Mutares Posts Positive EBITDA for First Time in a Year as Portfolio Restructuring Gains Traction

Mutares swings to €11.1M adjusted EBITDA from €30.1M loss, launches Chemicals & Materials unit, and raises €105M for US expansion with record exit pipeline.

Mutares has delivered a sharp operational turnaround in the first quarter of 2026, swinging to a positive adjusted EBITDA of €11.1 million from a €30.1 million loss a year earlier, while simultaneously reshaping its portfolio through a new chemicals segment, a flurry of exits and a €105 million capital raise for US expansion.

Group revenue rose 10% to €1.68 billion, buoyed by the integration of recent acquisitions such as Kawneer and F.lli Ferrari. The improved bottom line reflects a broad-based recovery: four of the company’s five operating segments are now profitable, underpinning management’s confidence that the worst of the earnings drag is behind it.

New Chemicals & Materials Segment Built on Sabic Deal

The most visible strategic shift is the creation of a dedicated “Chemicals & Materials” segment. Mutares laid the groundwork in January with the agreed purchase of Sabic’s plastics business in the Americas and Europe. The new unit bundles existing holdings Greer Steel and Holliday Pigments, aiming for scale in material value chains. In the first quarter, it already contributed €13.4 million in revenue.

At the same time, the company has reorganized its infrastructure and defense-related investments into an expanded “Infrastructure & Defense” segment, which posted €455 million in sales. Services firms Alterga and Nervión Industries were moved into this unit to sharpen oversight of industrial project work.

Exit Pipeline at Record Levels

Mutares completed the sale of Kalzip and WIJ Special Media during the quarter and has since signed agreements to exit four more portfolio companies: inTime Group, Relobus, Conexus and Peugeot Motocycles. The disposal of Relobus, a Polish public bus operator, to a fund managed by Infracapital is a textbook example of the buy-fix-sell model: Mutares restructured the business and secured new contracts before putting it on the block.

Management describes the current transaction pipeline as the largest in the company’s history, with a heavy focus on defense and energy infrastructure. Exit proceeds for the full year are expected to comfortably exceed the €230 million achieved in 2025.

Holding-Level Loss Reflects Steyr Motors Comparison

On the holding level, the net result slipped to a loss of €0.9 million, against a profit of €29.5 million a year earlier. That prior-year figure had been inflated by a partial exit from Steyr Motors; adjusted for that one-off, the year-on-year comparison is far less dramatic. The holding result is seen as less relevant to the underlying operating momentum, which is clearly improving.

In April, Mutares raised €105 million in gross proceeds through a capital increase. The funds are earmarked for an accelerated push into the US, where the company already has a Chicago office and plans to open a second location. The US acquisition pipeline is estimated at €4.8 billion in revenue volume.

Stock Lags Despite Operational Improvement

The market has yet to reward the operational progress. Mutares shares traded at €26.10, down roughly 13% since the start of the year and well below the 200-day moving average of €29.14. The valuation gap suggests investors are waiting for evidence that the planned exits and US expansion will translate into sustained earnings power.

Management has reaffirmed its full-year guidance: group revenue between €7.9 billion and €9.1 billion, and a holding net profit of €165 million to €200 million. The medium-term outlook through 2030 remains unchanged. With the half-year report now the next major catalyst, the coming months will show whether the portfolio overhaul and exit momentum can close the gap between operational reality and the share price.