Building materials provider Holcim says it has returned excellent full-year results for 2025.
The group saw full-year net sales of CHF15,724 million, with net sales up 3.4% in the fourth quarter. Recurring EBIT (earnings before interest and taxes) for the full-year was CHF2,876 million, up 12.2% in Q4.
Holcim’s two customer-focused product lines are Building Materials and Building Solutions, which together provide customers with end-to-end solutions from foundation and flooring to walling and roofing, across the built environment from infrastructure and commercial to residential.
Building Materials covers an extensive range of cement and aggregates for customers, focusing on decarbonized cement and circular aggregates. Building Solutions comprises energy-efficient building systems and high-performance concrete and surfacing.
Free cash flow for the full year rose 1.6% to reach CHF2,154 million, with a cash conversion ratio of 54%. In light of the company’s excellent 2025 financial performance and its confidence in the future, the Board of Directors proposes a dividend of CHF1.70 per registered share, not subject to Swiss withholding tax and rebased following the spin-off of the North American business.
Europe
Recurring EBIT growth accelerated in the fourth quarter, rising 12.8% in LC1, to finish up 7.4% in LC¹ for the full year. There was a strong 140 basis point expansion in margin for the full year, driven by customer demand for Holcim’s sustainable offering, and an acceleration in decarbonization and circular construction. Strong activity in infrastructure, as well as a surge in residential building permits, is expected to drive continued profitable growth.
Latin America
Latin America delivered double-digit net sales growth in LC1 in 2025 with a recurring EBIT margin above 30%. Disensa, the region’s largest construction materials retail franchise, continued to grow strongly with 460 additional stores opened over the year, reaching a total of 2 365. A good pipeline of infrastructure projects is expected to accelerate growth in Mexico, with Central America and newly acquired operations also driving growth.
Asia, Middle East & Africa
The region delivered a strong 14.1% rise in recurring EBIT in LC1 in 2025, with an outstanding 220 basis point growth in margin. Performance was driven by government spending and substantial residential market growth in North Africa, as well as customer demand for Holcim’s sustainable offering across the region. Holcim is well positioned to benefit from large-scale infrastructure projects across countries. Strong demand in North Africa is expected to continue and there is a positive outlook in Australia.
Holcim CEO Miljan Gutovic said: “With all 2025 targets achieved, our NextGen Growth 2030 strategy is in full execution.
“We delivered strong profitable growth in 2025, with a double-digit recurring EBIT increase in local currency and an industry-leading margin of 18.3%. Margin expansion was driven by strong cost discipline, operational excellence and the scaling up of our sustainable offering to meet increased customer demand.”
Gutovic added that Holcim completed 21 transactions in 2025 to focus on the most attractive markets. As previously announced, we signed agreements to acquire Xella, a European leader in sustainable and innovative walling systems, and to take a majority stake in Cementos Pacasmayo, a leading producer of building materials in Peru. Both transactions are subject to regulatory and customary closing conditions.
“Building on our strong 2025 results, we are guiding for 2026 toward net sales and recurring EBIT growth in line with NextGen Growth 2030 targets, as well as further expansion of our recurring EBIT margin, free cash flow of around CHF 2 billion, and a >20% increase in recycled construction demolition materials,” said Gutovic.
Holcim says its NextGen Growth 2030 strategy is expected to continue to drive superior performance and value creation. Building on its strong 2025 results, Holcim expects for FY2026: Growth in line with NextGen Growth 2030 targets; 3% to 5% net sales organic growth; 8% to 10% recurring EBIT organic growth; Further increase of recurring EBIT margin; Free cash flow of around CHF 2 billion; >20% growth in recycled construction demolition materials.
Holcim CEO Miljan Gutovic says margin expansion was driven by strong cost discipline, operational excellence and the scaling up of its sustainable offering to meet increased customer demand. Image: Holcim
