Heidelberg Materials (HEI) Investor presentation summary

Company overview and strategic positioning

• Operates in over 2,600 locations across five continents with 49,000 employees, holding leading positions in cement, aggregates, and ready-mixed concrete.

• Maintains a balanced geographic footprint, with 46% of revenue from Europe and significant presence in North America, Asia-Pacific, and Africa-Mediterranean-Western Asia.

• Differentiates through a comprehensive portfolio of sustainable, low-carbon products and digital solutions, including evoBuild and evoZero.

• Focuses on innovation, digitalization, and technical excellence to drive efficiency and value creation.

• Recognized for transparency and climate performance, with top ESG ratings and validated science-based targets.

Financial performance and shareholder returns

• Achieved FY 2025 revenue of €21.5bn (+1% LfL), EBITDA margin of 21.8%, and RCO of €3.4bn (+6% LfL).

• Free cash flow reached €2.1bn, ROIC improved to 10.4%, and adjusted EPS rose to €12.4 (+4%).

• Shareholder return increased by 10% to €1.1bn, with ongoing share buybacks and progressive dividend policy.

• Maintains a solid investment grade rating, balanced debt maturity profile, and leverage around 1.5x.

• Targets €15–17bn deployed capital by 2030, with over €10bn excess cash for investments and buybacks.

Growth strategy and market outlook

• Pursues organic and inorganic growth, with significant M&A activity in North America, Europe, and emerging markets.

• Streamlines portfolio through selective acquisitions (e.g., MAAS, AmeriTex, Akçansa, Burnco) and disposals (e.g., Bukhtarma Cement).

• Focuses on asset optimization, especially reducing clinker capacity and expanding materials capacities in Europe.

• Leverages megatrends such as energy transition, infrastructure, and urbanization for long-term demand.

• 2026 guidance: RCO €3.40–3.65bn, ROIC slightly above 10%, CapEx €1.2–1.3bn, and stable CO2 emissions.