Vesuvius Plc · LSE:VSVS
Vesuvius — H1 2025 Earnings Presentation
32 slides from Vesuvius's earnings presentation, Aug 6, 2025
Slide 1: Half Year 2025 Results
Half Year 2025 Results 6 August 2025 Think beyond. Shape the future. 1
Slide 2: Disclaimer
Disclaimer This presentation (which includes this document, the oral presentation of this document, any question-and-answer session that follows that oral presentation and any other materials distributed at, or in connection with, such presentation), which has been prepared by Vesuvius plc (the “Com
Slide 3: Contents
Contents • Performance update • Financial review • Outlook • Appendix 3
Slide 4: Performance update
Performance update 4
Slide 5: H1 results in line with expectations
H1 results in line with expectations Revenue Trading profit Return on sales £907.5m £77.0m 8.5% (0.4%) (16.1%) (160bps) Underlying change Underlying change Underlying change Net debt / EBITDA Headline EPS Dividend per share 2.0x 17.1p 7.1p (16.4%) Dec 2024: 1.3x Underlying change H1 2024: 7.1p Under
Slide 6: H1 results in line with expectations
H1 results in line with expectations ▪ Market share gains and strong cost-reduction actions partially mitigated a challenging environment ▪ Steel Division showed resilience in difficult market conditions • Steel production declined everywhere in H1, with the exception of India and South-East Asia •
Slide 7: Declining steel production in H1 as China exports remain elevated
Declining steel production in H1 as China exports remain elevated ▪ Global steel production (ex. China, Iran, Russia and Ukraine) fell 0.3% ▪ Global growth (ex China, Iran, Russia and Ukraine) would have been +1.0% if not for increase (H1-on-H1) in Chinese net steel exports of 5.3MT ▪ Strong growth
Slide 8: The Steel division gained market share overall
The Steel division gained market share overall ▪ Overall market share gains in both Flow Control and Advanced Refractories ▪ Flow Control gaining share in EMEA, China, SE Asia and Brazil; North America impacted by some specific customer closures in Mexico ▪ Advanced Refractories continuing to gain s
Slide 9: Steel division showed resilience in difficult market conditions
Steel division showed resilience in difficult market conditions ▪ Revenue flat on an underlying basis Steel Division H1 2025 H1 2024 Change Underlying (£m) (reported) change • Volume stable reflecting a small market decline offset (£m) (£m) Flow Control by market share gains 378.1 393.7 (4.0%) (0.5%
Slide 10: Foundry markets lower than H1 2024 but stabilised vs H2 2024
Foundry markets lower than H1 2024 but stabilised vs H2 2024 Vesuvius end-market exposure China EU+UK North America South America North Asia India 22% Market dynamics H1 ‘25 vs H1 ‘24 78% 11% 33% 16% 8% 8% 12% Foundry share of revenue General industrials Light vehicles 91 % 21% ▪ H1 versus H1 compar
Slide 11: Foundry division stabilised
Foundry division stabilised ▪ Difficult market conditions (c. 8% decline) nearly fully compensated Foundry HY 2025 HY 2024 Change Underlying (£m) (£m) (reported) change by market share gains (c. 7%) Revenue 237.5 250.8 (5.3%) (2.1%) ▪ Limited headline price decline (c. 1%) Trading Profit 16.4 20.7 (
Slide 12: Winning exposure to the fast-growing Indian market
Winning exposure to the fast-growing Indian market 180 Vesuvius Steel revenue in India** £m ▪ Strong acceleration of the Indian market growth post- 160 140 +23% CAGR* pandemic, both in Steel and Foundry 120 100 ▪ Expect strong growth to continue for many years to 80 60 come 40 20 ▪ Vesuvius very wel
Slide 13: Ongoing development pipeline driving new product sales
Ongoing development pipeline driving new product sales Flow control Advanced Refractories Foundry New Cold Start VISO products First fully-automated robotic tundish NUCLEANT 1587 – a new flux for dry-vibe lining solution aluminium applications • More efficient for customers as • Flexibility: works w
Slide 14: Consistent commitment to R&D investment driving growing new product sales
Consistent commitment to R&D investment driving growing new product sales Steadily growing new product(*) sales% 20.0% 19.5% 19.1% 17.6% 16.4% 15.3% 2021 2022 2023 2024 H1 2025 2026 target New product sales % (*) New products defined as products launched in the past 5 years 14
Slide 15: The PiroMet acquisition enhances our position in Turkey and beyond
The PiroMet acquisition enhances our position in Turkey and beyond • Our Steel Division is enhanced by PiroMet’s highly complementary refractories portfolio and robotics capability > Integration continuing at pace and is on track > PiroMet sales and engineering teams fully integrated into the Vesuvi
Slide 16: Continued excellence in safety, continuing prior years’ progress
Continued excellence in safety, continuing prior years’ progress Lost-time injury frequency rate* 1.8 1.7 1.6 1.5 1.4 1.4 1.2 1.2 1.1 1.1 Our ultimate objective remains to be a zero-accident company 1 0.8 0.6 0.6 0.52 0.55 0.4 0.2 2017 2018 2019 2020 2021 2022 2023 2024 H1 2025 *Number injuries resu
Slide 17: Financial Review
Financial Review 17
Slide 18: Market share gains offsetting market volume declines; pricing flat
Market share gains offsetting market volume declines; pricing flat Group revenues bridge (£m) 960.0 Market-driven volume decline, principally 940.0 in Foundry 936.5 • Delivered stable 920.0 revenues despite 6.3 -31.4 challenging markets 900.0 905.1 905.1 907.5 903.3 (1.8) (2.1) 901.2 901.2 901.2 • D
Slide 19: Profit impacted by adverse net pricing and mix
Profit impacted by adverse net pricing and mix (£m) RoS 10.4% 10.1% Accelerated savings: 8.5% 100.0 - Transferred certain production from Germany to Turkey 97.2 - Additional automation 90.0 - Reorganised North American 91.4 (5.8) 91.4 Steel operations 80.0 0.3 (13.1) 78.3 (2.1) 76.2 10.1 76.7 76.7 7
Slide 20: Income statement
Income statement H1 2025 H1 2024 Change (£m unless indicated) Actual Actual Underlying1 As reported Revenue 907.5 936.5 (0.4%) (3.1%) Trading Profit 77.0 97.2 (16.1%) (20.7%) Return on Sales (ROS %) 8.5% 10.4% (160bps) (190bps) Post tax Share of JV Results 0.5 0.6 Net Finance Costs (10.0) (8.0) Head
Slide 21: Working capital largely reflecting seasonality – expect to reduce at year end
Working capital largely reflecting seasonality – expect to reduce at year end TWC / revenue 24.1% 23.4% 23.2% 22.9% 23.5% £447.4m £441.9m c. £6m from PiroMet plus c. Trade Working Capital £m £4m from temporary inventory builds relating to manufacturing £424.4m site moves c. £8m other Total H125 vs H
Slide 22: Cashflow impacted by seasonal working capital
Cashflow impacted by seasonal working capital 32.0 2025 capex split Maintenance c. £13m Customer installations c. £4m IT c. £6m 77.0 Special projects c. £11m Cash conversion: 33% (36.4) Down £13.5m vs H1 2024: £49.9m 1.3 25.8 (48.1) H1 2025 trading profit Depreciation Net capex Trade working capital
Slide 23: Increasing net debt reflecting shareholder returns and PiroMet acquisition
Increasing net debt reflecting shareholder returns and PiroMet acquisition Net debt bridge (£m) Net debt / 1.3x 2.0x EBITDA 11.2 452.4 42.0 34.8 5.6 1.4 18.6 329.2 29.5 5.9 (25.8) • Target gearing 1.0 – 2.0x Free cash flow -£12.6m • Expected to reduce to 1.8x by year-end • Further reduction thereaft
Slide 24: Detailed cost-saving programme increased to £55m by 2028
Detailed cost-saving programme increased to £55m by 2028 • £10.1m delivered in H1 this year, expectation of c. £20m savings for FY25 • Further plant rationalisation in Europe • Further automation • Warehouse footprint • Opex reductions • We are on target to deliver an aggregate saving of £55m by 202
Slide 25: Outlook
Outlook 25
Slide 26: Current trading – H2 trading profit expected to be similar to H1 2025
Current trading – H2 trading profit expected to be similar to H1 2025 H2 2025: • Challenging market conditions will persist, in particular in Europe. • Progressively improving pricing performance over the second half of the year • Expect H2 2025 trading profit to be similar to H1 26
Slide 27: Confidence in our strategy for delivery in 2026 and beyond
Confidence in our strategy for delivery in 2026 and beyond • Confidence in the growth potential of our steel and foundry markets, and our ability to improve our profitability thanks to the success of our cost reduction efforts. • Our restructured, modernized and strategically located manufacturing f
Slide 28: Appendix
Appendix 1 technical and additional information Think beyond. Shape the future. 28
Slide 29: Technical notes and guidance for 2025 - updated
Technical notes and guidance for 2025 - updated 2024 2025 guidance Notes updated Depreciation £62.2m c. £65m Was £65 – 70m Interest cost, P&L £16.2m c. £20m Was £18-20m Interest cost, cash £14.9m c. £15m Unchanged Tax rate 27.5% 27.5% Unchanged Cash capex £101m c. £75-80m Reduced from £80-85m Non-co
Slide 30: IFRS16 line items
IFRS16 line items H1 2024 FY 2024 HY 2025 Lease liabilities 47.6 46.2 41.7 Interest on lease liabilities 1.5 3.0 1.3 Cash payments for leases (8.4) (18.2) (9.0) NBV of right-of-use assets 56.4 54.7 48.6 Depreciation on right-of-use assets 7.5 15.6 7.6 30
Slide 31: FX impact on revenue and trading profit
FX impact on revenue and trading profit Change in revenue Change in trading Average rate Average rate Average rate Current Spot Currency % change % change (£m) profit (£m) HY24 FY24 HY25 (30 July 2025) USD 1.0% 5.7 1.0% 0.8 1.2650 1.2780 1.2984 1.3348 EUR 1.0% 4.8 1.0% 0.1 1.1699 1.1812 1.1869 1.156
Slide 32: Think beyond. Shape the future.
For further information, please contact: Rachel Stevens Group Head of Investor Relations rachel.stevens@vesuvius.com Think beyond. Shape the future. 32