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Introduction & Market Context
Acerinox demonstrated resilience in its second quarter of 2025, navigating through a challenging landscape of geopolitical conflicts, tariff wars, and currency pressures. The stainless steel and high-performance alloys manufacturer reported improved quarterly results despite these headwinds, as detailed in its July 24, 2025 earnings presentation.
The company faced significant external challenges, including heightened import pressure in Europe, where flat product imports surged by 75% through May, and continued weakness in manufacturing activity, with June PMI readings below the 50-point expansion threshold in both the US (49.0) and Europe (49.5).
As shown in the following comprehensive financial overview:
Quarterly Performance Highlights
Acerinox reported Q2 2025 EBITDA of €112 million, representing a 10% improvement over Q1 despite weak market conditions. However, this figure was 10.4% lower than the €125 million reported in Q2 2024. Net sales reached €1,507 million in Q2 2025, up 16% from the same period last year, while first-half sales totaled €3,058 million.
The company’s results were negatively impacted by US dollar depreciation, which reduced EBITDA by approximately €10 million in Q2 and created €76 million in translation differences. An inventory adjustment of €28 million further affected the quarter’s performance.
The detailed financial data reveals mixed results across key metrics:
Notably, Acerinox reported negative results after taxes and minorities of €28 million in Q2 and €18 million for H1 2025, primarily due to a non-cash tax impairment of €48 million. Despite these challenges, the company maintained positive operating cash flow of €48 million in Q2 and €148 million for H1, though these figures represent declines from the previous year’s performance.
Net financial debt increased to €1,222 million, up €27 million from Q1 2025 and significantly higher than the €191 million reported in Q2 2024, reflecting both operational challenges and strategic investments.
Segment Performance Analysis
Acerinox’s stainless steel segment showed improvement in Q2 despite continued market challenges. The segment’s EBITDA increased 20% quarter-over-quarter to €78 million, though it remained 15% below the €92 million achieved in Q2 2024. The company cited solid contribution from its North American Stainless (NAS) operations, which helped offset European market weakness.
The following slide details the stainless steel segment’s performance:
Meanwhile, the high-performance alloys (HPA) segment experienced a softer Q2 due to lower volumes, particularly in the oil & gas and chemical process industries in Europe. The segment’s EBITDA decreased 8% from Q1 to €34 million, though H1 performance remained 11% above the previous year.
As shown in the detailed breakdown of the HPA segment:
The company’s recent acquisition of Haynes International is being integrated into this segment, with the presentation noting a €3 million reversal of inventory fair value adjustment from the acquisition.
Strategic Initiatives & Capital Allocation
Acerinox is pursuing several strategic initiatives to strengthen its market position amid ongoing uncertainties. The company is investing to increase production capacity by 20% at its NAS facility in the United States and by 15% at VDM Metals for high-performance alloys. These expansions align with the company’s focus on geographical diversification as a hedge against trade tensions and deglobalization trends.
The company’s "Beyond Excellence" cost-saving initiative achieved €23 million in EBITDA savings during H1 2025, representing 50% of its annual target and progress toward the overall goal of €100 million in savings from 2024-2026. These savings came from multiple areas including efficiency improvements (€6 million), productivity enhancements (€7 million), and customer-centric initiatives (€4 million).
Capital allocation in Q2 and H1 2025 reflected both operational challenges and strategic investments:
The company’s CAPEX reached €68 million in Q2 and €125 million in H1, significantly higher than the previous year as Acerinox entered what it described as an "important expansion phase." The sale of Bahru operations contributed €68 million in cash during Q2, while shareholder returns totaled €77 million in H1 2025.
Sustainability Progress
Acerinox continues to advance its sustainability agenda, reporting progress toward its 2030 targets. The company achieved an 8% improvement in safety metrics from FY 2024, moving toward its target of a 10% year-over-year reduction in lost time injury frequency rate (LTIFR). Additionally, Acerinox reported a 25% reduction in greenhouse gas emission intensity (Scope 1 & 2) compared to FY 2021, progressing toward its 2030 target of a 45.3% reduction.
A key development in the company’s sustainability efforts is the launch of EcoACX®, a new sustainable product featuring 90% recycled material content, 50% lower CO₂ intensity, and 100% renewable energy usage in production:
The company also highlighted its waste valorization rate of 78%, working toward a 2030 target of 90%, and noted that women now represent 14.53% of its workforce, approaching its 2030 diversity target of 15%.
Outlook & Guidance
Looking ahead, Acerinox expects Q3 2025 EBITDA to be in line with Q2 performance, despite traditional seasonal weakness in the third quarter. The company emphasized its strategy of "controlling the controllables" while navigating macro and trade policy uncertainties.
Management outlined six key conclusions and outlook points:
Acerinox highlighted its financial strength as enabling continued growth and shareholder remuneration despite challenges. The company noted that its strong position in the U.S. market helps mitigate exposure to weakness in Europe, while acknowledging a weak order book in Europe for high-performance alloys alongside gradual improvement in the U.S.
The stock price of BME:ACX has reflected these mixed conditions, with shares trading at €11.75 as of October 14, 2025, down 1.43% in the most recent session and well below its 52-week high of €12.62, though significantly above its 52-week low of €8.30.
Full presentation:
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