Finland-based stainless steel producer Outokumpu has announced that its adjusted EBITDA totaled €65 million in the first quarter this year, up from €10 million in the previous quarter and €49 million in the same period of the previous year, supported by improved profitability in Europe and the Americas.
The company’s sales amounted to €1.45 billion in the given quarter, down slightly from €1.52 billion in the first quarter of 2025, while its EBITDA increased to €59 million from €47 million year on year. Outokumpu posted an operating profit of €3 million in the first quarter, compared to an operating loss of €7 million in the same quarter of 2025. Its net loss narrowed to €6 million, from €18 million in the corresponding period of the previous year.
In the January-March period, Outokumpu’s stainless steel deliveries totaled 465,000 mt, up 27% quarter on quarter, while ferrochrome deliveries increased by 17% quarter on quarter to 110,000 mt. The company stated that stainless steel market activity improved due to seasonal factors and Carbon Border Adjustment Mechanism (CBAM)-related effects in Europe. According to Outokumpu, the introduction of CBAM has created a clearer carbon price for stainless steel imports at the EU border, shifting demand toward lower-carbon European scrap-based production.
The company also stated that its restructuring program is progressing as planned. The program targets annual cost savings of €100 million by the end of 2027, with around half of the savings expected to be realized in 2026.
As part of its EVOLVE growth strategy, Outokumpu said construction of its pilot plant in New Hampshire in the US, aimed at scaling up its proprietary technology for the production of low carbon enriched ferrochrome and chromium metal, is advancing and the facility is expected to become operational in the first half of 2027. The company is also developing higher-margin specialty ferrochrome products, reviewing an annealing and pickling line investment at Tornio, and conducting a feasibility study for the Avesta melt shop to enable expansion into high-nickel alloys.
For the second quarter this year, Outokumpu expects its stainless steel deliveries to increase by 0-10 percent compared to the first quarter. The company also expects its adjusted EBITDA in the second quarter to be higher than in the first quarter, supported mainly by increasing stainless steel delivery volumes.
Outokumpu president and CEO Kati ter Horst stated that the direct effects of the conflict in the Middle East on the company’s results have so far been limited and mainly related to higher freight costs. Ter Horst said these costs are expected to increase further in the second quarter, while on the energy side, the company is mitigating potential impacts thanks to its hedging strategy and high share of Nordic low-carbon electricity. The CEO added that, if the conflict were to prolong, it could weigh on economic growth and end-user demand for the company’s products, while also putting upward pressure on energy costs.