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Pirelli & C. (PIRC) investor relations material
Pirelli & C. Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved 4.4% organic growth in H1 2025, with revenues of €3.5B and High Value segment rising to 80% of sales, driven by strong commercial performance and internal levers amid a challenging environment.
Adjusted EBIT margin improved to 16%, with net profit up 14% to €264M, supported by lower financial expenses and robust cash generation.
Sustainability progress includes a 16.5% reduction in absolute emissions, 7.2% reduction in water withdrawal, and recognition by leading ESG indices.
Leadership in High Value segment strengthened, with market share gains in ≥18” car tyres and reduced exposure to Standard, especially in South America.
Board majority approved results, with dissent related to Sinochem's control cessation declaration.
Financial highlights
Net sales reached €3,499M in H1 2025, up 1.5% year-over-year, with 4.4% organic growth; adjusted EBIT was €558M (+3.6% YoY), and adjusted EBITDA €792.9M (+3.2% YoY).
Net profit for H1 2025 was €264M (+14.1% YoY); net financial position improved to -€2,678.7M from -€2,978M a year earlier.
Net cash flow before dividends in Q2 was €193M, stable year-over-year; H1 2025 net cash flow before dividends improved to -€503.7M.
Cost of debt reduced to 4.88% from 5.06% at end-2024.
ROIC expected at ~23% for FY 2025.
Outlook and guidance
Full-year 2025 revenue forecast at €6.7–6.8B, with organic growth ≥4% and price/mix improvement of 3–3.5%.
Adjusted EBIT margin expected at ~16%, with adjusted EBIT around €1,080M; net cash flow before dividends targeted at ~€550M.
Deleveraging target: NFP/Adjusted EBITDA at ~1x, NFP at ~-€1.6B.
Investments planned at €420M for the year; CapEx for H1 2025 at €128M.
Tariff net impact for the year confirmed at €30M after mitigation.
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