Constellium (CSTM) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue rose 9% year-over-year to $2.1 billion, with shipments up 2% to 384,000 tons; net income fell to $36 million from $77 million in Q2 2024, and Adjusted EBITDA was $146 million, impacted by a $13 million negative metal price lag.

• Free cash flow was $41 million for the quarter; 3.4 million shares were repurchased for $35 million, with $171 million remaining under the buyback program.

• Management prioritized cost control, capital discipline, and free cash flow generation amid ongoing tariff, demand, and macroeconomic uncertainties.

• Packaging & Automotive Rolled Products led growth, offsetting declines in Aerospace & Transportation and Automotive Structures & Industry.

• Safety performance improved, with a recordable case rate of 2.6 per million hours in Q2 and 1.8 year-to-date.

Financial highlights

• Q2 2025 revenue was $2.1 billion (+9% YoY); net income was $36 million (down from $77 million); Adjusted EBITDA was $146 million (or $159 million excluding metal price lag).

• Free cash flow for Q2 was $41 million; H1 2025 free cash flow was $38 million, up from $24 million in H1 2024.

• Net debt at quarter-end was $1.9 billion, with leverage at 3.6x, expected to decline below 3x by year-end.

• Total liquidity at June 30, 2025, was $841 million, including $133 million cash and $465 million ABL facility availability.

• CapEx for 2025 expected at $325 million; cash interest and taxes projected at $125 million and $45 million, respectively.

Outlook and guidance

• 2025 Adjusted EBITDA guidance (excluding metal price lag) raised to $620–$650 million; free cash flow expected to exceed $120 million.

• Long-term targets reiterated: $900 million Adjusted EBITDA and $300 million free cash flow by 2028.

• Guidance assumes stable macro environment, modest H2 improvement, and benefits from tariff mitigation, scrap spreads, and FX.

• Q3 expected to be stronger than Q2, with Q4 seasonally weaker.

• No significant impact anticipated from recent U.S. tax law changes for fiscal 2025.