Profitability of Viohalco's steel segment doubled in 2025

The Belgian industrial and metallurgical group Viohalco demonstrated strong performance in its steel production segment in fiscal year 2025, despite difficult macroeconomic conditions in the European steel market and high energy costs. The company has significantly increased its profitability by switching to value-added products and taking measures to improve operational efficiency. The group's steel segment revenue reached approximately 1 billion euros, and adjusted EBITDA (a — EBITDA) almost doubled compared to the same period last year, increasing from 39 million euros to 77 million euros. This growth was driven by high demand not only for standard products such as fittings, but also for SBQ group products (special quality long products). In terms of operations, the group's main manufacturers, Sidenor and Stomana Industry, have consolidated their leading positions in Southeastern Europe with over 70 years of experience. 2025 was also a period of structural transformation. In this context, Erlikon S.

A. merged with Sidenor, and Stomana Engineering - with Stomana Industry, which led to the creation of a more compact and efficient operating structure. As for investments, by the end of 2026, Sovel enterprises are planning to commission new winding lines and modernize the rolling mill carried out at Stomana Industry. These investments are expected to reduce unit costs and improve product quality for high-precision industries such as automotive and mechanical engineering. In the field of sustainability, Viohalco, which is based on a closed-loop economy model, has strengthened its position in the production of low-carbon steel in Europe due to its ability to produce products using recycled scrap metal. In the 2025 report, energy efficiency projects and increased use of renewable energy sources were also among the important topics as part of the company's efforts to reduce carbon dioxide emissions. In the future, until 2026, the company intends to maintain growth along with the expected recovery of the European construction sector. In addition, new trade rules, such as the mechanism for regulating carbon dioxide emissions in the European Union, are expected to enhance the company's competitiveness. Viohalco plans to continue to strive for sustainable profitability through cost discipline, technological innovation, and a customer-centric approach.

Author: SteelRadar Editorial Team

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