PERFORMANCE AND RESULTSFY 2025
Amurrio, Spain, 27 March 2026.
Today Tubos Reunidos Group released its results for the second half of the 2025 financial year, which confirms the decrease in demand for seamless steel tubes caused by restrictive tariff policies (especially the increase in the US tariff on steel imports to 50% as of June 2025), the depreciation of the dollar against the euro, the strong competition in low-cost tubes in Europe and an environment marked by geopoli-tical uncertainties, effectively bringing demand to a standstill.
The Group started 2025 with a strengthened backlog volume after lower inflows in the previous period, which boosted sales in the first half of the year albeit with profitability levels limited by high price competition. However, since March the tariff policy measures adopted by the US administration have led to a fall in demand for OCTG piping in that country, crippled by concentration processes in the sector, the weakness of the price of oil and the inability to compete with local producers when faced with high tariffs. Similarly, European markets have been affected by the increase in imports of cheaper tubes from lower-cost markets, especially Ukraine and China, which has made it difficult for EU producers to compete and has ultimately led to the adoption of protective measures in the form of tariffs to be implemented from the second half of 2026.
As a result of these factors, which have particularly had an impact in the second half of the year, the Group's EBITDA was EUR -22.8 million and the consolidated net result attributable to the parent company was EUR -118.1 million. The income statement includes an asset impairment expense of EUR 40.8 million, since-given the market situation and the prospect that US tariffs on steel imports will continue in the medium term-the Group has re-estima-ted the value of its assets. This provision affects the small tube CGU (Cash-Generating Unit), composed of the Amurrio mill, Houston (USA) and the Iruña de Oca mill (Spain). In addition, following a conservative criterion, deferred tax assets amounting to EUR 8.3 million have been written off under the heading "Cor-porate income tax expense".
Changes in the US tariff regulatory framework have highlighted a new scenario in which it is necessary to implement a Feasibility Plan to guarantee the continuity of the Company and to deal with the Group's high operational and financial leverage, with an in-
tensive fixed-cost structure that requires high levels of activity to maintain adequate margins and generate sufficient cash flows to meet the net debt repayment of EUR 263 million as at 31 December 2025, which has a maturity date of less than three years. The Feasibility Plan, that the Company has been working on during the last months, is focused on the following lines of action:
The gradual adaptation of production resources to the significant drop in activity. This process began in 2025 with the suspension of activity at the Group's mill in the United States and continued in February 2026 through the notification of redundancy plans at the Amurrio and Trápaga mills in Spain, aimed at laying off 301 workers through early retirement, voluntary redundancy and termination of temporary contracts, which has been negotiated without an agreement with the Workers' Committee despite having obtained a sufficient number of backers.
Renegotiating the debt with the main financing entities and with Sociedad Estatal de Participa-ciones Industriales ("SEPI") (related to the FASEE (Fondo de Apoyo a la Solvencia de Empresas Es-tratégicas - solvency support fund for strategic companies) loan), with the aim of reducing it and/ or extending its maturity. The Company has entered into negotiations with its financing entities but has not reached an agreement yet. The Company is still looking for alternative ways for the debt restructuring.
Obtaining new financing in the short term that ensures the Company's viability.
Searching for strategic alliances, preferably with industrial partners, aimed at boosting the Group's activity, especially outside the United States.
Until the successful implementation of the aforementioned courses of action is achieved, the Group remains in a position that jeopardizes its viability and may require the adoption of additional measures as a result of the deterioration experienced.
Key indicators1
Millions or guro unlgss oľhgrwisg sľaľgd
2025 2024Change (%)
Change ResultsRevenue | 365,7 | 324,0 | 41,7 | 12,9% |
EBITDA | (22,8) | 8,8 | (31,6) | - |
EBITDA margin/turnover | (6,2%) | 2,7% | - | - |
Profit/(loss) attributed to the parent company | (118,1) | 28,6 | (146,7) | - |
Cash flow from operations | 2,1 | 6,2 | (4,1) | (67,0%) |
Net cash flow | (14,5) | (46,2) | (31,7) | (68,6%) |
Gross financial debt | 298,2 | 286,0 | 12,2 | 4,3% |
Net financial debt | 263,2 | 234,3 | 28,9 | 12,3% |
Cash and cash equivalents | 35,0 | 51,7 | (16,7) | (32,2%) |
CapEx | 9,6 | 13,5 | (3,9) | (29,0%) |
Consolidated net equity | (86,0) | 27,9 | (113,9) | - |
Net equity for trading purposes 2 | 39,0 | 190,6 | (151,6) | - |
Financial situation
As part of the corporate objective of prioritising cash management, in April 2025 the Group agreed with the financing entities to change the maturity schedules of the syndicated loan, the B bond and the FASEE loan managed by SEPI. Thus, principal payments planned for 2025, corresponding to the early amortisation of the proceeds from the sale of the Sestao steelworks and the ordinary amortisation for the financial year, for a total amount of EUR 15.2 million and EUR 12 million respectively, have been postponed to 2026 and 2027. This measure, which has the support of the financiers, aimed to provide the company with additional cash.
The Group generated operating cash flow of EUR 2.1 million as a result of the optimisation of working capital. Investments were also limited to mill safety ac-
tions, the replacement of equipment and to fulfilling commitments under the ecological transition plan, and payments for the purchase of fixed assets were increased to EUR 9.2 million (2024: EUR 21.7 million). Financial payments for the financial year mainly correspond to interest payments on the various financing arrangements and compliance with the repayment schedule for smaller loans with the Provincial Council of Álava and certain state bodies.
Net debt reached EUR 263.2 million at the end of the financial year, an increase compared with the EUR
234.3 million as at 31 December 2024, due to the accrual of PIK interests of the participation loan and the convertible debt and the cash reduction, displaying the following trend:
299,7
292,8
282,4
234,3
263,2
Millions or guro | 2021 | 2022 | 2023 | 2024 | 2025 |
Gross debt | 377,5 | 390,3 | 378,2 | 286,0 | 298,2 |
Cash and cash equivalents and other current financial assets | 77,8 | 97,5 | 95,8 | 51,7 | 35,1 |
Net financial debt | 299,7 | 292,8 | 282,4 | 234,3 | 263,2 |
Net financial debt / EBITDA | n/a | 4,5x | 2,6x | 9,3x | n/a |
1 The definition of these indicators can be found in the Consolidated Management Report for the period ended 31 December 2025 in the "Alternative Performance Measures" section.
2 Of the Group's parent company
Abridged financial statements
Consolidated profit and loss account (Thousands or Euros) | 2025 | 2024 | 2025 vs. 2024 |
Net turnover | 365.715 | 323.961 | 12,9% |
Supplies | (160.869) | (116.707) | 37,8% |
Staff expenses | (108.521) | (98.511) | 10,2% |
Other operating expenses | (131.821) | (108.824) | 21,1% |
Other operating income and net gains/(losses) | 12.727 | 8.847 | 43,9% |
Depreciation of property, plant and equipment | (18.916) | (18.319) | 3,3% |
Impairment and results for fixed assets disposal | (40.822) | 4.910 | n/a |
Financial result | (28.046) | 42.539 | n/a |
Profit before income tax | (110.553) | 37.896 | n/a |
Tax on profits | (8.287) | (10.145) | n/a |
Consolidated profit for the period | (118.840) | 27.751 | n/a |
Result attributed to external partners | 786 | 880 | n/a |
Result attributed to the parent company | (118.054) | 28.631 | n/a |
Balance sheet
(Thousands or Euros)
31/12/2025 31/12/2024
Consolidated cash flow statement (Thousands or Euros)
2025 2024
Non-current assets 211.267 273.721 Current assets 130.219 187.842Customers | 16.669 | 13.783 | Other Adjustments | 33.176 | (55.959) | |
Other current assets | 7.327 | 6.895 | Change in Working Capital | 18.145 | 20.233 | |
Cash and other cash equivalents | 35.050 | 51.717 | (Increase)/decrease of inventories | 48.920 | 2.091 | |
TOTAL ASSETS | 341.486 | 461.563 | (Increase)/decrease of account | (11.246) | 6.212 |
Inventories 71.173 115.447
Result before Taxes (110.553) 37.896Amortisation 59.738 13.409
Deferred revenues | 1.778 | 907 | Cash flow from operating a | ctivities 2.050 | 6.220 |
Non-current liabilities | 170.301 | 149.254 | Investment | (9.166) | (21.739) |
Net equity | (86.033) | 28.085 |
Equity loan | 138.464 | 126.756 |
Net equity including equity loan | 52.431 | 154.841 |
Non-current provisions 391 650
receivables | ||
Increase/(decrease) of account payables | (19.529) | 11.930 |
Other Payments | 1.544 | (9.359) |
Divestment - 20.855
Bank borrowings and other financial liabilities
129.806 109.280
Divestment/(Investment) of financial assets
2.171 (2.116)
Cash flow from investment activities | (6.995) | (3.000) |
Cash flow from financing activities | (9.566) | (49.427) |
Net cash flow | (14.511) | (46.207) |
Fixed income securities 14.964 14.235
Other non-current liabilities 25.140 25.089
Current liabilities | 116.976 | 156.561 |
Short-term provisions | 9.915 | 6.332 |
Bank borrowings and other financial liabilities | 15.002 | 35.726 |
Other current liabilities | 92.059 | 114.503 |
TOTAL LIABILITIES | 341.486 | 461.563 |