Stock Markets April 30, 2026 03:29 AM

Aperam posts Q1 adjusted EBITDA of €90m, projects stronger Q2 as Europe seasonally recovers

Luxembourg stainless steel maker reports mixed cash flow picture but keeps 2026 EBITDA forecast near consensus

By Leila Farooq APAM
Aperam posts Q1 adjusted EBITDA of €90m, projects stronger Q2 as Europe seasonally recovers
APAM

Aperam SA reported first-quarter adjusted EBITDA of €90 million and signaled notably stronger results expected in Q2, citing seasonal improvements in Brazil and easing import pressure into Europe. The company registered negative free cash flow and reported net debt of €1,057 billion at quarter-end, while advancing cost savings under its Leadership Journey phase 6 program.

Key Points

  • Aperam reported Q1 adjusted EBITDA of €90 million, noted as matching analyst expectations of €87 million - sectors impacted include metals and industrials.
  • Divisional EBITDA contributions: Stainless & Electrical Steel €35m; Services & Solutions €20m (above €9.5m consensus); Alloys & Specialties €27m; Recycling & Renewables €23m - relevant to manufacturing and recycling sectors.
  • Company expects significantly higher adjusted EBITDA in Q2 due to seasonal improvement in Brazil and reduced import pressure into Europe, maintaining full-year 2026 EBITDA outlook near €488m consensus - implications for commodity and regional trade dynamics.

Aperam SA reported adjusted EBITDA of €90 million for the first quarter, a result the company said matched analyst expectations of €87 million. The Luxembourg-based stainless steel producer said the quarter marked an improvement from the prior quarter's €67 million, driven primarily by a seasonal recovery in Europe and positive valuation effects that helped offset higher energy costs and seasonally weak shipments in Brazil.

Breaking down performance by business unit, Aperam said its Stainless & Electrical Steel division produced €35 million of EBITDA. Services & Solutions delivered €20 million, a figure the company noted exceeded the €9.5 million consensus estimate. Alloys & Specialties accounted for €27 million and Recycling & Renewables contributed €23 million.

Despite the EBITDA improvement, Aperam reported negative free cash flow of €44 million for the quarter. The company attributed the cash outflow in part to €112 million in working capital movements and €30 million in capital expenditures. Aperam’s net debt position stood at €1,057 billion at quarter-end.

On the cost side, the company highlighted progress in its Leadership Journey phase 6 program, which targets €150 million in savings across 2026 through 2028. Aperam recorded €18 million in cost reductions during the quarter as part of that program.

Looking ahead, Aperam forecast that adjusted EBITDA for the second quarter will be significantly higher than the first quarter. Management pointed to seasonally improving conditions in Brazil and a reduction in import pressure into Europe as the primary supports for the expected sequential improvement.

The company also left its full-year 2026 EBITDA outlook broadly unchanged, keeping it near analyst consensus of €488 million.


Bottom line: Aperam posted a quarter-over-quarter EBITDA improvement to €90 million while generating negative free cash flow and recording a substantial net debt balance. Management expects materially stronger adjusted EBITDA in Q2 and maintained its 2026 EBITDA outlook near the consensus mark of €488 million.

Risks

  • Negative free cash flow of €44 million driven by €112 million in working capital outflows and €30 million in capital expenditures - this affects Aperam’s liquidity profile and the broader industrial capital spending environment.
  • High reported net debt of €1,057 billion at quarter-end could constrain financial flexibility and investment capacity - potential consequence for capital-intensive operations in metals and manufacturing sectors.
  • Seasonally weak shipments in Brazil and higher energy costs weighed on results during the quarter, indicating exposure to regional demand swings and energy price volatility in the steel and alloys markets.

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