Ternium S.A. Earnings Recaps
Q3 2025
Oct 30, 2025
Ternium demonstrated improved operational performance in Q3 2025, achieving increased EBITDA driven by cost reductions, though faced with a net loss attributed to non-cash items.
Key takeaways
- Adjusted EBITDA improved sequentially due to lower costs per ton, with cash generation from operations exceeding $0.5 billion.
- An interim dividend of $0.90 per ADS was declared, maintaining the prior year's level amid a volatile market.
- Ongoing U.S.-Mexico trade discussions under the USMCA are fostering policies aimed at deeper regional economic integration and competitiveness.
- Despite high interest rates, Brazil's steel demand is expected to grow 5% in 2025, although unfair imports remain a significant challenge.
- Argentina’s recent elections open opportunities for structural reforms, enhancing growth prospects within the steel value chain.
Q2 2025
Jul 30, 2025
Ternium reported a strong second quarter in 2025, achieving a 25% increase in adjusted EBITDA driven by higher steel prices in Mexico and stable operational costs, despite challenges in certain markets.
Key takeaways
- Adjusted EBITDA rose to $300 million, supported by improved steel prices in Mexico and effective cost management.
- Net income reached $259 million, with an adjusted amount of $299 million when excluding litigation provisions.
- Anticipated sequential improvements in EBITDA and shipment levels for Q3, especially in Mexico, amidst ongoing trade negotiations.
- Continued focus on operational efficiency with measures aimed at optimizing logistics, procurement, and production processes.
- Ongoing challenges in Brazil due to steel import surges necessitate urgent government intervention to protect the local manufacturing sector.