrating more resource-saving
   materials into production. One key achievement in decarbonization was the
   opening of wienerberger’s modernized CO[2]-neutral brick plant in
   Uttendorf, Austria, where wienerberger installed the world’s largest
   electric industrial kiln. Thanks to this innovation, wienerberger now
   operates Europe’s most sustainable brick production facility, setting new
   industry standards. In doing so, wienerberger is actively driving the
   transformation towards a sustainable construction and infrastructure
   industry, making a decisive contribution to achieving the climate targets
   of the European Green Deal.

   wienerberger is ready for the reconstruction in Ukraine

   With its comprehensive portfolio of sustainable building materials and
   infrastructure solutions, wienerberger is ready to make an important
   contribution to the reconstruction of Ukraine. With plants in neighboring
   countries the company is ready to meet the demand for bricks, roof tiles,
   paving products, and plastic pipes. With sufficient free capacity,
   wienerberger is ideally positioned for swift capacity increases and
   immediate deliveries. In addition, competent teams are available on site
   to ensure smooth implementation. The company's solutions are helping to
   realize climate-friendly, energy-efficient and sustainable infrastructure
   projects in the region.

   Outlook 2025 and dividend

   While market conditions are gradually stabilising, wienerberger expects
   these developments to be limited in visibility in its core markets, and
   uncertainties to remain high. Given this challenging environment,
   wienerberger will remain committed to strict cost discipline and operative
   efficiency to expand the Group’s EBITDA margin to 17.5%. The strategic
   priorities include optimising operating processes, increasing efficiency
   and seizing new growth opportunities.

   Under the assumptions that (i) relevant end markets show a stable
   development in 2025 and (ii) interest rates will be cut further throughout
   2025, wienerberger expects an operating EBITDA of approximately
   € 800 million.

   With a strong financial base and a clear strategic focus, wienerberger is
   convinced that it will continue to create sustainable long-term value for
   its shareholders. The Executive Board will propose a dividend of € 0.95
   per share to the Annual General Meeting, which represents an increase of
   approximately 5.6% compared to the 2023 dividend per share of € 0.90.
   Share buybacks remain a key component of the capital allocation strategy,
   which, together with an attractive dividend policy, offers an improved
   shareholder return. At the beginning of 2025, wienerberger successfully
   completed its latest share buyback program. In order to further increase
   shareholder value, wienerberger plans to cancel up to 2% of its share
   capital.

   On February 26, 2025, at 08:00 AM (CET), CEO Heimo Scheuch and CFO Gerhard
   Hanke will present the financial results for 2024 in a conference call.
   The broadcast will be live, and further details and the livestream can be
   found [1]here.

   The full 2024 Annual Report will be published on March 31, 2025.
    

   wienerberger
   wienerberger is a leading international provider of innovative, ecological
   solutions for the entire building envelope, in the fields of new build and
   renovation, as well as infrastructure in water and energy management. With
   more than 20,000 employees worldwide, wienerberger's solutions enable
   energy-efficient, healthy, climate-friendly, and affordable living.
   wienerberger is the world’s largest producer of bricks and the market
   leader in clay roof tiles in Europe as well as concrete pavers in Eastern
   Europe. In pipe systems (ceramic and plastic pipes), the company is one of
   the leading suppliers in Europe and a leading supplier of facade products
   in North America. At the beginning of 2024, wienerberger successfully
   completed the acquisition of Terreal, becoming the leading European
   provider of innovative all-in roofing and solar solutions, as well as
   solutions for the entire building envelope in Europe and North America.
   With its more than 200 production sites, wienerberger generated revenues
   of approx. € 4.5 billion and an operating EBITDA of € 760 million in 2024.

   For further information, please contact:
   Claudia Hajdinyak, Head of Corporate Communications Wienerberger AG
   t +43 664 828 31 83 | [email protected]

   Therese Jandér, Senior Vice President Investor Relations Wienerberger AG
   t +43 1 601 92 - 10221 | [email protected]

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   Additional features:

   File: [2]CEO comment and outlook FY 2024_English

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   26.02.2025 CET/CEST This Corporate News was distributed by EQS Group.
   www.eqs.com

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   Language:    English
   Company:     Wienerberger AG
                Wienerbergerplatz 1
                1100 Wien
                Austria
   Phone:       +43 1 60 192-0
   Fax:         +43 1 60 192-10159
   E-mail:      [email protected]
   Internet:    www.wienerberger.com
   ISIN:        AT0000831706
   Listed:      Vienna Stock Exchange (Official Market)
   EQS News ID: 2091339


    
   End of News EQS News Service


   2091339  26.02.2025 CET/CEST

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