Heidelberg Materials Ag · XETR:HEI

Heidelberg Materials — Investor Presentation (2025)

65 slides from Heidelberg Materials's investor presentation, 2025

  1. Slide 1: Investor Presentation Q3 2025

    Investor Presentation Q3 2025

  2. Slide 2: Content

    Content 1. About Heidelberg Materials 2. Making a Material Difference: Strategy 2030 3. Current trading update 4. Heidelberg Materials as an attractive investment 2 Q3 2025 Investor presentation | Heidelberg Materials

  3. Slide 3: About Heidelberg Materials

    1 About Heidelberg Materials 3 Q3 2025 Investor presentation | Heidelberg Materials

  4. Slide 4: Heidelberg Materials is one of the world’s largest building materials companies

    About Heidelberg Materials Heidelberg Materials is one of the world’s largest building materials companies 51,000 3,000 Leading positions in cement, aggregates, and ready-mixed employees ​on 5 continents locations worldwide concrete 4 Q3 2025 Investor presentation | Heidelberg Materials

  5. Slide 5: Concrete is essential for building a sustainable society

    About Heidelberg Materials Concrete is essential for building a sustainable society Second most used material after water Locally produced and sold 100% recyclable Durable Sound absorbent Designable Flexible 5 Q3 2025 Investor presentation | Heidelberg Materials

  6. Slide 6: From the ground to the skyline

    v From the ground to the skyline Tour Triangle – Place de la Porte de Versailles, Paris 70,000 m³ of Ready-mix concrete and 10,000 m³ of our low carbon product, evoBuild 6 Q3 2025 Investor presentation | Heidelberg Materials

  7. Slide 7: Building lasting connections

    Building lasting connections Frederick Douglass Memorial Bridge – Washington DC, USA This 440-meter-long structure is the largest infrastructure project in the history of Washington, D.C. 7 Q3 2025 Investor presentation | Heidelberg Materials

  8. Slide 8: Powering the future from the ground up

    v Powering the future from the ground up Hinkley Point C – Somerset, South West England 2.3mt of cement and aggregates laid the foundation for Hinkley nuclear power station 8 Q3 2025 Investor presentation | Heidelberg Materials

  9. Slide 9: We see challenges as opportunities to discover new solutions

    We see challenges as opportunities to discover new solutions 3D-printed House – Beckum Less material, lower CO₂ footprint — thanks to Heidelberg Materials. 9 Q3 2025 Investor presentation | Heidelberg Materials

  10. Slide 10: A global and balanced geographic footprint in heavy building materials

    About Heidelberg Materials A global and balanced geographic footprint in heavy building materials Revenue by Group areas Revenue by business lines (FY 2024) (FY 2024) Africa-Mediterranean-Western Asia Ready Mix & Asphalt 11% 22% Asia - Pacific 17% 46% Europe 53% Cement 25% Aggregates 26% North Ameri

  11. Slide 11: Solid asset base which provides strong growth potential

    About Heidelberg Materials Solid asset base which provides strong growth potential North Africa–Med.- America Europe Asia–Pacific Western Asia Total Cement 16 mt 62 mt 54 mt 37 mt 165 mt capacity Aggregates re- serves & 12 bn tonnes 4 bn tonnes 3 bn tonnes 0.1 bn tonnes 20 bn tonnes resources Ready

  12. Slide 12: Making a Material Difference

    2 Unique Positioning Strategy 2030 Material Radical Collective Value Making a Impact Focus Strength Creation Material Difference Global Advantage 12 Q3 2025 Investor presentation | Heidelberg Materials

  13. Slide 13: Material Impact

    Material Impact Proven track record of profitable growth 13 Q3 2025 Investor presentation | Heidelberg Materials © Henrik Hagerup

  14. Slide 14: Successful development in all KPIs

    Making a material difference: Strategy 2030 Successful development in all KPIs 8% 10% ~50% RCO growth p.a. ROIC Cash conversion rate >€2bn >€1bn Solid foundation set for accelerated growth Free cash flow Shareholder return RCO growth is average growth rate from 2019 until 2024. ROIC as of December 2

  15. Slide 15: Reliable and profitable performance across all financial KPIs

    Making a material difference: Strategy 2030 Reliable and profitable performance across all financial KPIs RCO (€m) Net CapEx (€m) +47% Continuous result 1,205 3,022 3,204 1,080 1,042 1,063 improvement 2,614 962 2,363 2,476 855 2,186 Disciplined and sustainable CapEx 2019 2020 2021 2022 2023 2024 201

  16. Slide 16: We have over-delivered a year early

    Making a material difference: Strategy 2030 We have over-delivered a year early Old mid-term targets 2024 for 2025 EBITDA margin 20% to 22% 21.3% ROIC above 10% 10% Leverage 1.5x to 2.0x 1.2x Cash conversion above 45% 48% Net CapEx €1.1bn p.a. €1.1bn p.a. 16 Q3 2025 Investor presentation | Heidelber

  17. Slide 17: Capital allocation: clear shift towards shareholder return and growth

    Making a material difference: Strategy 2030 Capital allocation: clear shift towards shareholder return and growth Allocation of deployed capital 2019 – 2021 2022 – 2024 Solid capital deployment M&A: 10% Shareholder return: M&A: 36% 25% Disciplined M&A Free cash flow: through bolt-on deals €5.1bn Fre

  18. Slide 18: Unique Positioning

    Unique Positioning 18 Q3 2025 Investor presentation | Heidelberg Materials © Mohamed Rafi

  19. Slide 19: Strong megatrends propelling growth

    Strong megatrends Energy transition Propelling Advanced infrastructure growth Housing and urbanisation Defence revamping Digitalisation 19 Q3 2025 Investor presentation | Heidelberg Materials © Maxwell Osabo

  20. Slide 20: Radical Focus: The heavy ones

    Radical Focus “The heavy ones” Cement, aggregates, ready-mixed concrete, and asphalt 20 Q3 2025 Investor presentation | Heidelberg Materials © Anvar Sadath

  21. Slide 21: Strengthen core markets

    Strengthen core markets 31 acquisitions 12 disposals 21 Q3 2025 Investor presentation | Heidelberg Materials

  22. Slide 22: M&A: disciplined growth with high returns in attractive markets

    Making a material difference: Strategy 2030 M&A: disciplined growth with high returns in attractive markets Key acquisitions over the last 3 years More than €2bn spent for M&A over the last 3 years Target Business Line Rationale Giant Cement US CEM Highway Materials US AGG/HMA Improve our US footpri

  23. Slide 23: Europe

    Europe Demand rebound Further redesign of clinker asset base Upward swing in profitability 23 Q3 2025 Investor presentation | Heidelberg Materials

  24. Slide 24: Material Impact – delivering strong results in a subdued market

    Making a material difference: Strategy 2030 Material Impact – delivering strong results in a subdued market We achieved excellent performance despite a challenging environment Development 2019 vs 2024 Revenue RCO EBITDA margin Volume development and revenue, RCO Europe (indexed) (CAGR) (CAGR) (impro

  25. Slide 25: Reducing clinker asset base and expanding materials capacities

    Making a material difference: Strategy 2030 Reducing clinker asset base and expanding materials capacities Wave 1 Wave 2 Transformation Accelerator – European Masterplan – improve asset structure preparing the next phase 5 plant closures • Extensive analysis work completed France Germany Spain Beffe

  26. Slide 26: North America

    North America Pent-up demand Over-proportional growth through digital and AI-based solutions Prepared for short-term volatility 26 Q3 2025 Investor presentation | Heidelberg Materials © Wentao Guo

  27. Slide 27: Economic outlook supportive of robust long-term growth

    Making a material difference: Strategy 2030 Economic outlook supportive of robust long-term growth Reshoring of US-based manufacturing & AI infrastructure drive positive demand outlook Infrastructure Robust federal and Positive short-term state investments outlook with additional IIJA spending Resid

  28. Slide 28: Strong growth with value accretive investment strategy

    Making a material difference: Strategy 2030 Strong growth with value accretive investment strategy Continuation of value-creating pure-play Incremental capacity (examples) growth strategy in North America A Northeast Philadelphia (AGG) Pennsylvania +0.5mt B Southeast Atlanta (AGG) Georgia +0.5mt C M

  29. Slide 29: Emerging markets

    Emerging markets Structural growth dynamics Superior asset light model Over-proportional return on invested capital 29 Q3 2025 Investor presentation | Heidelberg Materials © Ruel Pahang

  30. Slide 30: Emerging Markets offer structural growth potential

    Making a material difference: Strategy 2030 Emerging Markets offer structural growth potential Presence in over 15 Emerging Markets across Asia and Africa Urban population growth (’24-’35) +2.2% B Cement demand growth (’24-’30) +5.0% M&A (examples) A A APAC Region Grobogan C Indonesia (CEM) B AMWA R

  31. Slide 31: Sustainability

    Global Advantage Sustainability 31 Q3 2025 Investor presentation | Heidelberg Materials

  32. Slide 32: Delivering material impact – with the industry’s most ambitious targets

    Making a material difference: Strategy 2030 Delivering material impact – with the industry’s most ambitious targets By 2030 Specific net CO2/t of cementitious Share of revenue from material (scope 1) sustainable products <400kg >50% Alternative fuel rate >50% prev. 45% Clinker incorporation rate 64%

  33. Slide 33: The most comprehensive low-carbon product portfolio

    Making a material difference: Strategy 2030 The most comprehensive low-carbon product portfolio Classification within the concept of lead markets for low-carbon cements 500 D Based on an initial concept by (in kg CO2-eq./t cement; colour shading) 400 International Energy Agency (IEA) C Emission thre

  34. Slide 34: The world’s first industrial-scale carbon capture unit in a cement plant

    Making a material difference: Strategy 2030 The world’s first and only industrial-scale carbon capture unit in a cement plant Technology leadership & data Partnerships & people Financials & funding Pioneering the technology, making the business case, and scaling across the Group 34 Q3 2025 Investor

  35. Slide 35: Decarbonisation – evoZero: a global approach with a strong focus on Europe

    Making a material difference: Strategy 2030 Decarbonisation – evoZero: a global approach with a strong focus on Europe 2025 orders Targeted sales approach from 11 countries People and Dedicated HQ & country team organisation Traditional & new customers, Customer private & public asset owners, Physic

  36. Slide 36: CCS Brevik: a clear business case with high returns

    Making a material difference: Strategy 2030 CCS Brevik: a clear business case with high returns Brevik EBITDA margin development CEM revenue + CO2 pass through evoZero comes with + evoZero commercialisation a new price point CEM revenue + 20-30pp CO2 pass through higher margin Competitive advantage

  37. Slide 37: evoZero: a game changer for us and the industry

    Making a material difference: Strategy 2030 evoZero: a game changer for us and the industry Expected evoZero cement production volume (in kt) of fully approved projects 1,350 950 800 Near zero CO2 footprint 400 500 450 Proven performance and quality 350 550 550 100 No limitations in application 2025

  38. Slide 38: The most advanced CCUS project portfolio

    Making a material difference: Strategy 2030 We have the most advanced CCUS project portfolio – driving global advantage Advanced Operational FID1 taken Close to FID1 stage development Brevik, Norway Padeswood, UK Edmonton, Canada Devnya, Bulgaria 400kt CO2 p.a. 800kt CO2 p.a. 1,100kt CO2 p.a. 800kt

  39. Slide 39: Further funding secured: EU Innovation Fund grants for 4 additional CCS projects

    Sustainability Further funding secured: EU Innovation Fund Brevik CCS grants for 4 additional Brevik, Norway 400kt CCS projects CO2 captured p.a. Padeswood CCS Padeswood, UK 800kt GeZero CO2 captured p.a. Geseke, Germany 700kt CO2 captured p.a. HuCCSar Goradze, Poland Demonstration project (transpor

  40. Slide 40: Digital/AI

    Global Advantage Digital/AI 40 Q3 2025 Investor presentation | Heidelberg Materials

  41. Slide 41: Digital and AI-based solutions to drive efficient and reliable operations

    Making a material difference: Strategy 2030 Digital and AI-based solutions to drive efficient and reliable operations Lake Bridgeport, TX Dallas, TX Atlanta, GA Equipment automation Data-driven operating model Digital platform Autonomous HROC Command Trucks Cloud Deeply imbedded digital solutions dr

  42. Slide 42: Technical Excellence

    Global Advantage Technical Excellence 42 Q3 2025 Investor presentation | Heidelberg Materials

  43. Slide 43: Transformation Accelerator – achieving efficient and sustainable cost structure

    Making a material difference: Strategy 2030 Transformation Accelerator – achieving efficient and sustainable cost structure Operating models Blueprints and technological advancement Global efficiency programme Multiplier Leveraging automation and digitalisation as well as cost-effective OpEx savings

  44. Slide 44: Value Creation

    Value Creation 44 Q3 2025 Investor presentation | Heidelberg Materials © Mohd Nazri Sulaiman

  45. Slide 45: Stepping up our ambition for 2030

    Making a material difference: Strategy 2030 Stepping up our ambition for 2030 2025 targets 2030 targets RCO growth (average p.a.) 7% to 10% ROIC Above 10% Around 12% Cash conversion rate Above 45% Around 50% Net CapEx (average p.a.) Around €1.1bn €1.3bn Leverage 1.5x to 2.0x Around 1.5x 45 Q3 2025 I

  46. Slide 46: RCO: accelerating both organic and inorganic growth

    Making a material difference: Strategy 2030 RCO: accelerating both organic and inorganic growth RCO bridge (€m) Continuous focus 7% to 10% +47% Average growth p.a. on price over cost Clinker capacity optimisation 3,204 Operational excellence and digitalisation 2024 RCO Operational Asset footprint M&

  47. Slide 47: Significant cash potential to maximise shareholder returns

    Making a material difference: Strategy 2030 Significant cash potential to maximise shareholder returns € More than 15–17bn €10bn 5–6bn >10bn 5–6bn excess cash >6bn for increase of organic investments, further M&A and Deployed capital Bolt-on M&A Dividend + announced Available cash for Further debt h

  48. Slide 48: Current trading update

    3 Current trading update 48 Q3 2025 Investor presentation | Heidelberg Materials

  49. Slide 49: Delivering consistent growth

    Delivering consistent growth Good operational performance in the quarter: - Revenue +1% YoY (+4% excluding currency impact) - RCO +5% YoY(+7% excluding currency impact) - Operating EBITDA margin +65 bps YoY Transformation Accelerator fully on track, around 250 €m savings already secured as of Septem

  50. Slide 50: Q3 2025 operational result

    Operational result Q3 2025 operational result Revenue [€m] Operating EBITDA [€m] Operating EBITDA Margin Operating EBIT (RCO) [€m] +51 €m +50 €m +54 €m (+1%) (+3%) +65 bps (+5%) LfL: +2% LfL: +4% LfL: +5% 5.756 5.807 1.451 1.502 25.2% 25.9% 1.179 1.124 Q3 2024 Q3 2025 Q3 2024 Q3 2025 Q3 2024 Q3 2025

  51. Slide 51: 9M 2025 operational result

    Operational result 9M 2025 operational result Revenue [€m] Operating EBITDA [€m] Operating EBITDA Margin Operating EBIT (RCO) [€m] +455 €m (+3%) +152 €m +134 €m LfL: +1% (+5%) +35 bps (+6%) LfL: +3% LfL: +5% 15.750 16.205 3.280 3.432 20.8% 21.2% 2.461 2.327 9M 2024 9M 2025 9M 2024 9M 2025 9M 2024 9M

  52. Slide 52: Q3 2025: Operating EBIT (RCO) bridge

    Operational result Q3 2025: Operating EBIT (RCO) bridge [€m] +54 €m (+5%) +53 €m (+5%) 29 1,179 78 -1 1,149 1,124 -28 1,096 -24 Q3 2024 RCO Currency Q3 2024 LfL RCO Net volume Price over cost Depreciation Q3 2025 LfL RCO Scope Q3 2025 RCO & Amort. 52 Q3 2025 Investor presentation | Heidelberg Materi

  53. Slide 53: 9M 2025: Operating EBIT (RCO) bridge

    Operational result 9M 2025: Operating EBIT (RCO) bridge [€m] +134 €m (+6%) +115 €m (+5%) 48 2,461 202 4 2,413 2,327 -29 2,298 -91 9M 2024 RCO Currency 9M 2024 LfL RCO Net volume Price over cost Depreciation 9M 2025 LfL RCO Scope 9M 2025 RCO & Amort. 53 Q3 2025 Investor presentation | Heidelberg Mate

  54. Slide 54: Transformation Accelerator Initiative (TAI) fully on track

    Operational result Transformation Accelerator Initiative (TAI) fully on track Programme successfully continues based on Secured sustainable savings as of defined roadmap September 2025 Saving target ~500 €m Contribution from almost all countries based on Actual defined and agreed action plan Transpa

  55. Slide 55: Europe

    Operational result Europe Q3 2024 Q3 2025 -30 €m -16 €m -18 €m (-1%) (-3%) (-4%) LfL: 0% LfL: -2% LfL: -4% 2.521 2.491 590 575 453 435 Revenue [€m] Operating EBITDA [€m] RCO [€m] EBITDA margins (LTM rolling) +68 bps +80 bps +56 bps 27.6% 28.3% 19.5% 20.3% 19.5% 20.0% Cement Aggregates Total Region 5

  56. Slide 56: North America

    Operational result North America Q3 2024 Q3 2025 +44 €m +18 €m +21 €m (+3%) (+4%) (+5%) LfL: +2% LfL: +5% LfL: +7% 1.572 1.617 501 518 409 430 Revenue [€m] Operating EBITDA [€m] RCO [€m] EBITDA margins (LTM rolling) -4 bps +127 bps +42 bps 29.3% 29.2% 31.2% 32.5% 25.8% 26.2% Cement Aggregates Total

  57. Slide 57: Asia – Pacific

    Operational result Asia – Pacific Q3 2024 Q3 2025 -49 €m +1 €m +3 €m (-5%) (0%) (+3%) LfL: 0% LfL: +7% LfL: +9% 924 875 176 177 116 120 Revenue [€m] Operating EBITDA [€m] RCO [€m] EBITDA margins (LTM rolling) +208 bps +228 bps +141 bps 18.2% 23.0% 17.6% 19.0% 16.1% 20.7% Cement Aggregates Total Regi

  58. Slide 58: Africa – Mediterranean – Western Asia

    Operational result Africa – Mediterranean – Western Asia Q3 2024 Q3 2025 +42 €m +78 €m +42 €m (+23%) (+13%) (+28%) LfL: +15% LfL: +6% LfL: +19% 684 221 606 179 190 148 Revenue [€m] Operating EBITDA [€m] RCO [€m] EBITDA margins (LTM rolling) +248 bps +109 bps 26.6% 29.1% 25.7% 26.8% Cement Total Regi

  59. Slide 59: Sustainability: Two major steps in decarbonisation

    Sustainability Sustainability: Two major steps in decarbonisation evoZero® hits the market Final Investment Decision for Padeswood Delivery of world’s first carbon captured near-zero Set to be the world's first fully decarbonised cement cement evoZero to customers across Europe has started productio

  60. Slide 60: Financial highlights

    Financial highlights Adjusted EPS increases by 4% to 8.7 € 1 Last 12 months free cash flow at 2.3 €bn 2 Leverage at 1.5x, impacted by seasonality Asment de Témara (Morocco) and Buckeridge Group of Companies (Australia) deals are closed Second tranche of 1.2 €bn share buyback program with an amount o

  61. Slide 61: 2025 Outlook

    Guidance 2025 Outlook Key steering KPIs 2025 targets 3.30 to 3.50 €bn RCO (previous: 3.25 to 3.55 €bn) ROIC Above 10% CO2 emission Slight reduction Other Net CapEx Around 1.2 €bn In line with mid-term target: Leverage Around 1.5x 61 Q3 2025 Investor presentation | Heidelberg Materials

  62. Slide 62: Heidelberg Materials as an attractive investment

    4 Heidelberg Materials as an attractive investment 62 Q3 2025 Investor presentation | Heidelberg Materials

  63. Slide 63: Heidelberg Materials as an attractive investment

    Heidelberg Materials as an attractive investment Heidelberg Materials as an attractive investment 01 02 03 04 05 The only The deepest The tech one The fastest The trusted global one decarbonising growing one one one 63 Q3 2025 Investor presentation | Heidelberg Materials

  64. Slide 64: Disclaimer

    Disclaimer Unless otherwise indicated, the financial information provided herein has been prepared under International Financial Reporting Standards (IFRS). All the figures included in this presentation are preliminary, unaudited and subject to revision upon completion of the Company's closing and a

  65. Slide 65: Heidelberg

    Heidelberg Materials

Heidelberg Materials — Investor Presentation (2025) on 6ix