War & tariffs: Voestalpine can still increase profits by 138 percent

However, all relevant result categories developed positively, supported by a robust strategy and active reorganization. Especially in an environment characterized by great uncertainty, the clear focus on quality, innovation and efficiency as well as the broad diversification by industry and region have once again proven to be the group’s key strength, said the company voestalpine with.

Demand remained positive or high in the Railway Systems and Aviation sectors. Storage technology was once again a growth driver. The Automotive Components division of the Metal Forming Division, however, “continued to be affected by the very subdued market dynamics in automobile production, particularly in Europe.”

Consistent reorganization

“The focus continued to be on the consistent reorganization of low-profit business areas and on pushing forward international growth projects,” explained CEO Herbert Eibensteiner. According to the group, the measures that were already started in the 2024/25 financial year were continued. The global workforce fell by 1.8 percent to 48,800 employees.

The Automotive Components division in Germany is being reorganized. The aim is to secure the Metal Forming Division’s automotive supply sector in the long term, according to the group. The High Performance Metals Division concentrates its product portfolio on high-performance materials. With the sale of Buderus Edelstahl in Wetzlar (Germany), worldwide location consolidations, capacity adjustments voestalpine Böhler Bleche in Mürzzuschlag and the sale of the voestalpine Böhler Profil, the portfolio streamlining within the division has largely been completed.

At the voestalpine Tubulars in Kindberg, a company in the Metal Engineering Division, had to adapt production to lower demand, particularly due to the significant burdens caused by the 50 percent US tariffs in the USA, its main sales market.

Record orders for rail and aviation

The secured itself in important areas of further processing voestalpine Record orders for railway systems, aviation products and warehouse technology in the past financial year. After the group had equipped the Koralmbahn in Austria, further orders worth 500 million euros were received from Deutsche Bahn (DB) and the Swiss Federal Railways (SBB) for the delivery of rail and switch systems as well as signaling and monitoring services.

In aviation the voestalpine Orders worth around 1 billion euros for the next five years – a large part of which comes from the European aircraft manufacturer Airbus.

Higher dividend

Subject to the approval of the general meeting taking place on July 1, 2026, the dividend is to be increased from 60 to 75 cents per share. The voestalpine continue to have a stable balance sheet structure with a further strengthened equity base.

Despite the extensive investment activity in connection with greentec steel, net financial debt was reduced by 23.4 percent to 1.3 billion euros as of the end of March 2026. Equity amounted to 7.8 billion euros as of the balance sheet date. The gearing ratio (net financial debt as a percentage of equity) improved to 16.2 percent, its lowest level in twenty years.

Outlook cautiously positive

Against the background of persistently high geopolitical and economic policy uncertainties, the continuation of existing market trends and positive effects from the implementation of internal measures, management expects EBITDA (earnings before interest, taxes, depreciation and amortization) in a range of EUR 1.60 to 1.85 billion for the 2026/27 financial year, i.e. further growth.

The environment is difficult. In addition to the as yet unresolved conflict in the Middle East with the resulting effects on energy prices and inflation, the economic and legal framework between Europe and North America has not reached a stable and reliable state.