Cognor Holding (COG) Q4 2025 earnings summary

Executive summary

• 2025 saw lower sales volumes and declining prices for scrap and finished products, with only billets showing price improvement.

• Net loss for 2025 was PLN 121.9m, a significant improvement from PLN 356.7m in 2024, mainly due to lower impairment charges and improved financial income.

• Major capex projects completed, including new EAF in Gliwice, Kraków mill modernization, and new LSM mill in Siemianowice Śląskie, boosting capacity and efficiency.

• Major capital increase of PLN 300m through new share issuance and conversion of convertible bonds to strengthen equity.

• Market conditions improved in 2026, with higher sales volumes, positive EBITDA, and net profit expected as capacity utilization increases.

Financial highlights

• Sales revenue for 2025: PLN 2,080.8m, down 9% year-over-year.

• Gross profit: PLN 46.2m, up due to lower processing and outage costs.

• EBIT: PLN -91.2m, down due to higher distribution and admin costs, and negative balance of other gains/losses.

• Net loss: PLN -130.3m, a decline of PLN 73m and 126% year-over-year.

• Operating loss for 2025 was PLN 102.7m, compared to PLN 339.1m in 2024.

• Net financial expenses decreased to PLN 15.1m from PLN 19.2m year-over-year.

• Cash flow from operating activities was PLN 6.7m, up from PLN 2.7m in 2024.

• Cash and cash equivalents at year-end rose to PLN 21.3m from PLN 0.8m.

• Equity increased to PLN 1,403.7m.

Outlook and guidance

• 2026 outlook positive: higher utilization at key plants, market improvement, and price increases expected, especially for rebars.

• Anticipated higher sales volumes and values, with positive EBITDA and net profit.

• Management confirmed the going concern assumption despite macroeconomic and geopolitical uncertainties, including the Ukraine war and Middle East conflict.

• No dividend declared for 2025; losses to be covered by future profits.