Salzgitter Ag · XETR:SZG
Salzgitter — Investor Presentation (March 2025)
53 slides from Salzgitter's investor presentation, March 2025
Slide 1: Salzgitter Group Presentation of the Group
SALZGITTER GROUP PRESENTATION OF THE GROUP
Slide 2: Agenda
AGENDA 01 Salzgitter Group 02 Economic development and guidance 03 Strategy 04 Financials © 2025 Salzgitter AG / 2
Slide 3: Global Presence
01 Salzgitter GLOBAL PRESENCE Group Steel Production located in Germany, Steel Processing with plants Europe; Trading and Technology have global presence © 2025 Salzgitter AG / 3
Slide 4: Group Structure and Key Data FY 2024
01 Salzgitter GROUP STRUCTURE AND KEY DATA FY 2024 Group Salzgitter Group External Sales cons.: € 1 0 . 0 b i l l i o n / EBT: € -296,2 million / Employees: 22,381 Steel Production Steel Processing Trading Technology / External Sales: € 3,4 billion / External Sales: € 1.6 billion / External Sales: €
Slide 5: Group Structure
01 Salzgitter GROUP STRUCTURE Group Salzgitter Group Salzgitter Mannesmann / Salzgitter Klöckner-Werke Steel Production Steel Processing Trading Technology Industrial Participations / Business Unit Business Unit Business Unit Business Unit Consolidation Salzgitter Flachstahl Mannesmann Precision Tub
Slide 6: External Sales 2024 by Product Group
01 Salzgitter EXTERNAL SALES 2024 BY PRODUCT GROUP Group 11% Other 43% 16% Strip steel Filling- and packaging lines 13% Tubes 9% 8% Plate Section steel Only from entities within the group of consolidated companies of Salzgitter Group, excluding EUROPIPE Group Broad product portfolio © 2025 Salzgitte
Slide 7: External Sales 2024 by Customer Industries
01 Salzgitter EXTERNAL SALES 2024 BY CUSTOMER INDUSTRIES Group 9% 16% Other Vehicle construction 17% 11% Food and beverage Construction industry industry 6% 4% White goods, Mechanical engineering electrical equipment 7% 3% Re-Roller Energy sector and utilities 3% 25% Tubes producers Traders, Steel-S
Slide 8: External Sales 2024 by Regions
01 Salzgitter EXTERNAL SALES 2024 BY REGIONS Group 5% Others 8% Asia 11% 41% Americas Germany 5% Other Europe 30% Other EU Sales by consignee (only from entities within the group of consolidated companies of Salzgitter Group, excluding EUROPIPE Group) Share of ex-Germany sales by consignee 59% © 202
Slide 9: Key Data per 2024/12/31
01 Salzgitter KEY DATA PER 2024/12/31 Group FY FY 2024 2023 Δ Crude steel production kt 6,391.0 5,709.2 681.8 External sales1 € million 10,011.7 10,790.5 -778.8 EBITDA € million 445.2 677.0 -231.9 Earnings before tax € million -296.2 238.4 -534.6 Earnings after tax € million -347.9 204.1 -552,0 Earn
Slide 10: Investments and Depreciation
01 Salzgitter INVESTMENTS AND DEPRECIATION Group (€ million) 899 583 475 295 20 4 329 286 317 2022 2023 2024 2025 Scheduled Unscheduled Investments1 depreciation depreciation 1 Property, plant and equipment and intangible assets, excluding financial assets Focus on supplementary investments and SALC
Slide 11: Agenda
AGENDA 01 Salzgitter Group 02 Economic development and guidance 03 Strategy 04 Financials © 2025 Salzgitter AG / 11
Slide 12: Raw Material and Energy Prices
02 BRAW MATERIAL AND ENERGY PRICES usiness development and strategy RAW MATERIAL PRICES (US$/t) ENERGY PRICES (€/MWh) IRON ORE COKING COAL ELECTRICITY NATURAL GAS (62% Fe CFR C h i n a , U S $ / d m t ) (FOB Australia, U S $ / t ) (Futures market front year EEX. €/MWh) (Area THE, EEX Day-Ahead €/MWh
Slide 13: Price Development CO2 Emission Allowances
02 BPRICE DEVELOPMENT CO 2 EMISSION ALLOWANCES usiness development and strategy PRICE OF CO2 EMISSION ALLOWANCES (€/t) 120 100 80 60 40 20 0 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Price of CO2 emission allowances on the increase since 2018; slump in early 2022 due to war in Ukraine,
Slide 14: Steel Prices
02 BSTEEL PRICES usiness development and strategy SPOT PRICES NORTHERN EUROPE (€/t) HOT-ROLLED COIL PRICES INTERNATIONAL (€/t) 1,300 1,300 1,100 1,100 900 900 700 700 500 500 300 300 Jan' 23 Jul' 23 Jan' 24 Jul' 24 Jan' 25 Jan' 23 Jul' 23 Jan' 24 Jul' 24 Jan' 25 HRC EXW Ruhr Plate EXW Ruhr Medium se
Slide 15: Steel Production Business Unit
02 BSTEEL PRODUCTION BUSINESS UNIT usiness development and strategy Capabilities EXTERNAL SALES BY CUSTOMER INDUSTRY 2024 1 / Integrated steel works with three blast furnaces 2% 7% / Top-modern mini mill with two electric Mechanical Others arc furnaces engineering / Approx. 5.7 mt/year crude steel c
Slide 16: Steel Production Business Unit: Key Data Review
02 BSTEEL PRODUCTION BUSINESS UNIT usiness development and strategy KEY DATA REVIEW / Overall low level of demand FY 2024 FY 2023 Δ / Steel prices remain under pressure External sales million € 3,389 3,528 -139 / Sales and earnings lower, mainly due to prices Order bookings kt 5,032 4,892 140 Order
Slide 17: Steel Processing Business Unit
02 BSTEEL PROCESSING BUSINESS UNIT usiness development and strategy Capabilities EXTERNAL SALES BY CUSTOMER INDUSTRY 2024 1 / Own crude steel supply via 30% participation in Hüttenwerke Krupp Mannesmann GmbH 18% / Two rolling mills for plate with 1.1 mt annual capacity 23% Vehicle construction Other
Slide 18: Steel Processing Business Unit: Key Data Review
02 BSTEEL PROCESSING BUSINESS UNIT usiness development and strategy ECKDATEN REVIEW / Heavy plate: demand declined over the course of the year, market prices at extremely low levels at the end of the year FY 2024 FY 2023 Δ / Line pipes: postponement of projects External sales million € 1,576 2,127 -
Slide 19: Trading Business Unit
02 BTRADING BUSINESS UNIT usiness development and strategy Capabilities EXTERNAL SALES BY CUSTOMER INDUSTRY 2024 1 / Own distribution network for steel products with 9% 5% warehousing sites in Europe Mechanical engineering Other / Processing group specialized in heavy 10% plate products Re-roller 6%
Slide 20: Trading Business Unit: Key Data Review
02 BTRADING BUSINESS UNIT usiness development and strategy KEY DATA REVIEW / Weak demand in the European stockholding steel trade FY 2024 FY 2023 Δ / Significantly higher sales volumes in international trading External sales million € 3,057 3,313 -256 / Stock sales prices fell noticeably over the co
Slide 21: Technology Business Unit
02 BTECHNOLOGY BUSINESS UNIT usiness development and strategy Capabilities EXTERNAL SALES BY CUSTOMER INDUSTRY 2024 1 / 16 production plants worldwide / > 90% of sales outside of Germany 4% 1% Vehicle Energy sector and construction utilities Core competences and products / KHS: Among the top 3 globa
Slide 22: Technology Business Unit: Key Data Review
02 BTECHNOLOGY BUSINESS UNIT usiness development and strategy KEY DATA REVIEW / Incoming orders decrease due to generally weak demand GJ 2024 GJ 2023 Δ / High order backlog supports capacity utilization of the KHS Group External sales million € 1,804 1,647 157 / Earnings growth thanks to good perfor
Slide 23: Industrial Participations
02 BINDUSTRIAL PARTICIPATIONS usiness development and strategy Activities that are not directly allocated to KEY DATA FY 2024 a business unit Consolidated sales €m 186 Core competences and participations Earnings before taxes €m 144 Services: Core workforce (12/31) 2,573 / Research and development f
Slide 24: Management Guidance
02 BMANAGEMENT GUIDANCE usiness development and strategy We anticipate for the Salzgitter Group in the financial year 2025 / sales between € 9.5 billion and € 10.0 billion, / EBITDA between € 350 million and € 550 million, / a pre-tax result of between € -100 million and € +100 million, and / a retu
Slide 25: Agenda
AGENDA 01 Salzgitter Group 02 Economic development and guidance 03 Strategy 04 Financials © 2025 Salzgitter AG / 25
Slide 26: Vision and Mission
03 SVISION trategy AND MISSION PIONEERING FOR PARTNERING FOR CIRCULAR SOLUTIONS TRANSFORMATION We are the market leader for Together we will resolutely circular economy solutions in chart new courses, transform global industrial value chains industry, and create sustainable with our innovative produ
Slide 27: Strategic Directions
03 SSTRATEGIC trategy DIRECTIONS CIRCULAR ECONOMY / Expansion of business in closed material cycles (circular economy) / Implementation of the SALCOS® decarbonization program / Focus on circular/sustainable and economic action PROFITABILITY / Differentiation and margin increase through process techn
Slide 28: Holistic Approach for Economic Stability
03 SHOLISTIC trategy APPROACH FOR ECONOMIC STABILITY ORGANIC GROWTH INITIATIVES & PERFORMANCE MEASURES © 2025 Salzgitter AG / 28
Slide 29: Holistic Approach for Economic Stability: Organic Growth
03 SHOLISTIC trategy APPROACH FOR ECONOMIC STABILITY STEEL PROCESSING TRADE SECURE protection steels Development of low-CO2 steel sources worldwide Mannesmann H2ready® pipes Universal: Development of market Alignment of the product portfolio potential in the field of protection steels on growing sus
Slide 30: Holistic Approach for Economic Stability: Portfolio, Structure, Measures
03 SHOLISTIC trategy APPROACH FOR ECONOMIC STABILITY PORTFOLIO TRADE CYCLE MEASURES Sale of the Mannesmann Stainless Tubes Group Postponement of non critical investments Trading: Sale of business to Hoberg & Driesch (precision- and Restrictive staffing seamless tubes) Budget adjustments DESMA shoe m
Slide 31: Profit Improvement Program P28
03 SPROFIT trategy IMPROVEMENT PROGRAM P28 FULL-YEAR EFFECT (€ million) 600 Performance 2026 P28 P26+ 500 82 400 16 136 300 50 515 € 133 million FYE already realized 200 47 51 100 65 12 56 0 2022 2023 2024 2025e 2026e 2027e Kumuliert 2022-2027 New P28 program expands the scope and timeframe of the p
Slide 32: Ambition: Become Market Leader in Circular Economy
03 SAMBITION: trategy TO BECOME MARKET LEADER IN CIRCULAR ECONOMY KEY POINTS / For us, circularity means using resources for as long as possible and minimizing the supply of new resources / Together with our partners, we want to be pioneers and help shape the standards of the circular economy / In o
Slide 33: Salzgitter AG's Decarbonization Approach
03 SSALZGITTER trategy AG'S DECARBONIZATION APPROACH SCIENCE-BASED HOLISTIC IMPACT-ORIENTED TRANSPARENT Our goals are based on globally We consider both our direct impacts We focus on cost-efficient We regularly communicate our recognized scientific findings to and those in the upstream and measures
Slide 34: SALCOS: Complete Realization Planned by 2033
03 SSALCOS trategy ® : COMPLETE REALIZATION PLANNED BY 2033 KEY POINTS / SALCOS®: investment eligibility achieved, own funds approved / Green steel as core of our business model at the Salzgitter location / From 2026 onward, 30% of production volume via SALCOS® route / We plan to implement the final
Slide 35: SALCOS: Controlling Choke Points at an Early Stage
03 SSALCOS trategy ® : CONTROLLING CHOKE POINTS AT AN EARLY STAGE CHOKE POINTS SIMPLIFIED SALCOS® VALUE CHAIN (Critical choke points in the value chain of sustainable steel production) Raw materials Iron and steel production Rolling and downstream processing Sales 1. Access to sources for high- 01 0
Slide 36: SALCOS Stage 1: #WeMakeItHappen
03 SSALCOS trategy ® STAGE 1: #WEMAKEITHAPPEN / All major facilities are under construction / Total investment volume € 2.3 billion / 600 - 1000 additional people from various companies on the construction site / Construction activities parallel to production operations / Energy supply on the right
Slide 37: Defence: Expansion of the Portfolio
03 SDEFENCE: trategy EXPANSION OF THE PORTFOLIO PARADIGM SHIFT IN DEFENSE CAPABILITIES / Geopolitical tensions set new standards for defense capabilities / Increasing demand for steel, protection steels and special grades F O C U S O N D E F E NSE C A PA B I L I T Y A ND S E C U RI T Y / The Salzgit
Slide 38: Opportunity: Expansion of Wind Power
03 SOPPORTUNITY: trategy EXPANSION OF WIND POWER TARGETS OF THE EU / Climate neutrality by 2050 / Offshore wind concept / Construction of 450 GW in additional offshore wind energy capacity (currently 25 GW capacity) / Linking of wind parks across national borders envisioned IMPLEMENTATION / Up to 21
Slide 39: Germany – Special Fund for Infrastructure
03 SGERMANY trategy – SPECIAL FUND FOR INFRASTRUCTURE IMPLICATIONS FOR SALZGITTER GROUP / Estimate of the German Institute for Economic Research: / Germany's economic output to increase by approximately 1% due to special fund from next year onwards / Increase to over 2% starting in 2027 / Public inv
Slide 40: Agenda
AGENDA 01 Salzgitter Group 02 Economic development and guidance 03 Strategy 04 Financials © 2025 Salzgitter AG / 40
Slide 41: Key Data per 2024/12/31
04 FKEY DATA PER 2024/12/31 inancials FY 2024 FY 2023 Δ Q4 2024 Q3 2024 Q2 2024 Q1 2024 Crude steel production kt 6,391 5,709 682 1,533 1,529 1,650 1,679 External sales1 € million 10,012 10,790 -779 2,284 2,484 2,565 2,678 EBITDA € million 445 677 -232 125 87 107 126 Earnings before tax € million -2
Slide 42: Income Statement
04 FINCOME inancials STATEMENT Income Statement (€ million) FY 2024 FY 2023 Δ Sales 10,011.7 10,790.5 -778.8 Increase/decrease in finished goods and work in process/other own 137.7 -171.3 309.0 work capitalized 10,149.4 10,619.2 -469.7 Other operating income 539.5 671.8 -132.3 Cost of materials 6,97
Slide 43: Consolidated Balance Sheet: Assets
04 FCONSOLIDATED inancials BALANCE SHEET Assets (€ million) 12/31/2024 12/31/2023 Δ Non-current assets 4,991.7 4,570.4 421.3 Intangible assets, property, plant and equipment 2849,2 2,595.8 253,4 Investment property 65.5 76.6 -11.2 Financial assets 26.2 29.0 -2.8 Investments accounted for using the e
Slide 44: Consolidated Balance Sheet: Equity and Liabilities
04 FCONSOLIDATED inancials BALANCE SHEET Equity and liabilities (€ million) 12/31/2024 12/31/2023 Δ Equity 4,448.8 4,834.5 -385.6 Subscribed capital 161.6 161.6 0.0 Capital reserve 257.0 257.0 0.0 Retained earnings 4,380.5 4,750.9 -370.4 Unappropriated retained earnings 12.1 27.1 -15.0 Treasury shar
Slide 45: Cash Flow Statement
04 FCASH FLOW STATEMENT inancials (€ million) FY 2024 FY 2023 Δ Cash and cash equivalents at the start of the period 939.7 988.4 -48.7 Cash flow from operating activities 408.4 892.0 -483.5 Cash flow from investment activities -677.4 -430.5 -246.9 Cash flow from financial activities 331.9 -498.3 830
Slide 46: Steel Production Business Unit
04 FSTEEL PRODUCTION BUSINESS UNIT inancials FY 2024 GJ 2023 Δ Q4 2024 Q3 2024 Q2 2024 Q1 2024 External sales € million 3,389 3,528 -139 723 850 884 932 Order bookings kt 5,032 4,892 140 1,253 1,195 1,265 1,319 Order backlog1 kt 1,251 1,162 89 1,251 1,071 1,092 1,127 EBITDA € million 186 295 -109 28
Slide 47: Steel Processing Business Unit
04 FSTEEL PROCESSING BUSINESS UNIT inancials FY 2024 GJ 2023 Δ Q4 2024 Q3 2024 Q2 2024 Q1 2024 External sales € million 1,576 2,127 -550 308 409 423 436 Order bookings € million 1,727 2,220 -493 362 454 449 462 Order backlog1 € million 509 872 -363 509 720 700 767 EBITDA € million -79 227 -306 -15 -
Slide 48: Trading Business Unit
04 FTRADING inancials BUSINESS UNIT FY 2024 GJ 2023 Δ Q4 2024 Q3 2024 Q2 2024 Q1 2024 External sales € million 3,057 3,313 -256 707 746 767 836 Shipments kt 3,379 3,167 212 844 791 843 901 EBITDA € million -21 20 -41 -38 0 5 12 EBT € million -81 -14 -68 -72 -9 -5 4 Core workforce1 1,850 1,990 -140 1
Slide 49: Technology Business Unit
04 FTECHNOLOGY inancials BUSINESS UNIT FY 2024 GJ 2023 Δ Q4 2024 Q3 2024 Q2 2024 Q1 2024 External sales € million 1,804 1,647 157 499 434 446 425 Order bookings € million 1,653 1,952 -299 428 447 411 367 Order backlog1 € million 1,278 1,443 -165 1,278 1,263 1,292 1,350 EBITDA € million 148 115 34 43
Slide 50: Industrial Participations / Consolidation
04 FINDUSTRIAL inancials PARTICIPATIONS / CONSOLIDATION FY 2024 GJ 2023 Δ Q4 2024 Q3 2024 Q2 2024 Q1 2024 External sales € million 186 176 10 48 45 45 48 EBITDA € million 210 19 191 106 22 48 34 EBT € million 144 -50 194 83 7 34 20 Core workforce1 2,763 2,681 82 2,763 2,744 2,728 2,730 1 per reporti
Slide 51: Working Capital
04 FWORKING inancials CAPITAL WORKING CAPITAL (€ million) -285 3.500 3.032 3.049 3.033 3.000 2.769 2.483 2.500 2.000 1.500 1.000 500 0 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Overall reduction in working capital in financial year 2024 - new measures to improve liquidity are taking effect! © 2025 Sal
Slide 52: Disclaimer
DISCLAIMER Salzgitter AG LEGAL NOTE COPYRIGHTS To the extent that our Internet pages contain statements oriented towards or related to This data file and the data contained on these pages (including, among others, texts, the future, such statements are based on our current state of knowledge and the
Slide 53: Salzgitter AG – People, Steel and Technology
SALZGITTERAG People, Steel and Technology