Nemak (NEMAKA) Q4 2025 earnings summary

Executive summary

• 2025 results showed resilience amid complex trade and electrification trends, with stable revenue of $4.93 billion and EBITDA of $591 million, within guidance, reflecting disciplined execution and operational efficiency.

• Acquisition of GF Casting Solutions' automotive business closed in February 2026, expanding capabilities in light weighting, high-pressure die casting, e-mobility, and access to Chinese manufacturers.

• Operational focus included ramp-up of a new Czech Republic facility for e-mobility, showcasing advanced assembly technologies and global expansion.

• $440 million in new business awards secured in 2025, with 85% from ICE and 15% from e-mobility/structure and chassis segments.

• Sustainability efforts recognized with an A- CDP rating and Top Employer certifications in multiple countries.

Financial highlights

• Full-year 2025 revenue stable at $4.93 billion, up 0.5% year-over-year; Q4 revenue at $1.22 billion, up 1.2% from Q4 2024, driven by higher aluminum prices and volume.

• EBITDA for 2025 was $591 million, down 7% year-over-year; Q4 EBITDA fell 25% to $117 million due to extraordinary expenses and high comparison base.

• Net loss for 2025 was $116 million, compared to a $25 million profit in 2024, mainly due to impairments and FX losses; Q4 net loss was $100 million.

• Net debt reduced by $190 million to $1.4 billion; net debt/EBITDA ratio stable at 2.4x; interest coverage ratio improved to 5.5x.

• CapEx for 2025 was $306 million, down 21% year-over-year.

Outlook and guidance

• 2026 guidance: revenue $5.3–$5.5 billion, EBITDA $630–$650 million, CapEx $385–$395 million.

• Integration of GF Casting Solutions expected to drive $30–$40 million in mid-term synergies through productivity, commercial, and CapEx avoidance.

• Focus remains on disciplined strategy execution, operational efficiency, and successful integration of the acquired business.

• Industry volumes expected to remain stable; selective investment approach maintained.