Recticel (RECT) H1 2025 earnings summary

Executive summary

• Achieved 12.3% organic sales growth to EUR 335.2 million in H1 2025, with double-digit volume growth and continued market outperformance in Insulation Boards and Insulated Panels.

• Adjusted EBITDA rose 10.4% to EUR 27.7 million, maintaining an 8.3% margin, driven by higher productivity and a better product mix.

• Strategic execution on sustainability, recycling, and US expansion projects remains on track, with major investments progressing as planned.

• Wrote off EUR 11.5 million vendor loan to minority-owned Ascorium due to ongoing weakness in the automotive market.

• Net cash position stood at EUR 50.4 million at the end of June 2025.

Financial highlights

• Sales increased to EUR 335.2 million from EUR 298.6 million year-over-year.

• Adjusted EBITDA reached EUR 27.7 million (8.3% margin), up from EUR 25.1 million (8.4% margin) in H1 2024.

• Adjusted EBIT rose to EUR 12.0 million, a 22.5% increase year-over-year.

• Result of the period (share of the Group) was EUR -0.3 million, compared to EUR 6.6 million in H1 2024, mainly due to the Ascorium impairment.

• Gross profit increased 5.9% to EUR 57.3 million; gross margin slightly decreased to 17.1%.

Outlook and guidance

• Strategic focus unchanged; medium- and long-term organic growth expected, supported by operational excellence, M&A, and a healthy balance sheet.

• Adjusted EBITDA for FY2025 expected around EUR 55 million, representing 10% organic growth.

• High single-digit growth anticipated in the second half of 2025.

• European markets show a slight rebound in building permits, but construction start timing remains uncertain; price competition remains fierce.