Marcegaglia aims for 7 billion in revenues

An accelerating start to the year for the Marcegaglia Group, with quarterly Ebitda doubling compared to the same period of the previous year and the target of reaching 7 billion euros in sales by the end of the current year. Figures and projections that are coming to fruition thanks to the boost provided by a rising price dynamic, linked in turn to the introduction of the Cbam (Carbon border adjusted mechanism, the Co2 'taxation' mechanism for steel entering European borders) and the other recent protection measures decided by Brussels with a view to supporting the EU industry.

In detail, the Mantua-based group - considering only the 'steel' part of the consolidation - closed the last financial year with revenues of EUR 6.320 billion (a drop of 7% on the previous year, dragged down by the price effect, in this case negative) against volumes that remained stable at 5.8 million tonnes. In spite of investments of €220 million - including the works at the Fagersta site in Sweden in long stainless steel, at San Giorgio di Nogaro in plates for trains, and at Ravenna, in addition to the Capex of a hundred million euros a year, which is physiological for a group of this size - the operating cash flow was €270 million, with a net financial position of €150 million and cash of €970 million. Ebitda at the end of the year was EUR 402 million, compared to EUR 430 million the year before, for a net profit of EUR 65 million.

In a context of uncertainty,' is the verdict of Mantua's top management, 'the accounts seem to have held up well. As far as the current year is concerned, there is the conviction that we will be able to recover the negative effect on prices, reaching EUR 7 billion in sales by the end of the year. Even on the marginality front, after the good start to the year, the expectation of the top management at Gazoldo degli Ippoliti is for a 'decidedly better' result than last year.

The turmoil in the Persian Gulf area and in the Strait of Hormuz linked to the conflict between Israel and the United States on the one hand and Iran on the other is not impacting the logistical supply chains, but rather the costs of energy supplies. Despite the positive effect and benefits of an instrument such as the Energy Release, the Mantua-based group has calculated the extra cost to the income statement at around EUR 4 million per month. On the market, on the other hand, as mentioned, prices moved in the latter part of 2025 and then this effect was amplified in the early months of this year, driven by the Cbam and the new protection measures that will come into force at the beginning of July. The forecast is that imports within the borders of the European Union could be reduced by up to almost 50 per cent. This will result in more scope for European operators. 'The company has been able to move quickly thanks to a short order book,' explain some observers; this is also the reason why, after a convincing first quarter with double speed on the margin front, the second half of the year also looks positive.