Semperit sees second-half recovery, expects earnings growth in 2026

Vienna – Semperit Group has reported an “operational recovery” in the second half of 2025, with earnings coming in ahead of expectations and the group targeting further growth in 2026.

“Operating earnings” (EBITDA before project costs) reached €83.6 million, slightly above forecast, but down 3.2% year-on-year, Semperit reported 18 March.

Earnings (EBITDA) were down 6.4% year-on-year at €79.5 million, on 2.1% lower sales of €662.5 million.

Earnings margin improved to 14.3% in the second half, up from 9.6% in the first six months, the Austrian industrial elastomer group said 18 March.

“The second half of 2025 clearly demonstrated Semperit’s operating potential,” said CEO Manfred Stanek, citing “consistent cost discipline, stronger sales initiatives and a clear strategic focus.”

Despite this, the group said it “exceeded” its earnings forecast on ‘an operating basis’, reflecting a €4.1 million in project costs linked to its oneERP digital transformation programme.

By division, Semperit Industrial Applications (SIA), which comprises Hoses and Profiles, delivered growth, with revenue up 1.4% year-on-year to €270.9 million and earnings rising 4.0% to €52.8 million, supported by stabilising demand in hoses.

“In the hose segment, direct customers have stopped reducing their inventories,” said Semperit, adding that the profile business “continues to be affected by the weak construction industry.”

In contrast, Semperit Engineered Applications (SEA), including Form, Belting and Liquid Silicone Rubber/LSR, saw revenue decline 4.4% to €391.5 million, with earnings down 14.2% to €42.5 million.

The business, said Semperit, “was confronted with project postponements by customers in the conveyor belt and LSR mould production sectors in the first quarter, [but] recovered in the following quarters.”

According to Stanek, Semperit is now aiming to “return to a clear growth path” in 2026 through investing in “efficiency improvements, automation, and high-margin innovation and growth projects.”

For 2026, the group expects operating earnings of around €95 million, assuming a “moderate economic recovery” and stabilisation of geopolitical conditions, particularly linked to the war in the Middle East.

Overall, the group said it is “well positioned” to benefit from an expected market recovery, supported by an “optimised fixed cost base” and a continued focus on innovation and new product segments.

As reported by ERJ, Semperit has decided not to propose a dividend for 2025 to strengthen its financial position.

“In order to position Semperit for the next stage of growth, we are systematically strengthening our financial base and investing in selected growth and innovation projects,” said CFO Helmut Sorger on the topic.