H+H International (HH) Q4 2025 earnings summary

Executive summary

• 2025 saw flat organic growth and a 1% volume decline, with stable markets and weak German demand offset by gains in Poland and the UK.

• EBIT reached DKK 112 million, up DKK 50 million year-over-year, driven by business improvement initiatives.

• EBITDA before special items rose to DKK 291 million (margin 11%) from DKK 250 million (margin 9%) year-over-year.

• Sustainability efforts led to a 3% reduction in emissions and energy usage.

• Safety performance remained strong, with a leading industry figure of 0.9 LTIF.

Financial highlights

• Organic growth was 0% for the full year, in line with adjusted guidance.

• EBIT before special items was DKK 112 million (margin 4%), up from DKK 63 million (margin 2%) in 2024.

• Q4 organic growth was -5%, mainly due to UK market slowdown.

• Net interest-bearing debt increased to DKK 802 million, up from DKK 682 million year-over-year.

• EBIT margin for the group was 12% excluding Germany; group margin was 4%.

Outlook and guidance

• 2026 guidance: organic growth between -5% and 0%, EBIT of DKK 50–100 million before special items.

• Q1 2026 volumes expected down 25% year-on-year due to severe winter weather.

• Free cash flow for 2026 expected to be positive only if asset sales are completed; otherwise, likely negative.

• No planned restructuring or special items anticipated for 2026.

• Expected DKK 40 million benefit from German restructuring; CAPEX for 2026 projected at DKK 100–120 million.