Befesa Sa · XETR:BFSA
Befesa Sa — Q3 2026 Earnings Presentation
32 slides from Befesa Sa's earnings presentation, Oct 29, 2026
Slide 1: Q3 2026 Earnings Presentation
Q3 2026 Earnings Presentation 29 October 2026
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements and information relating to Befesa and its affiliates that are based on the beliefs of its management, including assumptions, opinions and views of Befesa and its affiliates as well as information cited from third party sources. Such s
Slide 3: Today’s agenda
Today’s agenda Business highlights Asier Zarraonandia Financial results Rafael Pérez Outlook and Growth Asier Zarraonandia Appendix & Investor Agenda Asier Zarraonandia Rafael Pérez Chief Executive Officer Chief Financial Officer 3
Slide 4: Agenda
Agenda Business highlights Financial results Outlook and growth Appendix & Investor’s agenda 4
Slide 5: Befesa eligible for IRA Section 45X for critical minerals
Befesa eligible for IRA Section 45X for critical minerals U.S. zinc business is eligible under section 45X (Advanced Manufacturing Production Credit) Claim filed with the IRS (Internal Revenue Service) of the US Expected financial impact • Befesa has completed an assessment of its eligibility for th
Slide 6: FY 2026 Adj. EBITDA guidance narrowed to €260m - €270m
FY 2026 Adj. EBITDA guidance narrowed to €260m - €270m. Critical Minerals US grant to add €26m in EBITDA in Q4 2026 Revenue +1% Outlook / Guidance • FY 2026 Adj. EBITDA guidance narrowed to €260m - €270m, excluding Section 45X 9M 2026: €901m €892m in 9M 2025 • Critical Minerals US / Section 45X1): c
Slide 7: 9M 2026 Steel Dust business highlights
9M 2026 Steel Dust business highlights Challenging near-term conditions with demand outlook across the steel industry improving in 2027 EUROPE USA ASIA European steel production was slightly down in US steel production increased 6% YoY in 9M Asian volumes down by 18% YoY in 9M 2026 9M 2026, de
Slide 8: 9M 2026 Aluminium business highlights
9M 2026 Aluminium business highlights Metal margin expansion remains a key tailwind for the 2nd Alu business Salt Slags recycling 2nd aluminium Salt slags volumes stable during Q3 as plants Metal margin rebounded significantly YoY from Highlights operated at similar utilisation rates compared to
Slide 9: Agenda
Agenda Business highlights Financial results Financial results Outlook and growth Outlook and growth Appendix & Investor’s agenda 9
Slide 10: Steel Dust Recycling Services Financials
Steel Dust Recycling Services Financials Higher zinc prices partially offset by lower volume and inflation 9M 2025 9M 2026 YoY change (%) Adj. EBITDA 9M 2025 to 9M 2026 (€m) Revenue €m 593.6 591.5 -0.4% +3.6/+2.4% Adjusted EBITDA €m 154.3 157.9 +2.4% 22 (14) 158 Adjusted EBITDA 154 % 26.0% 26.7% +0.
Slide 11: Aluminium Salt Slags Recycling Services Financials
Aluminium Salt Slags Recycling Services Financials Higher EBITDA supported by better metal margin & price environment Adj. EBITDA 9M 2025 to 9M 2026 (€m) 9M 2025 9M 2026 YoY change (%) +11.7/+51.8% Revenue¹ 303.4 314.9 +3.8% - Salt Slags €m 84.5 92.8 +9.8% 34 1 - Secondary Alu 259.9 268.0 +3.1% EBIT
Slide 12: Zinc LME price correction after reaching highs in Sep 2026
Zinc LME price correction after reaching highs in Sep 2026; Zinc concentrates market remains tight, lower spot TCs Sep 26 $4,186/t 30 Sep: $3,954/t Peak: $300 (2008 & 2020) Oct 24: May 24: $3,327/t $3,093/t Q3’26 average: TC announcement $3,830/t Contract TCs $143 FY’25 average: (2018) $85 $2,867/t
Slide 13: Extended zinc price hedging until Q3 2029
Extended zinc price hedging until Befesa’s hedging strategy unchanged 1 Q3 2029 at all-time-high level of • 1-3 years forward $3,200 • Targeting 60% - 75% of zinc equivalent • No collateral / provided margin calls €2,549 €2,571 €2,425 $3,200 $3,100 $3,000 2 Befesa’s hedging strategy has proven succe
Slide 14: Energy prices trended higher during Q3
Energy prices trended higher during Q3 due to tightening market conditions driven by geopolitical tensions Coke ▪ Coke price at 156€/t in Q3 Befesa’s energy unit price evolution 2026, slightly up compared to 250 Q3’26 Avg. €/unit previous quarters (+2% YoY) Electricity 200 ▪ Electricity prices in Q3
Slide 15: EBITDA to Cash Flow
EBITDA to Cash Flow Operating Cash Flow in 9M 2026 at €128m. Cash on hand at Sep26 amounted to €126m Adjusted EBITDA to Total Cash Flow in 9M 2026 (€ million) 192 Total capex = €60m • Operating Cash Flow increased to (54) (9) 128 €128m (+12% YoY). Higher (41) EBITDA and lower taxes paid (19) compare
Slide 16: S&P upgraded Befesa’s rating to ‘BB+’
S&P upgraded Befesa’s rating to ‘BB+’ driven by continued strengthening of its financial profile and sustained deleveraging 10th Consecutive quarter of deleveraging Capital structure Net Debt / EBITDA • Senior Secured TLB of €650m x3.4 • Refinanced in July 2024 x3.3 • Maturity in July 2029 • Reprice
Slide 17: A clear capital allocation policy focus on shareholder value creation
A clear capital allocation policy focus on shareholder value creation Cash is allocated in a clear order of priority: 1) preserve assets, 2) reward shareholders, 3) keep strong balance sheet, 4) high return growth, and 5) excess cash to shareholders 1 2 3 4 5 Maintenance Dividend Leverage Growth Buy
Slide 18: Agenda
Agenda Business highlights Financial results Financial results Outlook and growth Outlook and growth Appendix & Investor’s agenda 18
Slide 19: FY 2026 Adj. EBITDA guidance narrowed to €260m - €270m
FY 2026 Adj. EBITDA guidance narrowed to €260m - €270m. Critical Minerals US grant to add €26m in EBITDA in Q4 2026 • FY 2026 Adj. EBITDA guidance 2026 Guidance Oct 2026 Expected Including narrowed to €260m - €270m, (March 2026) Excl. 45X 45X impact¹⁾ 45X¹⁾ excluding Section 45X • Section 45X to add
Slide 20: 2026 confirmed as another year of earnings growth, strong cashflow and deleveraging
2026 confirmed as another year of earnings growth, strong cashflow and deleveraging Commentary 2026 Outlook Europe: solid/stable volume expected Steel dust USA: higher EAF steel dust volume driven by new contracts with steel makers Neutral to positive volume China/Asia: weak market, lower vo
Slide 21: Bernburg expansion completed, entered ramp-up in September
Bernburg expansion completed, entered ramp-up in September Plant overview ▪ Expand alu alloy production capacity at existing Bernburg plant from current 75 kt to 135 kt (+60 kt) Bernburg, Germany ▪ 2 rotary furnaces (and 2 holding furnaces) ▪ Total Befesa 2nd Alu capacity from 205 kt to 265 kt ▪ 30
Slide 22: Agenda
Agenda Business highlights Financial results Financial results Outlook and growth Outlook and growth Appendix & Investor’s agenda 22
Slide 23: New cycle of low capex and high earnings resulting in strong FCF
New cycle of low capex and high earnings resulting in strong FCF generation and shareholder value • High capex cycle to expand creation operations into US and China, completed already FCF (€M) Total CF (€M) • New cycle of low capex €40 (< €80m per year) coupled with €136 high earnings resulting in s
Slide 24: Befesa well positioned to capture the EAF expansion phase in Europe
Befesa well positioned to capture the EAF expansion phase in Europe driven by policy support and decarbonisation On track • Europe’s shift to EAF steelmaking, with 15 new projects to come Pending online between 2026 and 2030, adding to the existing 148 EAF plants • 26 Mt of new EAF capacity in Europ
Slide 25: New EAF steel projects in the US will drive growth in steel dust market
New EAF steel projects in the US will drive growth in steel dust market over the coming years driven by strong underlying steel demand EAF steelmaking capacity announcements in the US, Mt +17%/+15Mt 102 98 99 Calumet, 87 Illinois Palmerton, Pennsylvania 2025 2026 2027 2028 onwards Rockwood, Tennesse
Slide 26: Key consolidated financials
Key consolidated financials 9M 2026 9M 2025 Change Q3 2026 Q3 2025 Change Key market data Zinc LME average price ($ / tonne) 3,512 2,768 26.9% 3,830 2,824 35.6% Zinc LME average price (€ / tonne) 3,025 2,482 21.9 % 3,328 2,418 37.6 % Zinc hedging price ($/tonne) 2,974 2,910 2.2 % 2,972 2,988 (0.5) %
Slide 27: Steel Dust Recycling Services operational and financial data
Steel Dust Recycling Services operational and financial data 9M 2026 9M 2025 Change Q3 2026 Q3 2025 Change Key o peratio nal data (tonnes, unless specified otherwise) EAF steel dust throughput 891,279 895,708 (0.5) % 303,484 345,419 (12.1) % WOX sold 286,444 294,108 (2.6) % 96,577 109,127 (11.5) % T
Slide 28: 2nd Aluminium Recycling Services operational and financial data
2nd Aluminium Recycling Services operational and financial data 9M 2026 9M 2025 Change Q3 2026 Q3 2025 Change Key o peratio nal data (tonnes, unless specified otherwise) Secondary aluminium alloys produced 110,680 117,442 (5.8) % 31,607 34,484 (8.3) % Total installed capacity 205,000 205,000 0.0 % 2
Slide 29: Aluminium Salt Slags Recycling Services operational and financial data
Aluminium Salt Slags Recycling Services operational and financial data 9M 2026 9M 2025 Change Q3 2026 Q3 2025 Change Key o peratio nal data (tonnes, unless specified otherwise) Salt slags and SPL recycled 303,857 313,602 (3.1) % 98,722 100,718 (2.0) % Total installed capacity 470,000 470,000 0.0 % 4
Slide 30: Investor’s agenda
Investor’s agenda Investor Conferences Investor Conferences Financial Calendar Q3 2026 Q4 2026 Preliminary Year-End Results 2025 & Commerzbank & ODDO BHF Corporate BBVA, BME & ODDO BHF Iberian Digital Forum Conference Call Conference 2026 2026 26 February 2026 2 September – Frankfurt 6 October – Vir
Slide 31: Sustainability at the core of Befesa
Sustainability at the core of Befesa Progress against targets in 2026 CO2e intensity Climate Action Plan (Tn CO2e / Tn input) ▪ 20% CO2e intensity reduction by 2030, Net Zero by 2050 ambition -20% ▪ 9% intensity reduction in 2025 vs. 2021 baseline ▪ 4% increase vs. 2024 due to increase in coke use i
Slide 32: BEFESA
BEFESA