SSAB (SSAB) Q1 2025 earnings summary

Executive summary

• Q1 2025 operating result was SEK 1,351–1,4 billion, reflecting sequential recovery and strong special steels, but down year-over-year due to lower prices and weak market conditions.

• U.S. market recovery and robust order intake contributed positively, with price improvements expected in Q2 and Q3.

• Major transformation projects, including Luleå Mini Mill, Colby complex, and new partnerships, are progressing as planned, supported by EUR 2.3 billion green financing.

• Board approved investment in a tempering furnace at Mobile to expand advanced special steel production.

• Safety performance improved, with LTIF at 0.67 versus 0.81 a year ago.

Financial highlights

• Q1 2025 revenue was SEK 25.5 billion, up 8% sequentially but down 6% year-over-year due to lower prices despite higher shipments.

• EBITDA for Q1 was SEK 2.4 billion, up from SEK 1.6 billion in Q4 but down from SEK 4.1 billion in Q1 2024.

• Net cash position at end of Q1 was SEK 14.4 billion; net debt/equity ratio at -21%.

• Cash flow from operations was negative, impacted by lower results and higher working capital build.

• Gross margin was 12% and return on capital employed (rolling 12 months) was 10%.

Outlook and guidance

• Order intake improved in Q1, but Q2 outlook is more uncertain due to economic turbulence and trade barriers.

• Special Steels: shipments expected somewhat higher, prices stable in Q2.

• SSAB Europe: shipments and prices expected somewhat higher in Q2.

• SSAB Americas: shipments somewhat higher, prices significantly higher (10–20% increase expected in Q2).

• Capex outlook unchanged at SEK 10 billion for 2025, with peak spending in 2026–2027.