Befesa’s H1 Steel Dust Recycling Earnings Rise on Zinc Prices and Waelz Oxide Volumes

Published: Jul 30, 2026 11:05

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Befesa reported adjusted EBITDA of €124 million for H1 2026, up 11% year on year. Its steel dust recycling segment generated €104 million of adjusted EBITDA, up 8.3%, with margin expanding by 2.5 percentage points to 27.3%. Higher volumes, stronger zinc prices and operating efficiencies supported the result. Steel dust plant utilization averaged 67.4%, up 3.7 percentage points year on year. Befesa maintained its full-year adjusted EBITDA guidance of €250–270 million and expects to finish near the upper end of the range.

The U.S. business was the main volume-growth contributor, with Q2 throughput up 33% year on year following new EAF steel dust supply contracts; U.S. utilization improved by 11 percentage points, while Europe operated at a 91% load factor. Higher waelz oxide sales contributed to a €3 million EBITDA gain, and an average Q2 LME zinc price of $3,463/t, up 31% year on year, added €7 million. Befesa said 2026 zinc concentrate TC settled at $85/t, while spot TCs remained historically low. It has hedged 60–70% of its zinc exposure for 2026–2028, with 2027 and 2028 prices locked at $3,000/t and $3,100/t, respectively.

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