Befesa lifts 2026 EBITDA view to €296M on US tax credit
What's the deal? BefesaDealroom has a profile for this one. Try Dealroom → has raised its full-year 2026 adjusted EBITDA guidance to €286 million–€296 million, including an expected €26 million US tax credit for its zinc refining in North Carolina. Excluding the credit, the Luxembourg-based recycler narrowed its range to €260 million–€270 million, up from €250 million–€270 million.
What does the company do? Befesa recycles steel dust and aluminium residues for the secondary steel and aluminium industries, positioning itself within the circular economy. Its zinc output at the Mooresboro, North Carolina plant qualifies under Section 45X of the US Inflation Reduction Act.
The numbers: Third-quarter adjusted EBITDA rose 10% year over year to €68 million; nine-month EBITDA was up 10% to €192 million. Higher zinc prices and a recovering secondary-aluminium business drove the gains, offsetting lower volumes from maintenance shutdowns and higher costs.
The aluminium business posted €34 million in nine-month EBITDA, up 52% from a year earlier.
Why now? Befesa filed its grant application in October. The €26 million estimate still depends on review by the US tax authority, and the cash is not expected until the first half of 2027 — so it lifts reported earnings but not 2026 cash flow.
What could go wrong? The uplift is largely policy-driven, not a comparable improvement in underlying guidance. The company expects recurring annual contributions of €25 million–€30 million through 2033 if rules hold, but the credit is scheduled to phase down after 2030.
Balance-sheet metrics also improved. Net leverage fell to 2.16x in September 2026 from 2.59x a year earlier, and S&P Global RatingsDealroom has a profile for this one. Try Dealroom → upgraded Befesa to BB+ in September.
The signal: Investors welcomed the news — shares rose nearly 9% to €36.05 on Xetra. The move shows how US industrial subsidies are reshaping earnings for European recyclers tied to critical-minerals supply chains, even as the longer-term benefit remains finite.
Read more: webdisclosure.com
Image credit: Generated with Gemini
