Wienerberger (WIE) Q2 2024 earnings summary

Executive summary

• Revenue for H1 2024 was stable at €2,213 million, meeting expectations despite weak residential markets in Europe and North America.

• Operating EBITDA reached €400.1 million, with a margin of 18.1%, reflecting strong cost management and restructuring efforts.

• The Terreal acquisition, the largest in company history, is delivering synergies and strengthening market positioning, especially in Germany and France.

• Major one-off items of approximately €150 million, including restructuring and asset sales, impacted results.

• New residential housing now accounts for less than 50% of turnover, marking a strategic shift toward renovation and infrastructure.

Financial highlights

• Standstill and restructuring costs totaled about €50 million in H1, with Ceramic Europe capacity utilization at 57%.

• Operating EBIT fell 44% to €171 million; reported EBITDA down 24% to €340.5 million.

• Free cash flow improved to €-51.5 million, with net debt at €2,055.7 million due to acquisitions.

• Q2 2024 group revenues up 10% year-over-year; operating EBITDA up 16%.

• Net result swung to a loss of €-1.2 million from €223.1 million profit in H1 2023.

Outlook and guidance

• Full-year 2024 operating EBITDA guidance is €800–820 million, with market recovery in new residential housing expected in 2025.

• Midterm target for EBITDA is over €1.2 billion by 2026, assuming 80–85% of 2021 market levels.

• Cost management and self-help initiatives are expected to contribute €40–45 million and €50 million, respectively, for the full year.

• H2 2024 activity expected to mirror H1, with sales volumes close to prior year.