Befesa Q3 revenue up on higher zinc prices and improved secondary aluminium margins

Overview

• Hazardous waste recycler's Q3 2026 revenue rose 7% yr/yr

• Q3 2026 adjusted EBITDA grew 10% yr/yr

Outlook

• Befesa narrows FY 2026 adj EBITDA guidance to €260m–€270m, excluding Critical Minerals US grant

• Critical Minerals US grant expected to lift FY 2026 adj EBITDA to €286m–€296m

• Company expects Q4 earnings momentum from higher volumes and aluminium recovery, partly offset by inflation

Result Drivers

• ZINC PRICES & ALUMINIUM RECOVERY - Higher zinc prices and improved secondary aluminium margins drove Q3 results, offsetting lower volumes and cost pressures

Company press release:

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the environmental services & equipment peer group is "buy"

• Wall Street's median 12-month price target for Befesa SA is €44.00, about 32.3% above its October 27 closing price of €33.25

• The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 12 three months ago

Reuters Recommended Reads

• Oct 28 - Finland's Luotea Q3 adjusted EBITA rises on cost savings

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)