Metso (METSO) investor relations material

Strategic vision and market positioning

• Aims to be the industry benchmark in sustainable technologies for aggregates, minerals processing, and metals refining, with a focus on customer-centric growth and innovation.

• Operates in ~50 countries with ~18,000 employees and over 100 nationalities, emphasizing diversity and inclusion.

• Pursues leadership in technology, digitalization, and sustainability, targeting #1 positions in core and high-margin aftermarket segments.

• Strategy execution is guided by growth, profitability, and customer-centricity, with revised financial targets for 2028.

• Strong culture of safety, engagement, and continuous improvement underpins operational excellence.

Financial performance and targets

• Q1 2026 orders received reached €1,555 million (+6% YoY), with sales at €1,252 million (+3% YoY) and adjusted EBITA margin at 16.2%.

• 2028 targets include >7% annual sales growth (CAGR), adjusted EBITA margin >18%, and net debt/EBITDA <1.5x.

• Dividend payout policy set at a minimum of 50% of earnings per share, with 2025 payout at 69%.

• Maintains a strong balance sheet with net debt/EBITDA at 1.2 and €416 million in cash.

• Cash flow from operations in Q1 was €78 million, with a rolling 12-month figure of €856 million.

Segment highlights and growth drivers

• Aggregates segment achieved all-time high order intake in Q1 2026, driven by strong activity in North America and Europe.

• Minerals segment saw 8% organic order growth, with aftermarket orders up 7% and a margin improvement to 17.6%.

• Aftermarket growth is accelerated by digital services, regional expansion, and a multi-brand approach.

• Copper, gold, lithium, and nickel are key growth drivers, supported by electrification, energy transition, and recycling trends.

• R&D investment reached €122 million in 2025, focusing on digitalization, electrification, and sustainability.