Holcim Q3 Earnings: Strong Margin Expansion and EBIT Beat Driven by Sustainable Growth and Cost Control

Holcim AG, the Swiss leader in building materials, reported strong Q3 2025 results. The shares climbed 2.2% after the news. Each word now leans closely on the next, helping you follow the chain of ideas.

Key numbers show: • Recurring EBIT reached CHF 836 million. This figure sits just above last year’s CHF 835 million. It also beats consensus by 2.5%. • The recurring EBIT margin climbed to 20.7% from 20.2% last year. • Over nine months, recurring EBIT grew 9.8% in local currency to CHF 2.28 billion. The EBIT margin widened to 19.1%. • Net sales increased by 2.9% in local currency to CHF 11.9 billion.

Holcim points to two main drivers: firm cost control and a clear shift to sustainable products. Low-carbon ECOPact concrete now drives 31% of ready-mix net sales (up from 26%). ECOPlanet cement makes up 35% of cement sales (up from 32%).

Performance by region shows mixed results: • Europe: EBIT rose 5.9% and margins gained 130 basis points. • Latin America: Net sales jumped 10% while EBIT dropped by 10.3%. • Asia, the Middle East, and Africa: EBIT grew 14.7% with margins up by 240 basis points.

CEO Miljan Gutovic stressed the company’s drive to cut carbon and boost circular construction. He noted 14 acquisitions across Europe and the Americas in 2025. At the same time, the company sold its Nigerian and Iraqi operations. A planned acquisition of Xella, a European maker of sustainable walling systems, is expected to close in H2 2026. This move will widen Holcim’s reach in a market worth over €12 billion.

Analyst firm Jefferies kept its “buy” rating with a price target of CHF 81.40. They pointed to steady margin gains and a sustainable growth path.

For full-year 2025, Holcim confirmed its guidance: • Recurring EBIT should grow 6% to 10% in local currency. • The EBIT margin will stay above 18%. • Net sales are predicted to grow by 3% to 5%. • Recycled construction demolition materials will rise by over 20%. • Free cash flow before leases will be around CHF 2 billion.

Holcim’s results show that cost discipline and sustainability work hand in hand. Each idea links directly with the next. This clear chain of thought reinforces Holcim’s strong role in the move to greener building materials.

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