Heidelberg Materials reports third quarter 2025 financial results

• Q3 result increases by 5% to €1,179 million (previous year: 1124). 
• Operating margin improves to 25.9% (previous year: 25.2%).
• Increased productivity and efficiency: Transformation Accelerator initiative with significant savings.
• Pioneering role in the heavy building materials industry: first deliveries of evoZero®, the world's first carbon captured near-zero cement, to customers in Europe.
• Final investment decision: construction of CCS project in Padeswood, UK, scheduled to begin within the next weeks. 
• Driving decarbonisation projects: four additional EU Innovation Fund grants secured.
• Positive outlook for the full year 2025 confirmed: result from current operations (RCO) specified at €3.30 – 3.50 billion (previously: €3.25 – 3.55 billion); ROIC unchanged at around 10%.

“We continued our growth trajectory in the third quarter of 2025, despite ongoing political and economic uncertainties. Our uncompromising focus on active price and cost management in all Group areas contributed significantly to improving our result and further expanding our profitability in the third quarter. Our Transformation Accelerator initiative played a key role in enhancing our margins through substantial savings,” explained Dr Dominik von Achten, Chairman of the Managing Board of Heidelberg Materials. ”We remain confident about the year as a whole. Based on the business development to date, we confirm our positive outlook for 2025.”

”With the start of deliveries of evoZero® – the first carbon captured near-zero cement – to customers across Europe, we have noticeably driven forward the transformation of the construction industry. The globally unique product is manufactured in our pioneering CCS facility in Brevik and gives our customers a clear competitive advantage on the path to CO2-reduced construction. With the final investment decision for our CCS project in Padeswood, United Kingdom, we are further expanding our pioneering role in sustainability.”

Good operational development

Heidelberg Materials increased its revenue slightly by €51 million or 1% to €5807 million (previous year: 5756) in comparison with the same quarter of the previous year. The result from current operations (RCO) rose noticeably by €54 million or 5% to €1179 million (previous year: 1124). The operating margin improved by around 0.7 percentage points to 25.9% (previous year: 25.2%).

Transformation Accelerator initiative is proceeding according to plan

The Transformation Accelerator initiative, announced in November 2024, is proceeding according to plan and contributed significant savings to the result in the first nine months of 2025. The focus of the initiative lies on the optimisation of the production network, cross-functional efficiency enhancements and technical initiatives on a global scale. Heidelberg Materials is convinced that the initiative will achieve its annual target of at least €500 million in savings by the end of 2026.

Significant progress in decarbonisation

In September 2025, Heidelberg Materials and the UK government have reached a funding agreement for the construction of a carbon capture facility at the Padeswood, UK, plant. Construction is scheduled to begin in the current financial year. The new plant is expected to capture around 800 000 tpy of CO2 and be operational by 2029. Following the opening of Brevik CCS in June 2025, Padeswood CCS will serve as Heidelberg Materials' second facility enabling the production of evoZero at a much larger scale.

The first customers across Europe are already benefiting from evoZero deliveries. For example, the product will be used in the construction of the new Skøyen metro station in Oslo, Norway, by Skanska, a leading project development and construction company in Europe and North America. The German project DREIHAUS, which is currently building a total of three 3D-printed houses in Heidelberg, will also use evoZero. DREIHAUS will serve as a new benchmark for serial 3D printing of residential buildings using sustainable building materials and is already using the sustainable products of the evoBuild® portfolio.

The EU Innovation Fund, one of the world’s largest funding programmes for innovative low-carbon technologies, has selected four of Heidelberg Materials’ pioneering projects in the field of carbon capture, utilisation, and storage (CCUS) for grant agreement preparation under its Net-Zero Technologies Call. These grants are awarded to industries deploying innovative near-zero technologies. The selected projects are Anthemis in Belgium, AirvaultGOCO2 in France, DREAM in Italy, and HuCCSar in Poland.

Focus on shareholder return

In May 2024, Heidelberg Materials launched a second share buyback programme with a volume of up to €1.2 billion. The second of three tranches with a volume of up to €450 million is set to close later this year. Until 31 October 2025, the company acquired treasury shares at a total price of around €364 million.

Positive outlook for 2025 confirmed

Based on the business development in the first nine months of 2025, Heidelberg Materials remains confident and confirms the positive outlook. The company specifies the result from current operations (RCO) to be between €3.30 billion and €3.50 billion (previously: between €3.25 and €3.55 billion). ROIC is expected to remain at around 10%. The company continues to expect a further slight reduction compared with 2024 in specific net CO2 emissions per t of cementitious material.

Read the article online at: https://www.worldcement.com/europe-cis/07112025/heidelberg-materials-reports-third-quarter-2025-financial-results/