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Outokumpu Oyj reports EUR 137 million net loss in 2025, expects recovery in 2026

According to Outokumpu’s 2025 financial statements, the company closed the year with a net loss due to weak market conditions in its Europe business area. The company’s net loss totaled EUR 137 million in 2025, compared to EUR 40 million in 2024. Loss per share was EUR -0.31 (2024: EUR -0.09).

Outokumpu Oyj reports EUR 137 million net loss in 2025, expects recovery in 2026

In the January–December 2025 period, sales revenues were recorded at EUR 5,468 million, decrease from EUR 5,942 million in 2024. EBITDA was EUR 88 million, compared to EUR 162 million in the previous year. Items affecting comparability had a negative impact of EUR -79 million on EBITDA, while adjusted EBITDA totaled EUR 167 million (2024: EUR 177 million). Operating loss (EBIT) was EUR -134 million (2024: EUR -51 million). Free cash flow was EUR -46 million, while net debt increase to EUR 265 million at year-end. Return on capital employed (ROCE) was recorded at -3.2% over the last 12 months.

Stainless steel deliveries totaled 1,751,000 tons in 2025, decrease from 1,793,000 tons in the previous year. The Europe segment reported adjusted EBITDA of EUR -46 million, while the Americas generated EUR 102 million and the Ferrochrome segment delivered EUR 138 million in adjusted EBITDA. Weak demand and lower prices in Europe pressured profitability, while improvement was observed in the Americas and Ferrochrome segments.

In the fourth quarter of 2025, the company reported a net loss of EUR 65 million, compared to EUR 32 million in the same period of 2024. Sales totaled EUR 1,160 million in the quarter (Q4 2024: EUR 1,405 million). Adjusted EBITDA was EUR 10 million, while reported EBITDA stood at EUR -27 million. This result was impacted by restructuring and comparability-related items totaling EUR 37 million. Operating loss was EUR -83 million. Stainless steel deliveries decrease by 13% quarter-on-quarter to 365,000 tons. Free cash flow was positive at EUR 49 million.

The company announced its EVOLVE growth strategy covering the 2026–2030 period in June. The strategy focuses on improving cost competitiveness in sustainable stainless steel, expanding in advanced materials and alloys, strengthening upstream integration in the chrome value chain, and developing proprietary low-CO₂ metal production technologies. In October, the company approved an approximately USD 45 million pilot facility investment in the United States to advance proprietary technology for low-CO₂ emission materials. The evaluation process continues for a new annealing and pickling line investment of approximately EUR 200 million in Tornio, Finland, along with plans to close two lines in Krefeld, Germany. The company also continues its restructuring program targeting annual structural cost savings of EUR 100 million by the end of 2027.

President and CEO Kati ter Horst stated that 2025 was marked by increasing uncertainty and global trade disruptions, which resulted in weak stainless steel demand and negatively impacted profitability. She emphasized that despite these challenges, progress was achieved in circular economy initiatives, smart decarbonization, and securing sustainable raw material access, strengthening the company’s leadership position in sustainability. She also noted that demand remained weak in Europe and North America, while the European market faced pressure from lower-priced imports from Asia. In contrast, the Americas business area delivered significant adjusted EBITDA improvement supported by higher volumes and cost advantages. The Ferrochrome segment also improve performance for the third consecutive year.

Ter Horst emphasized that the restructuring program targeting EUR 100 million in cost savings by the end of 2027 remains ongoing. She added that the pilot investment in chrome metal-enriched ferrochrome production in the United States represents a key step toward achieving low-CO₂ metal production goals. She also stated that the carbon border adjustment mechanism of the European Union, which will take effect in 2026, will create a level playing field in carbon costs and provide advantages for sustainable producers.

Outokumpu’s Board of Directors proposed a dividend of EUR 0.13 per share for 2025, to be paid in two installments. The total dividend of EUR 116 million for 2024 was paid in April and October in two installments.

The company expects adjusted EBITDA in the first quarter of 2026 to be higher compared to the fourth quarter of 2025. Stainless steel delivery volumes are projected to increase by 20–30% quarter-on-quarter. With current raw material prices, the company also expects to benefit from certain gains related to inventory and metal derivatives in the first quarter.

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