HEI Q2’26: Volume turnaround is helpful while pricing should boost price-cost in H2 even in high cost environment (with model update)

研报英文原文证据摘录

HEI Q2’26: Volume turnaround is helpful while pricing should boost price-cost in H2 even in high cost environment (with model update)

rope such as Italy and Hungary as well as the Nordics are showing positive momentum while in their

home market, Germany, France, Benelux recovery signs are stalling due to the impact of the war and UK remains sluggish.

Fixed cost savings and optimization are also helping the margin improvement.

• North America saw strong volume improvement especially in aggregates and cement with large manufacturing and

data center projects providing tailwinds. Housing remains subdued. Pricing in North America was below management

expectations, mainly in cement, which was impacted by import pressure. This has reduced somewhat Margin is challenged

due to cost inflation and Heidelberg have announced price increases for August which should help protect margins.

• APAC: The CEO highlighted strong performance in Australia while Asia is one of the weakest regions. Volumes are improving,

but pricing remains challenged with poor price-cost spreads especially in India and Indonesia. The CEO highlighted that

India and Indonesian volumes are coming back in a strong way, which is needed for margins. China remains sluggish but is

not a significant market for HEI. The CEO also mentioned that there has been no change in policy in terms of divesting some

markets which continue to be under strain at EBIT/DA levels such as India (despite strong topline development), although

they keep doors open should attractive opportunities arise.

• Africa, MEA is the strongest region experiencing population growth that will support sustainable development. Additionally,

urbanization will contribute to this expansion, creating favorable conditions for mid-term growth in Africa.