Slides
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Q4 2025 highlights page 4 Value Strategy 17 ESG 30 Business Overview 48 •S&E Europe 55 •S&E South America 64 •Services & Solutions 73 •Alloys & Specialties 82 •Recycling & Renewables 92 Aperam Recycling 97 Recyco 105 BioEnergia 108 Appendix 118
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• • • • • • •
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• • • • • Full gains accomplished ahead of time
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• • • • • • • • • •
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- -
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1 – 3 quarters ΔΔ Δ
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> > > > > > > > > > > > >
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> > > > > > > > > > > > > > > > > >
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BioEnergia ~8t CO2/t elta ETS Price C Carbon B Border A Adjustment M Mechanism > > > > > > > > > > > BioEnergia
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25 EUR168m EUR293m EUR304m EUR310m EUR559m EUR1.1bn> - - > >
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• • • • • •
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S&E Europe S&S S&E S. America R&R A&S incl. USAP
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Products Process Environment Climate change Social Governance Ethics
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Reconfirmed as "AA" (Leadership level) Rated "A-“ (Climate Change) and “B” (Water Security)Award by the ICDA. Responsibly source chromium.
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✓ ✓ ✓ ✓ ✓
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• • •
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> > > > > > > > > > →
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> > > > > > > > > > > > > > > > > >
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BioEnergiaBioEnergia Aperam Recycling Aperam Recycling > > > >
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8% 5% 6% 5% 4%2% 41% 29% N AmericaFranceUK BeneluxGermanyOther Mittal FamilyPrivate & NA
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Aperam Business Overview
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}
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Stainless & Electrical Europe
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• • • • • • • • • • • • • • • • • • • •
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Stainless & Electrical South America
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75% 13% 8% 5%11% 22% 23% 17% 22% 4%
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> > > > > > > > > >
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> > > > > > > > > > >
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• • • • •
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Services & Solutions
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Apera m Stainle ss & Electric al Steel End - user s
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> > > > S&E S&S > > > > > →✓ →✓✓
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> > >
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• • • • •
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384345 199 8370 80 mid-cycle 190 €/t 80 €/t+ 270 €/t Σ VS. 9% 14% 42% 818 kt 647 kt 93 3732 739 kt 25 716 kt
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Alloys & Specialties
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CAGR 3.3%*
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Recycling & Renewables
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SCRAP RECYCLING SCRAP RECYCLINGRENEWABLE ENERGY RENEWABLE ENERGY DUST & RESIDUES RECYCLING DUST & RESIDUES RECYCLING BioEnergia Aperam Recycling Aperam Recycling
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• • •
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BioEnergia Aperam Recycling
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Aperam Recycling BotanickelBioEnergia Recyco 2021* 2030 x
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> > > > > > > > > +131% Global SS Prod. 2005 - 23 Becomes Future Scrap Volume Growth Aperam Recycling 50+ 18 5 Stainless Superalloys
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Aperam Recycling Aperam Recycling
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SCRAP SUPPLYMELTING, CASTING & ROLLING SCRAP RECYCLING COLLECTION PROCESSING DISTRIBUTION INDUSTRY PARTICIPANT GROUPS Sorting, sizing, shredding dilution of impurities & blending, laboratory tests and radiation controlJust in-time logisticsPhysical intake, inbound radiation and quality check INDUSTRIAL SCRAP END-OF-LIFE SCRAP HOLISTIC WASTE RECYCLERS COLLECTORS (Exemplary) MANUFACTURING SUPERALLOYS MILLS / MELTERS STEEL MILLS …and others …and others …and other regional recyclers TITANIUM SPECIALISTS SUPERALLOYS & TITANIUM SPECIALISTS SCRAP METALSSCRAP METAL RECYCLERS & SERVICE PROVIDERS
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~4,000 suppliersworld-wide Industrial “new” scrap Reclaimed “old” scrap incl. demolition scrap Pure metals Ferroalloys Alloyed & SS scrap containing >Nickel >Chrome >Molybdenum Solid >Clippings>Cuttings>Trimmings>Bundles Turnings Residues & shredder Tails HIGH EFFICIENCY LOW COST CREATE SCALEASSUME RISK COORDI- NATE CERTIFY TIMING BRIDGE CREATE BLENDS (Producs) MATERIAL QUALITYPHYSICAL SHAPEDELIVERYTIMING
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FORGING, CASTING, FABRICATIONPROCESSING OF METALS FOR THE FABRICATIONOF SEMI-FINISHED PRODUCTS SELECTEDAPPLICATIONSSELECTEDAPPLICATIONS Aerospace Oil&Gas Power Gen. CrTiNiMoCoWNb Final products END PRODUCT MANUFACTURERS VALUE CHAIN STEPSVALUE CHAIN STEPS QUALITY MANAGEMENT & ENVIRONMENTAL MATTERS SOURCING 1RECYCLING & PROCESSING 2 SALES 3 LOGISTICS 4 5 MELTERS MANUFACTURERS Automotive Production „Revert“ Scrap RECYCLERSEXTRACT VALUABLE MATERIALS FROM PRODUCTION-AND METALLURGICAL SCRAP TRADING BUSINESS (60%) TOLLING BUSINESS (40%)QUALITY MANAGEMENT & ENVIRONMENTAL MATTERS TOLLING INCL. RECYCLING & PROCESSING (Sourcing & Sales steps redundant due to contractual obligation with partner) 2 LOGISTICS 4 5 PRIMARY RAW MATERIALS Metallurgical „Off-cut“ Scrap MELTERS ENSURE OPTIMAL PROPORTION OF METALS(e.g. INGOTS)~70%[1] ~30% Scrap sales to other outlets ■>40 certifications from OEMs & melters. Each site is regularly re-certified for each material ■Ability to manage global product flows ■Know-how & labor intensive Success Factors … COMPETITORS CUSTOMERS Super Alloy & Titanium Specialists Titanium Specialists
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104 GLOBAL SCRAP RESERVE CONTINUES TO GROW DESPITE RECYCLING OF 300m t OF STAINLESS BY 2025 Scrap reserve Recycled scrap usage CumulativeStainless Use Cumulative stainless usage to exceed 700m t in 2025 Strong recycled scrap usage reaching 300m t in 2025 America Europe China ~15% ~33% ~25% Scrap Reserve/Material in Use. in m t 1995: 106 2005: 178 2015: 272 2025: 440 ~20m t contained ~45m t contained Ni Cr
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PRODUCTION PROCESSBENEFITSGROWTH Recyco uses waste (sludge, shot, powdered dust) to produce metallic rich ferro- alloys Circular-recycling process for Aperam and tolling for external customers Equipped with a Briquetting unit, 2 EAFs and Ingot casting Capacity of 68kt/year > > > > Environmentally friendly re- use of otherwise obsolete steel plant A sustainablealternative to landfilling and mining Cost effective pyro- metallurgical recovery of valuable metals from waste Secures employment in an economically weak region > > > > Higher input flexibility and broader scope of treatable products Higher value stream of input material Position shielded by CAPEX & legal requirements > > >
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> > > > > > > >
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Forest R&D activities focused on the development of new high productivity eucalyptus clones, resistant to plagues, diseases, lack of water High quality seedling production (30 MM/year capacity), both for internal usage and external sale to the market Yearly planting of ~6.500 ha with modern techniques and sustainable water usage, by executing this activities only during the rainy season Forest care and maintenance to achieve highest productivity using high-tech equipment and a strong fire-fighting and surveillance structure 100% mechanized activity with use of modern and high productivity equipment, remotely monitored by central operation control room Own wood transportation fleet, monitored by the central operational control room (gamification, big data, IA, etc.) State of the art captive technology used for high quality charcoal production, with benchmark yield and productivity process indicators Low carbon steel production with Aperam’s BF’s using renewable zero net emission charcoal as a thermo-reducer
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Wood Density Growth 1990 2020 2050e +25% +30% 2015-22 2023-30 +18% +24% 2022 2030 > > > > >
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> > > > >
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> > > >
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Charcoal R&D & FSC Certification Electricity Scrap Sequestration Efficiency
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HDI - Human Development Index 0,598 0,633 0,6530,597 0,5760,5820,646 0,632 0,638 0,682 0,620 0,632 0,6280,622 0,624 0,571 0,541 0,618 0,542 0,581
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No credit arrangement contains earnings related covenants
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(EURm)2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Sales 4,556 4,089 3,856 4,125 4,249 3,854 4,481 4,677 4,240 3,624 5,102 8,156 6,592 6,255 6,080 Adj. EBITDA 286 168 220 368 451 455 559 504 340 293 1,060 1,129 304 356 339 - Adj. EBITDA margin % 6% 4% 6% 9% 11% 12% 12% 11% 8% 8% 21% 14% 5% 6% 5.6% Exceptional items** (26) - - 43 - (10) (8) - 17 50 126 (53) (11) 2 (64) EBITDA 260 168 220 411 451 445 551 504 357 343 1,186 1,076 293 358 275 Depreciation and impairment (223) (248) (228) (190) (157) (158) (152) (143) (150) (144) (144) (186) (204) (229) (259) Operating Income / (loss) 37 (80) (8) 221 294 287 399 361 207 199 1,042 890 89 129 16 - Operating margin % 1% -2% 0% 5% 7% 7% 9% 8% 5% 5% 20% 11% 1% 2% 0.3% Income / (loss) from other investments 2 2 (1) (40) (13) - (3) 1 1 (1) (1) (1) (2) (1) (1) Financing costs(116) (59) (98) (89) (76) (37) (41) (5) (23) 40 2 (137) 30 (50) (90) Income / (loss) before taxes and non-controlling interests (77) (137) (107) 92 205 250 355 357 185 238 1,043 752 117 78 (75) Income tax (expense) / benefit33 51 33 (21) (49) (57) (35) (71) (37) (63) (74) (126) 87 154 85 - Effective tax rate % 43% 37% 31% 23% 24% 23% 10% 20% 20% 26% 7% 17% -74% -197% 113% Income / (loss) before non-controlling interests (44) (86) (74) 71 156 193 320 286 148 175 969 626 204 232 10 Non-controlling interests(1) - - - (1) - - - - - (1) (1) (1) (1) (1) Net income / (loss) (45) (86) (74) 71 155 193 320 286 148 175 968 625 203 231 9 Basic Earnings per Share (0.56) (1.08) (0.96) 0.90 1.91 2.48 4.00 3.39 1.82 2.19 12.21 8.33 2.81 3.20 0.13 Diluted Earnings per Share (0.56) (1.08) (0.96) 0.87 1.81 2.34 3.80 3.03 1.82 2.19 12.16 8.29 2.79 3.17 0.13
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Cash Flow (EURm)2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 20232024 2025Operating Income / (loss) 37 (80) (8) 221 294 287 399 361 207 199 1,042 890 89 127 16 Depreciation and impairment 223 248 228 190 157 158 152 143 150 144 144 186 204 229 259 Changes in w orking capital 36 117 (15) (156) (1) (34) (162) (197) 81 (22) (485) (258) 248 44 176 Income tax (paid) / refund (12) (12) (11) (23) (16) (7) (30) (36) (5) (4) (56) (118) (34) (15) (9) Interest paid, (net) (50) (56) (57) (49) (23) (9) (8) (5) (5) (7) (4) 3 (5) (27) (40) Other operating activities (net)(90) (5) 15 1 (57) (18) 23 29 (28) (7) (91) (61) (31) (78) 20 Net cash provided by / (used in) operating activities 144 212 152 184 354 377 374 295 400 303 550 642 471 280 422 P urchase of property, plant & equipment, intangible assets and biological assets (CAPEX)(114) (127) (94) (78) (119) (118) (164) (192) (151) (109) (152) (285) (250) (154) (137) Other investing activities (net)7 4 4 6 6 1 1 5 32 1 (31) (12) (53) (1) (452) Net Cash provided by / (used in) investing activities 366 (123) (90) (72) (113) (117) (163) (187) (119) (108) (183) (297) (303) (155) (589) P roceed / (payments) from payable to banks and long term debt(364) (59) (1) (158) (253) (12) (11) (13) 139 (37) 57 (60) 8 (172) 449 P urchase of treasury stock- - - (2) (13) - (90) (70) (93) - (105) (194) - - - Dividends paid(44) (48) - (1) - (87) (106) (130) (142) (139) (140) (151) (145) (145) (145) Other financing activities (net)(5) (1) (6) (8) (3) - - (1) (8) (9) (9) (14) (16) (19) (26) Net cash (used in) / provided by financing activities(413) (108) (7) (169) (269) (99) (207) (214) (104) (185) (197) (419) (152) (336) 279 E ffect of exchange rate changes4 (1) (15) 8 2 11 (6) (1) (1) (27) (4) 7 (30) (15) (3) Change in cash and cash equivalents 101 (20) 40 (49) (26) 172 (2) (107) 176 (17) 166 (67) (15) (226) 109 Free cash-flow ** (Cash-flow from operations less cash-flow used in investing activities)30 85 58 106 241 260 211 108 281 195 367 345 168 125 262 NFD 679 619 501 442 290 147 (63) 48 75 67 466 468 491 544 978 Total Cash return to shareholders 44 48 - 3 13 87 196 200 235 139 245 345 145 145 145 DPS (gross)0.56 0.61 0 0 0 1.19 1.33 1.54 1.75 1.75 1.75 2.00 2.00 2.00 2.00
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(EURm)2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Non current assets3,213 3,036 2,690 2,653 2,427 2,630 2,478 2,363 2,345 2,130 2,405 2,587 2,915 2,966 3,237 Goodw ill and intangible assets 699 651 586 573 511 536 509 490 479 429 439 451 452 427 505 Property, plant and equipment (incl. Biological assets) (PPE ) 2,167 1,977 1,732 1,669 1,517 1,604 1,573 1,589 1,653 1,522 1,726 1,910 2,111 2,051 2,226 ArcelorMittal tax indemnification - - - - - - - - - - - - - - - Investments & Other 347 408 372 411 399 490 396 284 213 179 240 226 352 488 506 Current assets & w orking capital 927 733 714 822 693 905 991 1,020 1,114 1,125 2,306 2,495 2,169 1,872 1,938 Inventories, trade receivables & trade payables (OWC) 624 460 408 525 428 490 603 744 655 616 1,688 1,871 1,580 1,499 1,433 Other assets 112 102 94 135 129 84 82 77 84 151 94 167 143 157 180 Amount receivable under cash-pooling arrangement - - - - - - - - - - - - - - - Restricted cash - - - - - - - - - - - - 3 - - Cash & cash equivalents 191 171 212 162 136 308 306 199 375 358 524 457 443 216 325 Assets held for sale - - - - - 23 - - - - - - - - - Shareholders' equity 2,659 2,397 2,145 2,204 2,041 2,358 2,544 2,519 2,418 2,204 2,953 3,392 3,450 3,366 3,210 Group share 2,654 2,394 2,141 2,201 2,036 2,354 2,540 2,515 2,414 2,200 2,945 3,385 3,442 3,354 3,195 Non-controlling interests 5 3 4 3 5 4 4 4 4 4 8 7 8 12 15 Non current liabilities 792 791 866 957 811 729 674 528 693 681 1,105 1,006 913 809 1,350 Interest bearing liabilities 454 460 561 571 413 261 238 181 365 372 719 667 574 516 1,070 Deferred employee benefits 138 160 160 175 169 164 159 148 146 148 186 136 153 147 135 Provisions and other 200 171 145 211 229 304 277 199 182 161 200 203 186 146 145 Current liabilities (excluding trade payables) 689 581 393 314 268 448 251 336 348 370 653 684 721 663 615 Interest bearing liabilities 416 330 152 33 13 194 5 66 85 53 271 258 360 244 233 Other liabilities 273 251 241 281 255 231 246 270 263 317 382 426 361 419 382 Liabilities held for sale - - - - - 23 - - - - - - - - - Invested Capital (Goodw ill+Intangible assets+PPE+OWC) 3,490 3,088 2,726 2,767 2,456 2,630 2,684 2,823 2,787 2,567 3,853 4,232 4,143 3,977 4,164 Net financial debt / (Net Cash) 679 619 501 442 290 147 (63) 48 75 67 466 468 491 544 978 Working capital 624 460 408 525 428 490 603 744 655 616 1,688 1,871 1,580 1,499 1,433
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Shipment (000t) H1 10 H2 10 H1 11 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Steel Shipment S&E 868 770 889 1,675 1,611 1,650 1,736 1,836 1,880 1,882 1,914 1,722 1,639 1,796 1,600 1,550 1,626 1,668 Steel Shipment A&S 16 17 21 37 36 36 35 34 30 33 36 36 31 30 27 33 38 62 Steel Shipment S&S 346 306 349 662 661 679 721 746 799 818 819 706 646 726 642 647 739 716 Shipment R&R 1,358 1,373 1,464 1,292 Other & Adjustment (315) (267) (368) (625) (625) (637) (679) (730) (792) (797) (797) (678) (639) (733) (1,318) (1,405) (1,577) (1,451) Total shipments 915 826 891 1,749 1,683 1,728 1,813 1,886 1,917 1,936 1,972 1,786 1,677 1,819 2,309 2,198 2,290 2,287 Steel shipments 1,917 1,936 1,972 1,786 1,677 1,819 1,635 1,570 1,667 1,727 Scrap & Charcoal shipments 1,358 1,373 1,464 1,290 P&L (EURm) H1 2010 H2 2010 H1 2011 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Adj. EBITDA S&E 162 56 152 190 94 177 277 396 370 470 422 259 227 896 791 92 175 140 Adj. EBITDA A&S 19 12 34 51 43 44 44 39 26 46 46 50 45 58 53 49 83 114 Adj. EBITDA S&S 51 11 16 11 16 7 65 38 83 70 43 45 38 199 93 24 40 25 Adj. EBITDA R&R 139 157 95 70 Adj. EBITDA Other & Elimination 11 (12) (1) 34 15 (8) (18) (22) (24) (27) (7) (14) (17) (93) 53 (17) (37) (10) Adj. EBITDA total 243 67 201 286 168 220 368 451 455 559 504 340 293 1,060 1,129 305 356 339 CAP EX S&E 26 35 33 79 71 77 61 92 101 129 145 119 100 135 203 168 88 81 CAP EX A&S 2 1 3 8 18 9 9 11 9 10 11 10 5 10 30 34 27 39 CAP EX S&S 3 8 5 14 25 8 7 15 7 20 31 21 3 7 12 19 13 9 CAP EX R&R 51 79 38 45 CAP EX Other & Elimination 1 - 1 13 13 - 1 1 1 5 5 1 1 - - - - 1 CAPEX 32 44 42 114 127 94 78 119 118 164 192 151 109 152 296 300 165 175 Margin and Ratio (Group) H1 2010 H2 2010 H1 2011 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Adj. EBITDA Margin (%) 11.5% 3.2% 8.3% 6.3% 4.1% 5.7% 8.9% 10.6% 11.8% 12.5% 10.8% 8.0% 8.1% 20.8% 13.8% 4.6% 5.7% 5.6% Operating margin (%) 6.3% -2.9% 2.9% 0.8% -2.0% -0.2% 5.4% 6.9% 7.4% 8.9% 7.7% 4.9% 5.5% 20.4% 10.9% 1.4% 2.0% 0.3% Adj. EBITDA per t of steel (EUR/t) 266 81 226 164 100 127 203 239 237 289 256 190 175 583 691 194 213 196 Operating income / (loss) per tof steel (EUR/t) 145 (75) 80 21 (48) (5) 122 156 150 206 183 116 119 573 544 57 77 9 Adj. EBITDA / t yoy (15) (64) 27 76 36 (2) 51 (33) (65) (16) 408 108 (497) 19 (17)
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By weight Iron Molybdenum, Al, Cu Nickel Chromium Manganese Carbon
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Upstream activitiesReporting companyDownstream activities
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