Tubacex (TUB) Q1 2025 earnings summary

Executive summary

• Q1 2025 sales reached €182.3M, EBITDA €30.9M, and record EBITDA margin of 17.0%, driven by premium products and strategic contracts, despite sales being slightly below Q4 2024 and Q1 2024.

• Strategic milestone: license agreement with ADNOC positions Sentinel Prime as the preferred premium connection for carbon OCTG tubes in Abu Dhabi and the Middle East.

• Order backlog remains at €1.5B, concentrated in high value-added products, ensuring strong revenue visibility for 2025.

• Diversified sector exposure: E&P Gas (30%), Industrial (28%), New Markets (20%), E&P Oil (17%), PowerGen (5%).

• Global sales footprint: Asia/Middle East (47%), Europe (26%), Americas (24%), Africa (3%).

Financial highlights

• Q1 2025 sales: €182.3M, down 2.3% year-over-year and 8.1% sequentially from Q4 2024.

• EBITDA: €30.9M, up 23.9% year-over-year and 6.9% sequentially; EBITDA margin at 17.0%.

• EBIT: €19.0M, up 40.4% year-over-year and 7.0% sequentially; EBIT margin at 10.4%.

• Earnings before taxes: €11.2M, up 130.8% year-over-year; margin at 6.1%.

• Working capital increased to €349.2M; net financial debt rose to €303.5M; NFD/EBITDA at 2.7x.

Outlook and guidance

• Expects significant sales and EBITDA acceleration in H2 2025 as ADNOC and Petrobras projects begin invoicing.

• Backlog at historic highs provides strong visibility for 2025; book-to-bill ratio at 0.9x due to recent order intake slowdown.

• Strategic plan targets for 2027 reiterated: revenue €1.2–1.4B, EBITDA >€200M, NFD/EBITDA <2x, and 30–40% payout.