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RHI Magnesita NV on Wednesday said a ‘highly competitive’ pricing environment is anticipated to continue as it reported a profit dive amid lower revenue. The Vienna-based refractory products maker said market conditions ‘remain challenging, with end market demand weakness expected to continue’ into the second half. RHI said steel demand is ‘low but stable’ with regional differentiation. It noted that the growth outlook in India and North America contrasted with Europe, where steel output is in decline. Revenue in the first half of the year fell 3.0% to €1.68 billion from €1.73 billion, while pretax profit plunged all the way to €14 million from €143 million. It maintained its interim dividend at 60 euro cents per share, however. Looking ahead, RHI said it expects a ‘highly competitive pricing environment’ to continue, amid pressures from China exporters and local players fighting for market share in India. To take into account its weaker-than-expected half-year performance, RHI lowered its outlook for adjusted earnings before interest, tax and amortisation for 2025 to between €370 million and €390 million, down at least 3.2% from €403 million in 2024. When it had reported its 2024 results back in February, RHI had guided for 2025 adjusted Ebita ‘modestly’ above 2024. RHI shares were down 9.9% to 2,640.44 pence early Wednesday afternoon in London. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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