Holcim (HOLN) H2 2025 earnings summary

Executive summary

• Achieved strong, profitable growth in 2025, with recurring EBIT up 10.3% in local currency and margin expanding to 18.3%, exceeding guidance and industry benchmarks.

• Net sales from continuing operations reached CHF 15,724 million, up 3.0% in local currency, with Q4 acceleration and robust performance across all regions.

• Net income surged to CHF 13,250 million, driven by the Amrize spin-off gain, while EPS before impairment and divestments rose 5.0% to CHF 3.22.

• Free cash flow totaled CHF 2.2 billion with a 54% cash conversion rate; proposed dividend of CHF 1.70 per share (53% payout ratio).

• Completed spin-off of North American business (Amrize), resulting in a CHF 12,337 million gain and significant changes to group structure.

Financial highlights

• Recurring EBIT reached CHF 2.9 billion, up 10.3% in local currency, with margin expanding by 80bps to 18.3%.

• Net financial debt reduced to CHF 3,785 million, with leverage at 0.9x recurring EBITDA.

• Free cash flow after leases was CHF 1,944 million; net capital expenditure for 2025 was CHF 973 million.

• EPS from continuing operations increased by 5.0% to CHF 3.22.

• Return on invested capital (ROIC) improved to 11.2% in 2025.

Outlook and guidance

• 2026 guidance: 3–5% organic net sales growth, 8–10% organic recurring EBIT growth, further margin increase, and free cash flow around CHF 2 billion.

• 20% growth in recycled construction demolition materials targeted for 2026.

• Focus on growth in Europe, Latin America, and Asia, Middle East & Africa post-spin-off, with continued investment in sustainable building solutions.