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Voestalpine

Despite the challenging environment, the company has maintained its profit and expects to improve due to reorganization

Despite the challenging global economic environment, the voestalpine Group ended the 2024/25 financial year (ended March 31, 2025) with a solid financial performance. Consolidated revenues amounted to €15.7 billion (-5.6% y/y), EBITDA was €1.3 billion, and net profit after tax reached €179 million. This is stated in the company’s financial report.

Against the backdrop of declining demand in certain segments and high costs, voestalpine demonstrated effective management, in particular through active cost management, reorganization and investment in technology.

Demand from the rail infrastructure, aerospace and warehouse systems segments performed strongly. In contrast, the consumer goods and machine building segments remained weak, and the energy sector saw a decline in activity. Despite the challenging environment in Europe, voestalpine remained stable, in particular thanks to growth in dynamic regions: India, Egypt, Brazil and the United States.

The company also continued to implement the greentec steel climate program. The first electric arc furnaces are due to start operating in 2027 in Linz and Donavík, which will reduce CO2 emissions by up to 30% by 2029. The total investment in the project is €1.5 billion, of which a third has already been invested.

In fiscal year 2024/25, voestalpine also completed the reorganization of the Automotive Components business in Germany and the sale of Buderus Edelstahl, which resulted in one-time losses but laid the foundation for a more efficient structure.

The company is cautiously optimistic about the new financial year. Despite global challenges – in particular, the US import duties on steel and aluminum, which could affect earnings by tens of millions of euros – a number of markets are expected to maintain their positive momentum. Steady demand in the rail, aerospace and automotive sectors, as well as the positive effect of reorganizations, should support the financial performance.

Against this backdrop, voestalpine’s management board is forecasting EBITDA in the range of €1.40 billion to €1.55 billion for the 2025/26 financial year. According to CEO Herbert Eibensteiner, the company will continue its course of transformation, innovation and localization of production in key regions.

In FY2023/24, Voestalpine reduced its revenue by 8.5% year-on-year to €16.68 billion. Revenue reached the second highest amount in the company’s history after a record €18.2 billion in the previous fiscal year. EBITDA decreased by 34.5% y/y – to €1.67 billion.