Annual Report 2025

”The year 2025 was marked by subdued demand for stainless steel, driven by rising uncertainty and global trade disruptions, pressuring our profitability. During the year, Outokumpu launched a new growth-focused strategy EVOLVE, while taking own measures to strengthen cost position in the weak market environment.

While our strategic initiatives position us for long-term  success, recovery in key end markets in 2025 was slower than expected. Demand in Europe and North America remained weak across major end-use sectors. Europe also faced sustained pressure from low-priced imports from Asia. Group’s adjusted EBITDA in 2025 ended at EUR 167 million slightly below the previous year, due to business area Europe.

Athe same time, we achieved a significant improvement in adjusted EBITDA in business area Americas, driven by higher volumes and lower costs. Activity picked up as buyers redirected orders to domestic producers in response to the tariff increase. Selling prices in the U.S. recovered in the second half of the year. Adjusted EBITDA in business area Ferrochrome increased in 2025, marking the third consecutive year of improvement. Demand for our European low-emission ferrochrome remained solid.

We took a major step forward in our strategic journey with the launch of our EVOLVE growth strategy – aimed at strengthening resilience to market cycles by building a stronger product portfolio and differentiating ourselves into areas that support higher growth and profitability.

Outokumpu has made good progress in its smart  decarbonization strategy: since 2016, we have successfully reduced our emissions by 33%, in line with our climate target. A critical enabler, the share of recycled material content, remained at a record-high level of 97% throughout 2025.

We are well positioned for the future with a robust strategy. CBAM and the Commission’s proposed safeguards against low-priced Asian imports are expected to support European producers. I am optimistic about our ability to grow, become more resilient, and strengthen our financial performance.”

Kati ter Horst, President and CEO

Outokumpu’s vision is to pioneer materials and technologies that power tomorrow. With the purpose of a world that lasts forever, Outokumpu’s products are made from 97% recycled materials, which it then turns into fully recyclable stainless steel. We support our customers in reducing their emissions with stainless steel that has an approximately 75% lower carbon footprint than the industry average*. With a high climate ambition, the company is committed to reducing its emission intensity by 42% by 2030 aligned with the science-based target to keep global warming below 1.5 degrees. Outokumpu's targets also include achieving zero safety incidents, enhancing equal pay, fostering supply chain sustainability and conducting business in an ethical and responsible way.

Outokumpu's sustainability statement is published as part of the Review of the Board of Directors and includes updates from Outokumpu’s new EVOLVE strategy and a review of the double materiality assessment. Preparation follows the European Sustainability Reporting Standards.

^{*Outokumpu’s average product carbon footprint (2025): 1.6 kg CO₂e per kg of stainless steel based on lifecycle assessment. Global average carbon footprint of stainless steel: 7.3 kg CO₂e per kg of stainless steel. (Outokumpu’s calculation based on data provided by CRU, worldstainless, and Kobolde & Partners AB 2022).}