Tubacex (TUB) Q4 2025 earnings summary

Executive summary

• Sales declined 6.3% year-over-year to €719.3 million in 2025 amid global market weakness, with adjusted EBITDA at €105.8 million and margin improving to 14.7% from 13.9% due to premium product mix and cost discipline.

• Significant non-recurring, non-cash accounting adjustments impacted EBITDA by €30.7 million, EBIT by €49.3 million, and net income by €47.2 million.

• Order book closed at €1,233 million, with a strong focus on high value-added, premium products.

• Abu Dhabi plant became fully operational, supporting ADNOC contract execution and exceeding planned volumes for 2025.

• Strategic focus remains on cash generation, working capital normalization, and improving return metrics.

Financial highlights

• Adjusted EBIT was €58.3 million, down 8.3% year-over-year; adjusted net profit was €15.9 million, down 30.5%.

• Net financial debt increased to €344.8 million (3.3x EBITDA), mainly due to working capital tied to strategic project ramp-ups.

• Working capital rose to €323.9 million, representing 45% of sales.

• Capital expenditure totaled €72.6 million, including investments in the Abu Dhabi facility.

• Share price closed at €3.35, market cap €422 million, up 2.5% for the year.

Outlook and guidance

• 2026 outlook remains prudent amid ongoing macroeconomic and geopolitical volatility, with a focus on cash generation, working capital control, and profitable growth.

• ADNOC project expected to contribute €150 million to 2026 sales.

• Aim to reduce net financial debt/EBITDA below 3x by end of 2026.

• Commercial selectivity and prioritization of high-margin projects emphasized.

• Robust opportunity pipeline in Subsea and Nuclear, but award timelines remain uncertain.