EQS-News: voestalpine AG: voestalpine AG: increase in earnings and strong cash flow in the first half of 2025/26

EQS-News: voestalpine AG / Key word(s): Half Year Results/Half Year
   Results
   voestalpine AG: voestalpine AG: increase in earnings and strong cash flow
   in the first half of 2025/26

   12.11.2025 / 07:30 CET/CEST
   The issuer is solely responsible for the content of this announcement.

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   voestalpine AG: increase in earnings and strong cash flow in the first
   half of 2025/26
    

     • Sales down slightly to EUR 7.6 billion (H1 2024/25: EUR 8 billion)
     • Positive development across all key earnings figures
     • EBITDA at EUR 722 million in the first half of 2025/26 (previous year:
       EUR 718 million), EBIT up 2% to EUR 345 million in H1 2025/26
     • Profit before tax at EUR 278 million (+12% year-on-year), profit after
       tax at EUR 199 million (+8.6% year-on-year)
     • Strong free cash flow of EUR 296 million and continued reduction of
       net financial debt
     • Gearing ratio at lowest level since the business year 2006/07 despite
       increased investment requirements
     • Number of employees (FTE) decreased by 4.1% to 49,600
     • Outlook for 2025/26 remains unchanged with expected EBITDA of EUR 1.4
       to 1.55 billion

    
   In a challenging environment, voestalpine generated a solid result in the
   first half of the 2025/26 business year (April 1, 2025 to September 30,
   2025). The global positioning and sector diversification, as well as the
   Group’s strong financial position once again proved to be effective in an
   environment shaped by economic uncertainty, tariffs, and trade
   restrictions. Global demand in the Railway Systems business segment
   remained strong in the first half of the business year, and the aerospace
   segment also continued its positive market development. The construction,
   mechanical engineering, and consumer goods sectors continued to stagnate
   at a low level. The need for products in the energy sector continued to
   decline in the first six months of the current business year, while the
   Steel Division’s products for international pipeline projects continued to
   see solid sales volumes. Demand for voestalpine products for the
   automotive industry is also divided into two segments: While the
   Automotive Components business unit continues to be affected by the very
   subdued development of automotive production, particularly in Europe and
   especially in Germany, demand for the Steel Division’s products in this
   segment remained stable at a good level. The positive trend in the
   business unit Warehouse& Rack Solutions continued in the first half of
   2025/26.
    
   “voestalpine was able to achieve a very solid result in the first six
   months of 2025/26, despite continuing challenging conditions. Our
   high-tech products are in demand worldwide, and the railway
   infrastructure, aerospace, and warehouse solution sectors in particular
   have developed very well. Another clear sign of our efficiency and robust
   business model is the strong free cash flow that we generated in the first
   half of the year,” says Herbert Eibensteiner, CEO of voestalpine AG.
    
   Ongoing reorganization measures
    
   voestalpine does not currently expect the economic situation to improve in
   the coming months and will continue to consistently implement its ongoing
   reorganization measures, such as at the German Automotive Components sites
   and in the High Performance Metals Division. At voestalpine Tubulars, the
   considerable burdens caused by US tariffs in the main sales market USA and
   the persistently low oil prices are leading to a noticeable decline in
   sales volumes, which is why capacity adjustments may become necessary at
   the Kindberg site. This decision will be made by the end of this calendar
   year. As reported, voestalpine BÖHLER Bleche in Mürzzuschlag is also
   running a strategy project until the end of the year with the goal of
   positioning the company and its processes in a way that products can be
   sold at marketable prices, despite difficult conditions. In general,
   capacity adjustments in the Group cannot be ruled out at the present time.
    
   Trendsetting projects
    
   voestalpine was able to drive important future projects ahead in the first
   half of 2025/26. In September 2025, construction work started on Hy4Smelt,
   Austria’s largest climate action research project, at the voestalpine site
   in Linz. The commissioning of the world’s first industrial-scale
   demonstration plant, which can combine two innovative
   processes—hydrogen-based direct reduction for ultra-fine iron ores and an
   electric smelting process—is planned for the end of 2027.
    
   The production hall for the manufacture of longitudinal truck beams was
   completed at the voestalpine site in Indiana, USA, and production is
   scheduled to start in July 2026. 100 of the 110 new employees have already
   been recruited. In the high bay warehouse sector, voestalpine has landed
   the largest order in the Group’s history. From the end of 2025, the Group
   will be implementing a major project for a renowned logistics service
   provider in Türkiye. A milestone for the Railway Systems business unit is
   the opening of the “Koralmbahn” in December 2025, which, together with the
   Koralm Tunnel—the world’s sixth longest railroad tunnel—represents a role
   model for further rail infrastructure projects: voestalpine equipped the
   project of the century, which is part of Austria’s new southern line
   “Südstrecke”, with premium rails and high-tech turnouts, fastening
   systems, as well as signaling and safety technology.
    
   Increase in earnings, strong cash flow generation, solid balance sheet
   structure
    
   Revenue declined by 5.6% year-on-year to EUR 7.6 billion (H1 2024/25:
   EUR 8 billion). The operating result (EBITDA) increased slightly to
   EUR 722 million (H1 2024/25: EUR 718 million), while EBIT rose by 2%
   year-on-year to EUR 345 million. Consolidated earnings before taxes
   increased by 12% to EUR 278 million, while profit after tax rose by 8.6%
   to EUR 199 million.
    
   There was also strong cash flow generation. Cash flows from operating
   activities doubled compared to the previous year and amounted to
   EUR 783 million in the first half of 2025/26. Free cash flow—supported in
   particular by successful working capital projects—totaled EUR 296 million.
    
   voestalpine shows an extremely solid balance sheet structure. Despite
   increased investment expenditure for the transformation of steel
   production (greentec steel), debt was further reduced in the first half of
   2025/26: Net financial debt amounted to EUR 1.5 billion as of September
   30, 2025 (September 30, 2024: EUR 2 billion; March 31, 2025:
   EUR 1.7 billion). Equity increased year-on-year to EUR 7.53 billion as of
   September 30, 2025. The gearing ratio (net financial debt as a percentage
   of equity) therefore improved year-on-year, from 27.5% to 19.5%, as of
   September 30, 2025.
    
   On September 30, 2025, the number of employees in the voestalpine Group
   worldwide amounted to around 49,600 (full-time equivalents), which is 4.1%
   lower than in the previous year (51,700). The decrease is mainly due to
   the sale of the Buderus Edelstahl business operations and the
   reorganization of the Automotive Components business unit.
    
   Outlook for the 2025/26 business year
    
   The realignment of the United States' economic relations with its global
   trading partners created uncertainty in many markets and regions during
   the first half of 2025/26. The global economy had to adapt to the changed
   conditions within a short period of time.
    
   For Europe, this resulted in very low levels of economic growth, which is
   expected to continue throughout the rest of the business year. In North
   America, the growth trajectory remained intact despite mounting
   uncertainty. The government shutdown and the associated loss of economic
   data have made it difficult to assess the economic situation.
   Nevertheless, most economists expect North American economic growth to
   continue over the course of the business year. In Brazil, industry was
   weighed down by high key interest rates, US tariff policy, and an influx
   of Chinese imports toward the end of the first half of 2025/26. No
   improvement is expected in the second half of the business year. China, on
   the other hand, maintained its growth trend, particularly in the
   industrial sector, and this is unlikely to change significantly in the
   remainder of the business year.
    
   Against this backdrop, the prevailing trends in the individual market
   segments are expected to continue in the second half of 2025/26. The
   mechanical engineering, construction, and consumer goods segments are
   expected to remain at least stable at their current level. Demand from the
   conventional energy sector is expected to remain strong in the pipeline
   plate segment, whereas no significant impetus is expected from exploration
   activities in the second half of the business year. The development of the
   automotive industry also remains mixed for the voestalpine Group: While no
   significant recovery is expected on the components side, demand from this
   industry for high-quality steel sheets should remain at a satisfactory
   level comparable to the first half of the year. The positive development
   in railway systems, aerospace, and warehouse technology is expected to
   continue unabated in the second half of 2025/26.
    
   The ongoing reorganization programs in Automotive Components and the High
   Performance Metals Division will continue to be implemented as planned,
   with positive effects expected towards the end of the current business
   year. Additional positive momentum is expected for the Steel Division from
   the announced EU safeguard measures.
    
   Against this backdrop, the Management Board of voestalpine AG confirms its
   previous forecast and continues to expect EBITDA in the range of EUR 1.40
   to 1.55 billion for the 2025/26 business year.
   This earnings forecast takes into account the negative effects of the US
   tariff measures known at this point in time.
    
   The voestalpine Group
    
   voestalpine is a globally leading steel and technology group with a unique
   combination of materials and processing expertise. voestalpine, which
   operates globally, has around 500 Group companies and locations in more
   than 50 countries on all five continents. The voestalpine Group has been
   listed on the Vienna Stock Exchange since 1995. With its premium products
   and system solutions, voestalpine is a leading partner to the automotive
   and machinery industries, as well as to the aerospace and energy
   industries. The company is also the global market leader in railway
   systems and special sections. voestalpine is committed to the global
   climate goals and has a clear plan for transforming steel production with
   its greentec steel program. In the business year 2024/25, the Group
   generated revenue of EUR 15.7 billion, with an operating result (EBITDA)
   of EUR 1.3 billion; it has around 49,700 employees worldwide.
    
    
   Please direct your inquiries to
    
   voestalpine AG
   Peter Fleischer
   Head of Investor Relations
    
   voestalpine-Straße 1
   4020 Linz, Austria
   T. +43/50304/15-9949
   peter.fleischer@voestalpine.com
   [1]www.voestalpine.com
    

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   12.11.2025 CET/CEST This Corporate News was distributed by [2]EQS Group

   View original content: [3]EQS News

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   Language:    English
   Company:     voestalpine AG
                voestalpine-Straße 1
                4020 Linz
                Austria
   Phone:       +43 50304/15-9949
   Fax:         +43 50304/55-5581
   E-mail:      IR@voestalpine.com
   Internet:    www.voestalpine.com
   ISIN:        AT0000937503
   WKN:         897200
   Listed:      Vienna Stock Exchange (Official Market)
   EQS News ID: 2227910


    
   End of News EQS News Service


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