ArcelorMittal: EBITDA up 8.8% in H1 2026, adjusted net income down 30% following exceptional base effect of 2025
ArcelorMittal released its first half 2026 results on July 30, 2026, marked by improved operational profitability: EBITDA increased 8.8% to $3,743 million, with a margin of $143 per tonne (versus $125 a year earlier), driven notably by Europe, North America (Calvert integration) and the India and joint ventures segment. Group net income came to $1,258 million, against $2,598 million on a reported basis in the first half of 2025. However, this comparison is skewed by an exceptional gain of approximately $1.16 billion recorded in 2025 following Nippon Steel's acquisition of its stake in AM/NS Calvert: compared to the adjusted net income of $1,810 million in the first half of 2025, the decline is approximately 30%. The group attributes this primarily to higher foreign exchange losses and an increase in net interest charges.
Operational profitability on the rise, driven by European restart
The group generated EBITDA of $3,743 million in the first half of 2026, up 8.8% from $3,440 million in the same period in 2025. According to ArcelorMittal, this improvement reflects stronger results in Europe, North America (AM/NS Calvert integration) and the India and joint ventures segment, partly offset by weaker performance in Brazil and Mining. Europe generated $1,198 million in EBITDA during the half-year, compared to $997 million a year earlier. The group indicates that it restarted its Asturias facilities (Spain) following maintenance activities undertaken since September 2025, as well as the Dabrowa blast furnace (Poland) on April 28, 2026, in response to improving demand. The Fos blast furnace (France), which had been shut down since September 2023, was restarted in late July 2026. In the second quarter, EBITDA margin per tonne stood at $155, versus $135 in the second quarter of 2025, a level the group presents as substantially above historical averages, reflecting in its view the benefits of its strategic investments, asset optimization and diversification of geographical exposures.
Net income penalized by base effect, foreign exchange and financial charges
Group net income came to $1,258 million in the first half of 2026, against $2,598 million on a reported basis a year earlier. The latter amount included an exceptional gain of approximately $1.16 billion related to Nippon Steel's acquisition of its stake in AM/NS Calvert; excluding exceptional items, the adjusted net income of $1,810 million in the first half of 2025 puts the decline at approximately 30%. Beyond this base effect, the decline is attributable to two financial items. The foreign exchange and financing charges line item represents a charge of $366 million, versus a gain of $123 million a year earlier, mainly due to foreign exchange impacts, with the dollar appreciating 3.0% against the euro over the period. Net interest charges amounted to $269 million, compared to $121 million, an increase the group attributes to higher average gross debt (including the effect of Calvert consolidation) and lower interest income. On the financial front, the group's net debt increased to $9.5 billion as of June 30, 2026, from $7.9 billion at end-2025, reflecting a free cash outflow of $1,493 million during the half-year (including $2,373 million in investments and a seasonal variation in working capital requirement) as well as $0.7 billion in shareholder returns.
An improvement expected in the second half, driven by the new European commercial framework
ArcelorMittal maintains its strategic direction. The group reaffirms that its portfolio of organic growth projects and completed acquisitions should generate approximately $1.8 billion in additional EBITDA from 2026 onwards, and confirms 2026 capital expenditure guidance of between $4.5 and $5.0 billion, of which $1.7 to $1.9 billion in strategic capex. The group presents the implementation of the tariff rate quota (TRQ) mechanism on July 1, 2026, alongside the CBAM, as a favorable factor for Europe. According to the group, order books have turned positive, and third quarter European shipments are expected to be stable to slightly higher than those in the second quarter, contrary to the usual seasonal decline. The group also anticipates second half shipments to be higher than those in the first half across all its segments. Finally, ArcelorMittal continued its shareholder returns, with $0.7 billion distributed in the first half ($0.2 billion in dividends and $0.5 billion in share buybacks) and the launch of a new buyback program of up to 10 million shares.
