DJ Aperam - Third quarter 2026 results: "Transformation drives the best third quarter performance in four years"
Aperam S.A. / Key word(s): Quarter Results Aperam - Third quarter 2026 results: "Transformation drives the best third quarter performance in four years" 06-Nov-2026 / 06:58 CET/CEST =---------------------------------------------------------------------------------------------------------------------- Third quarter 2026 results1 Transformation drives the best third quarter performance in four years Luxembourg, November 6, 2026 (07:00 CET) - Aperam S.A. (referred to as "Aperam" or the "Company") (Amsterdam, Luxembourg, Paris, Brussels: APAM, NYRS: APEMY), announced today results for the three months ended September 30, 2026. Highlights -- Health and Safety: LTI frequency rate of 1.7 in Q3 2026 compared to 1.8 in Q2 2026 -- Shipments of 540 thousand tonnes in Q3 2026, 10.9% decrease compared to shipments of 606 thousand tonnes in Q2 2026 -- EBITDA of EUR 103 million in Q3 2026, compared to EBITDA of EUR 159 million in Q2 2026 -- Adjusted EBITDA of EUR 105 million in Q3 2026, compared to Adjusted EBITDA of EUR 130 million in Q2 2026 -- Net income of EUR 7 million in Q3 2026, compared to EUR 116 million in Q2 2026 -- Basic earnings per share of EUR 0.09 in Q3 2026, compared to EUR 1.61 in Q2 2026 -- Free cash flow before dividend amounted to EUR 68 million in Q3 2026, compared to EUR 106 million in Q2 2026 -- Net financial debt of EUR 980 million as of September 30, 2026, compared to EUR 993 million as of June 30, 2026
Strategic initiatives
-- Leadership Journey2 Phase 6: Gains reached EUR 18 million in Q3 2026 totalling to EUR 56 million in 9M 2026; target gains of EUR 150 million over the period 2026 to 2028
Prospects[1]a
-- Q4 2026 adjusted EBITDA is expected to be slightly higher compared to Q3 2026 -- Net financial debt expected with further reduction by year-end 2026 Sud Sivaji, CEO of Aperam, commented: "I am proud to report Q3 results for 2026, the best Q3 performance in 4 years. This performance in the context of the seasonality and the weak demand in Europe reinforces our hard work as we invest in expanding Aperam beyond Europe and beyond stainless production. A key goal of this transformation shines through in our benchmark cash performance - building businesses which aim to deliver at a structurally higher cash conversion ratio, as an integrated value chain. Our net financial debt continued to decrease even in Q3 and we are well on course to meet our deleveraging target for the end of 2027."
Financial Highlights (on the basis of financial information prepared under IFRS)
(in millions of Euros, unless otherwise stated) Q3 26 Q2 26 Q3 25 9M 26 9M 25 Sales 1,510 1,689 1,410 4,774 4,722 Operating income 42 102 9 178 45 Net income / (loss) attributable to equity holders of the 7 116 (21) 126 (20) parent Basic earnings per share (EUR) 0.09 1.61 (0.28) 1.74 (0.27) Diluted earnings per share (EUR) 0.09 1.59 (0.28) 1.72 (0.27) Free cash flow before dividend 68 106 138 130 (279)(1) Net Financial Debt (at the end of the period) 980 993 1,045 980 1,045 Adj. EBITDA 105 130 74 325 272 Exceptional items (2)(2) 29(3) - 27 (36)(4) EBITDA 103 159 74 352 236 Adj. EBITDA/tonne (EUR) 194 215 131 184 157 EBITDA/tonne (EUR) 191 262 131 200 136 Shipments (000t) 540 606 567 1,763 1,733
(1) Includes purchase consideration related to the acquisition of Universal of EUR (415) million.
(2) Related to the non-cash reversal of the fair value adjustment of inventories related to the acquisition of Magnetec Group.
(3) Mostly related to PIS/Cofins tax credits related to prior periods in Brazil of EUR 59 million and bargain purchase gain on Magnetec Group acquisition of EUR 5 million, partly offset by restructuring charges and legal provisions in Europe and Brazil for EUR (35) million.
(4) Primarily related to the non-cash reversal of the fair value adjustment of inventories related to the acquisition of Universal.
Health & Safety results
Health and Safety performance based on Aperam personnel figures and contractors' lost time injury frequency rate was 1.7x in the third quarter of 2026 compared to 1.8x in the second quarter of 2026.
Financial results analysis for the three-month period ending September 30, 2026
Sales for the third quarter of 2026 decreased by 10.6% at EUR 1,510 million, compared to EUR 1,689 million for the second quarter of 2026. Shipments decreased from 606 thousand tonnes in the second quarter of 2026 to 540 thousand tonnes in the third quarter of 2026 impacted by the typical seasonal slowdown across key markets.
EBITDA reached EUR 103 million in the third quarter of 2026 from EUR 159 million in the seasonally stronger second quarter of 2026. Compared to the third quarter of 2025 of EUR 74 million, EBITDA increased by 39% driven by Leadership Journey structural gains and support from trade defense measures.
Adjusted EBITDA decreased to EUR 105 million (excluding an exceptional loss of EUR (2) million) for the third quarter of 2026 from EUR 130 million (excluding a net exceptional gain of EUR 29 million) in the second quarter of 2026, with the European seasonality leading to lower activity based performance in Stainless, Recycling and Services and Solutions, alongside effects of scheduled maintenance in Alloys.
Depreciation and amortization expense was EUR (61) million for the third quarter of 2026.
Aperam had an operating income for the third quarter of 2026 of EUR 42 million compared to an operating income of EUR 102 million for the previous quarter.
Financing costs, net, including the FX and derivatives result for the third quarter of 2026 were EUR (21) million, including cash cost of financing of EUR (17) million.
Income tax expense for the third quarter of 2026 was EUR (14) million.
The net result recorded by Aperam was a profit of EUR 7 million for the third quarter of 2026, compared to a profit of EUR 116 million for the second quarter of 2026.
Cash flows from operations for the third quarter of 2026 were EUR 103 million, including a working capital decrease of EUR 19 million. CAPEX for the third quarter was EUR (27) million.
Free cash flow before dividend for the third quarter of 2026 was EUR 68 million, compared to EUR 106 million for the second quarter of 2026.
During the third quarter of 2026, cash returns to shareholders amounted to EUR 36 million, fully consisting of dividends.
Operating segment results analysis
Stainless & Electrical Steel (1)
(in millions of Euros, unless otherwise stated) Q3 26 Q2 26 Q3 25 9M 26 9M 25 Sales 941 1,082 868 3,016 2,950 Adjusted EBITDA 52 59 36 146 129 Exceptional items - 27 - 27 - EBITDA 52 86 36 173 129 Depreciation & amortization (24) (24) (29) (72) (86) Operating income 28 62 7 101 43 Steel shipments (000t) 374 430 406 1,234 1,253 Average steel selling price (EUR/t) 2,401 2,400 2,040 2,331 2,241
(1) Amounts are shown prior to intra-group eliminations
The Stainless & Electrical Steel segment had sales of EUR 941 million for the third quarter of 2026. This represents a 13.0% decrease compared to sales of EUR 1,082 million for the second quarter of 2026. Steel shipments during the third quarter decreased by 13.0% at 374 thousand tonnes, linked to the European summer slowdown. Average steel selling prices for the Stainless & Electrical Steel segment remained stable compared to the previous quarter.
(MORE TO FOLLOW) Dow Jones Newswires
November 06, 2026 00:58 ET (05:58 GMT)
