Afarak Group (AFAGR) Q4 2025 earnings summary

Executive summary

• Revenue increased 9.9% year-over-year to EUR 141.3 million, driven by higher sales volumes, especially in Speciality Alloys.

• EBITDA declined to EUR -0.2 million from EUR 2.6 million in 2024, reflecting margin pressure from lower selling prices and adverse currency movements.

• Loss for the year widened to EUR -8.9 million compared to EUR -7.2 million in 2024.

• The Zeerust mine in South Africa was sold mid-year, impacting Ferro Alloys segment production and revenue.

• Cash flow from operations improved to EUR 2.8 million from EUR -6.3 million in 2024.

Financial highlights

• Full-year revenue: EUR 141.3 million (2024: EUR 128.6 million); H2 revenue: EUR 64.2 million (H2/2024: EUR 57.2 million).

• EBITDA: EUR -0.2 million (2024: EUR 2.6 million); EBIT: EUR -2.6 million (2024: EUR -0.1 million).

• Loss for the period: EUR -8.9 million (2024: EUR -7.2 million); EPS: EUR -0.03 (2024: EUR -0.03).

• Cash and cash equivalents at year-end: EUR 7.3 million (2024: EUR 4.0 million).

• Equity ratio: 64.7% (2024: 69.3%); gearing: -4.1% (2024: -1.2%).

Outlook and guidance

• EU steel industry contracted for the fourth consecutive year in 2025; modest recovery expected in 2026 but with high uncertainty.

• Margins remain under pressure due to global overcapacity, high energy costs, and a weak USD.

• CBAM and new EU safeguard measures are starting to show positive effects, but energy and carbon compliance costs will continue to weigh on results.

• Full capacity utilization at the new Vlakpoort wash plant expected in Q1/2026.