Paris – Jacquet Metals navigated a challenging 2025 marked by weak demand and persistent price pressures, successfully preserving its profitability despite a 6.6% decline in revenue, the company announced Thursday. The French distributor of metals reported a current EBITDA of €94 million, an 8% increase compared to the previous year, demonstrating an ability to adapt to evolving market conditions and maintain margins. This resilience comes as the broader industrial landscape faces headwinds, particularly in key markets like Germany.
The company’s annual results, released on March 18th, reveal a net profit attributable to the group of €10 million, a significant 66.7% jump year-over-year, though falling short of analyst consensus estimates of €13.5 million. The current operating result reached €52.8 million, slightly exceeding expectations, and representing a 47.5% increase. These figures highlight a strategic focus on cost control and structural adjustments, particularly within the IMS division, which specializes in alloy, special, and carbon steels.
IMS Division Faces Headwinds
The IMS group experienced a 4.2% decrease in distributed volumes compared to 2024, with a 1% decline in the fourth quarter alone. This downturn is directly linked to a slowdown in industrial activity within the German market, a key region for the division. Jacquet Metals is actively implementing measures to adapt the division’s structure and discontinue distribution of lower-value-added product lines, actions that also impacted activity levels in 2025.
Resilience in Stainless Steel Distribution
Despite the challenges faced by IMS, Jacquet and Stappert, the divisions specializing in stainless steel distribution, demonstrated relative strength. Jacquet saw a 2.6% increase in distributed volumes compared to 2024, with a notable 7.6% growth in the fourth quarter. This positive performance is attributed to the division’s strategic positioning and investments in North America and Asia. Stappert also reported volume growth, increasing by 0.8% year-over-year (5.6% in Q4). These results suggest a diversified approach is helping Jacquet Metals mitigate risks associated with regional economic slowdowns.
Debt Reduction and Cash Flow
Jacquet Metals has also made strides in strengthening its financial position. The company reduced its net debt to €140 million, down from €175 million the previous year. This reduction was achieved through optimized stock levels – resulting in a €27 million positive impact on cash flow from changes in working capital – and a significant rationalization of investments, with capital expenditures (CapEx) decreasing from €59 million in 2024 to €21 million in 2025. However, operating cash flow decreased by 41.5% to €103 million compared to €176 million in 2024.
Looking Ahead: Geopolitical Risks and Carbon Adjustment Mechanisms
Looking to 2026, Jacquet Metals anticipates continued uncertainty, citing geopolitical tensions and the implementation of the Carbon Border Adjustment Mechanism (CBAM) in Europe as key factors. The CBAM, which took effect January 1st, imposes a tax on imports of carbon-intensive goods, including steel, and presents an additional source of disruption for the industry. Jacquet Metals acknowledges the potential for these factors to create inflationary pressures on raw materials, energy, and transportation costs.
Whereas the company does not have infrastructure in the Middle East, it recognizes that the ongoing conflict in the region is impacting the business climate. Jacquet Metals intends to maintain a rigorous approach to cost management and working capital needs while continuing its investment and development strategy. Oddo BHF remains optimistic, maintaining a “outperform” rating with a price target of €27, based on a projected 2026 revenue of €1.915 billion and a ROC of €67 million.
Portzamparc analysts note that while the debt reduction is positive, it provides limited visibility into the company’s performance in 2026 and 2027. The firm emphasizes that the debt reduction stems from internal efficiencies rather than increased sales.
Jacquet Metals’ ability to improve profitability in a difficult environment underscores its adaptability and focus on operational efficiency. The company’s performance in 2026 will likely hinge on its ability to navigate geopolitical risks, adapt to the CBAM, and capitalize on growth opportunities in resilient divisions like Jacquet and Stappert. Investors will be closely watching for further details on the company’s strategic initiatives and financial performance throughout the year.
Disclaimer: This article provides information for general knowledge and informational purposes only, and does not constitute investment advice.
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