NV Bekaert (BEKB) Q4 2025 earnings summary

Executive summary

• Delivered resilient results in 2025 amid market volatility, trade tensions, and global policy shifts, supported by cost management, restructuring, and operational efficiencies.

• Stable volumes in Rubber Reinforcement and growth in energy and utilities, but project delays in steel ropes and construction, especially in the U.S.

• Adjusted hydrogen business footprint and exited lower-margin businesses to align with weaker growth outlook.

• Free cash flow rose 63% to EUR 314 million, supporting a proposed dividend increase to EUR 1.95/share and ongoing EUR 200 million share buyback.

• Divestment of Latam North businesses and continued portfolio evolution were executed.

Financial highlights

• Consolidated sales EUR 3.7 billion, down 6% year-over-year; like-for-like sales down 2%.

• EBIT margin reached 8% due to cost control, despite lower sales; reported EBIT fell to EUR 135 million from EUR 296 million due to EUR 162 million one-off charges.

• Free cash flow up 63% to EUR 314 million; working capital reduced to 15% of sales.

• Net debt reduced to EUR 180 million; leverage at 0.4x Net Debt/EBITDA.

• Basic underlying EPS at EUR 4.52, down from EUR 5.55 in 2024.

Outlook and guidance

• 2026 revenues and margins expected at similar levels to 2025 on a like-for-like basis.

• CapEx for 2026 projected at EUR 170 million, mainly for automation, productivity, and growth in North America utilities.

• Seasonality expected, with a typically stronger first half; continued geopolitical and trade uncertainty anticipated.