Umicore: Half Year Results 2025

Core Insights - Umicore reported a solid performance in the first half of 2025, with a focus on operational efficiencies and capital deployment amidst a dynamic global context [2][4] - The company aims to maximize cash generation from its foundation businesses while recovering value in Battery Cathode Materials, supported by a strategic roadmap to 2028 [3][14] Financial Performance - Group revenues for the first half of 2025 reached € 1.8 billion, with adjusted EBITDA of € 433 million, reflecting a 10% increase year-on-year [4][8] - Adjusted EBIT stood at € 302 million, up 25% compared to the same period last year, indicating strong underlying performance driven by sustained demand and operational efficiency [8][12] - The adjusted net profit attributable to the Group was € 135 million, with an adjusted EPS of € 0.56 [4] Operational Efficiency - The company achieved over € 50 million in efficiency measures in the first half of 2025, contributing to a significant improvement in the adjusted EBITDA margin, which rose to 24.3% from 21.8% in the previous year [12][13] - Capital expenditures were strictly contained at € 109 million, down from € 269 million in the same period last year, reflecting a disciplined approach to capital allocation [13][22] Business Group Performance - The Battery Materials Solutions Business Group generated revenues of € 212 million, slightly below the first half of 2024, primarily due to lower volumes of cathode active materials [11] - The Catalysis Business Group performed exceptionally well, with revenues and earnings exceeding the levels seen in the first half of 2024, driven by strong customer demand [11] - The Recycling Business Group maintained solid results, with adjusted EBITDA of € 190 million, benefiting from a supportive precious metals price environment [15] Strategic Outlook - Umicore confirmed its adjusted EBITDA guidance for the full year 2025 to be in the range of € 790 million to € 840 million, contingent on geopolitical stability [14] - The company anticipates a break-even adjusted EBITDA for the Battery Cathode Materials business unit in 2025, with expected improvements driven by ramped-up contracted volumes [16] - Corporate costs are projected to decrease by up to 20% compared to the previous year, further supporting the company's financial health [16]