Buzzi (BZU) H1 2025 earnings summary

Executive summary

• Net sales rose 6.5% year-over-year to €2,187 million, driven by consolidation changes and volume rebound in Central and Eastern Europe, but results were below last year's record levels due to less favorable price and cost trends and mixed demand across regions.

• Cement shipments increased 23.7% and ready-mix concrete volumes grew 3.7% in H1 2025, mainly due to consolidation scope changes.

• EBITDA declined 4.8% to €526 million, with margin contraction due to higher costs in the US, Germany, and Italy, and net profit fell 8.4% to €386.3 million.

• Cash generation remained strong, with net cash from operations exceeding last year despite lower EBITDA.

• Net cash position decreased by €64 million, mainly due to M&A, FX effects, and dividend payments.

Financial highlights

• Cement and clinker sales reached 14.9 million tons (+23.7% year-over-year); ready-mix concrete at 4.8 million m³ (+3.7%).

• Net sales increased to €2,187.4 million (+6.5%); like-for-like sales up 0.9%.

• EBITDA fell 4.8% to €526.0 million; recurring EBITDA down 4.0% to €526.3 million.

• EBITDA margin dropped to 24.1% from 26.7% in H1 2024.

• Net cash from operations was €354.3 million, up 3.2% year-over-year.

Outlook and guidance

• Recurring EBITDA for full-year 2025 expected between €1,100 million and €1,200 million, down from €1,280 million last year, mainly due to FX and scope changes.

• Management is more optimistic for the second half, expecting improved volumes, especially in the US, and stable or better margins in Brazil and Eastern Europe.

• Construction activity in Italy stabilizing; Central Europe recovery to continue at a moderate pace; Eastern Europe remains optimistic; Brazil demand resilient; Mexico expects construction slowdown.

• Risks are mainly volume-related in the US; cost risks are seen as limited for H2.

• FX volatility, especially USD and BRL, poses significant risk to results.