Sparks - Nabaltec

Nabaltec’s preliminary FY25 results were affected by continued market uncertainty as a result of US tariff policy and product demand weakness across the refractory and e-mobility sectors. Preliminary FY25 revenue declined 3.2% y-o-y to €197m (FY24: €203.6), while EBIT also decreased year-on-year to €15.2m (FY24: €22.3). Despite this, Nabaltec achieved its earnings forecast for the year, recording an EBIT margin of 7.7% (projected EBIT margin of 7–9%), but missed its revenue target of limiting the decline to c 2%.

Management provided commentary that the company, in fact, slightly outperformed the wider German chemical industry on a full-year basis, which saw a decline of 3.8% y-o-y. Nabaltec’s Functional Fillers product segment generated revenue of €144.1m (2.7% decline y-o-y vs FY24 of €148.0m), while its Specialty Aluminas product segment recorded revenue of €53.0m (c4.7 decline y-o-y vs FY24 of €55.6m).

Management continues to expect a volatile economic environment in 2026 but it anticipates a return to growth. Stated guidance for 2026 includes revenue growth in the range of 4–6% and an EBIT margin of 5–7%, with the decline in EBIT margin compared to FY25 (7–9%) being primarily due to rising material expenses, as well as noticeable increases in depreciation and amortisation.