Cementir Holding (CEM) Q1 2026 earnings summary

Executive summary

• Q1 2026 results were significantly impacted by the harshest winter in 20 years in Europe and Türkiye, a different maintenance schedule, and weaker demand in Asia Pacific and Türkiye, leading to lower volumes and profitability.

• Volumes declined across all business lines, with cement down 3.3%, ready-mix down 23.7%, and aggregates down 5.1%, mainly due to weather, weaker Asia Pacific demand, and lower Turkish activity.

• EBITDA dropped sharply, with the largest declines in Nordic & Baltic and Türkiye, while FX impact was negligible.

• Positive trends were noted in Belgium and Egypt, with volume recovery visible in March in some regions.

• Despite the challenging environment, full-year guidance was confirmed.

Financial highlights

• Revenue fell 7.1% year-on-year to EUR 345.9 million, impacted by lower volumes and a EUR 21.4 million negative FX effect, mainly from Turkish lira and USD depreciation.

• EBITDA dropped 41.6% to EUR 38.8 million; non-GAAP EBITDA was EUR 41.4 million, down 40.6%.

• Profit before taxes was EUR 7.4 million, down 75.7% year-on-year; non-GAAP profit before taxes was EUR 14.8 million, down 62.7%.

• Net cash improved to EUR 303.7 million, up EUR 160.5 million year-on-year, including proceeds from asset disposals and insurance.

• Operating costs decreased by 2.9% year-on-year, mainly due to lower raw material costs.

Outlook and guidance

• Full-year 2026 guidance confirmed: revenue of EUR 1.7 billion, EBITDA between EUR 400–420 million, net cash of EUR 590 million, and investments of EUR 128 million.

• Guidance is based on like-for-like ongoing operations, non-GAAP, and excludes extraordinary or non-recurring items.

• Management expects to recover most of the Q1 gap during the year, with volume and demand picking up in March and April in most regions except China and Türkiye.

• Expectation of slight volume increase in H2 2026 except for China and Türkiye, where declines are anticipated.