Wood fibre insulation and engineered wood products manufacturer Steico has reported solid earnings for the first nine months of 2025.
In its latest October trading update, Steico says the construction industry continues to stabilise, although the upward trend in some markets is less dynamic than expected.
In addition, following a production breakdown at one of the main production facilities for wood fibre insulation materials in June 2025, delivery times increased and, contrary to initial expectations, have not yet been able to return to normal.
As a result, sales in the third quarter were slightly lower than planned at €92.5m (2024 Q3: €100.3m). After nine months, cumulative consolidated sales were up 0.8% on the same period of the previous year at €291.6m (9M 2024: €289.4m).
EBIT for the first nine months totalled €29.1m, which was below the prior-year period (9M 2024: €47.6m).
Positive effects of a comprehensive efficiency improvement programme are already being reflected in earnings development, with operating profitability increasing again in the third quarter.
Revenue is now expected to be around 1% to 3% above the previous year (previously: plus 3% to 6%). This would correspond to revenue of €380m – €388m.
Full year EBIT is now expected to be between €30m – €35m (previously €29m to €35m).
Overall, management does not see the upward trend as being at risk and expects STEICO to return to stronger growth in 2026.
