Tubacex preserves operating discipline and generates cash in the first quarter of 2026

Apr 24, 2026 | Todos | 0 comments

The quarter’s performance was shaped by global commercial uncertainty and the conflict in the Middle East, with a specific impact on the Abu Dhabi plant and logistics flows; Tubacex remains focused on protecting margins and profitability, managing and normalizing working capital, and strengthening cash conversion.

  • Sales: €154.2 million (-15.4% vs. Q1 2025), reflecting lower activity levels amid reduced visibility and a carry-over effect from weaker 2025 order intake due to global trade uncertainty triggered by the imposition of tariffs.
  • EBITDA: €20.0 million (-35.4%), with an EBITDA margin of 13.0%, preserved through operating discipline despite lower revenues.
  • Net profit: positive at €1.3 million; profit before tax: €1.8 million.
  • Cash and debt: +€6 million cash generation in the quarter despite the temporary impact of Middle East tensions; net financial debt of €338.8 million at end-March.
  • Order backlog: €1,202 million at period-end, concentrated in high value-added products and applications, with greater uncertainty in award and execution timelines.
  • Positioning in high value-added solutions and industrial and geographic diversification remain key levers in a more demanding market environment.
  • The company maintains a prudent outlook for Q2 2026: performance will continue to depend on greater geopolitical stability, the reactivation of investment decisions, and the normalisation of supply chains

 

Bilbao, April 24, 2026. In a highly demanding market environment, Tubacex closed the first quarter of 2026 with sales of €154.2 million, down 15.4% versus the same period of 2025, amid lower commercial visibility and reduced activity levels.

The period continued to reflect the global impact of commercial uncertainty triggered by tariff measures, which have delayed and conditioned purchasing and investment decisions across Tubacex’s customer base.

From late February, the outbreak of the military conflict in the Middle East added to the existing geopolitical instability. In particular, March was significantly affected by production interruptions at the Abu Dhabi plant and supply chain disruptions, with a direct impact on the quarter’s pace of activity and revenues.

Tubacex reported EBITDA of €20.0 million as of March 31, 2026, and maintained an EBITDA margin at a reasonable 13.0%, supported by operating discipline, industrial and geographic diversification, and the significant weight of higher value-added solutions within the Group’s business mix. EBIT stood at €7.4 million, profit before tax at €1.8 million, and attributable net profit at €1.3 million.

 

Market trends and multi-sector positioning

By sector, the quarter’s sales mix maintained a meaningful weight in the Group’s strategic, higher value-added businesses, with E&P Gas (28.8%) and E&P Oil (17.4%), alongside Industrial (30.9%), PowerGen (5.9%), Aerospace (4.2%) and Other (12.8%), reinforcing a diversified revenue profile.

The quarter reflects a sector-diversified sales base, which supports a more balanced business profile and strengthens the Group’s resilience in a more volatile market environment. Nevertheless, commercial activity was uneven by segment. Tubacex identified greater resilience in SURF (Subsea, Umbilicals, Risers, Flowlines), aerospace and defence, as well as in niches such as fertilisers, alongside positive momentum in power generation, particularly nuclear and biomass. In parallel, conditions remained challenging in H&I and process industry, and pressure increased in hydrogen and electrolysers, affected by delayed investment decisions and a slower conversion pace.

 

Financial strength and focus on working capital

At the end of March, working capital stood at €339.2 million, up from €323.9 million in December 2025. The increase was mainly driven by the impact of operational and logistics disruptions at the Abu Dhabi plant, as part of the in-transit inventory had to be diverted and, by quarter-end, had not yet reached its destination, temporarily affecting working capital. Against this backdrop, the company remains focused on the progressive normalization of working capital as operations and logistics flows stabilise.

The quarter recorded positive cash generation of €6 million, and net financial debt stood at €338.8 million. CAPEX for the period amounted to €11 million, maintaining investment discipline.

 

Order backlog and project pipeline

The order backlog stood at €1,202 million at the end of the period. By composition, it showed a majority weight of E&P Gas (78.6%) and remained concentrated in high value-added products and applications. Looking ahead to the coming quarters, Tubacex maintains a robust pipeline of opportunities, particularly in strategic businesses, although the geopolitical context is increasing uncertainty in award and execution timelines.

 

2Q 2026: prudence and operating priorities

Entering the second quarter, Tubacex maintains a prudent outlook given the continuation of the conflict in the Middle East and commercial uncertainty. Priorities are focused on restoring operational normality at the Abu Dhabi facilities, stabilizing logistics flows, protecting margins through the selection of higher value-added projects, and strengthening cash conversion alongside the normalization of working capital. However, supported by Tubacex’s positioning in businesses that are critical to global energy security, this factor remains a structural investment driver for the coming quarters.