Heidelberg Materials (HEI) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue was €4,536 million, down 3.8–4% year-over-year, mainly due to adverse weather and economic uncertainties impacting volumes in Europe and the US.

• Operating EBIT (RCO) fell 30–30.4% year-over-year to €163 million, with positive price over cost offset by lower volumes.

• Transformation Accelerator Initiative delivered €405 million in savings by March 2026, targeting €500 million by year-end.

• Growth trajectory maintained through acquisitions in Australia (Maas Group) and Turkey (Akçansa), with increased stake in Akçansa to 79.44%.

• Dividend proposal increased by 9% to €3.60 per share; third tranche of share buyback up to €450 million to start after AGM/Q2.

Financial highlights

• Revenue declined to €4,536 million from €4,715 million in Q1 2025, a 3.8–4% decrease year-over-year.

• Operating EBITDA (RCOBD) dropped 13% to €484 million; margin decreased to 10.7% from 11.8%.

• Operating EBIT (RCO) down 30–30.4% to €163 million; margin at 3.6% vs. 5.0% prior year.

• Dividend proposal: €3.60 per share, up from €3.30.

• LTM EBITDA margin improved in Cement (+110 bps), Aggregates (+108 bps), and Group (+53 bps).

Outlook and guidance

• 2026 RCO guidance confirmed at €3.40–3.75 billion.

• ROIC expected/forecasted above 10%.

• CapEx net guidance at €1.2–1.3 billion; leverage target around 1.5x.

• Further reduction in specific net Scope 1 CO₂ emissions anticipated.

• Rising energy costs expected due to global volatility and Middle East tensions, partially offset by hedging and price adjustments.