Buzzi (BZU) H2 2025 earnings summary

Executive summary

• Net sales increased by 4.8% year-over-year to €4,519m, driven by higher volumes in Central and Eastern Europe and positive scope effects, partially offset by negative FX impacts.

• EBITDA declined by 3.1% to €1,237m, with profitability down 220 bps to 27.3% due to cost pressures and FX headwinds.

• Net profit decreased by 2.0% to €924.1m, with strong operating cash flow supporting capex, acquisitions, and shareholder returns.

• Dividend proposed at €0.70 per share, unchanged from the prior year, with ongoing buyback and further shareholder remuneration expected.

• Operating performance remained stable overall, with margin expansion in Eastern Europe and contraction in other regions.

Financial highlights

• Revenues reached approximately €4.52 billion, up from €4.3 billion last year.

• Operating profit (EBIT) fell by 10.4% to €898.1m, with EBIT margin at 19.9%.

• Net financial position improved to €1,130.9m from €755.2m year-over-year.

• Cash generated from operations was €1,167m, with net cash from operating activities at €914.1m.

• Total capital expenditures were €591m, including €166.2m for equity investments.

Outlook and guidance

• 2026 recurring EBITDA expected to marginally decline due to challenging market conditions, adverse FX, and cost uncertainties.

• Construction activity anticipated to remain steady in most markets, but geopolitical tensions, inflation, and energy prices pose risks.

• Sales volumes in Italy and the US expected to be stable or slightly lower; Central and Eastern Europe, Brazil, and UAE forecasted for modest growth.

• Capital expenditures for 2026 to accelerate, focusing on efficiency and decarbonization.

• FX weakness, especially of the US dollar, expected to weigh on results.