olivLaw · European equity research
RHI Magnesita N.V. RHIM.L
United Kingdom · London Stock Exchange · Vertical: Listed companies from United Kingdom
RHI Magnesita is a global leader in refractory materials, which are essential to heavy industries such as steel, cement and glass. In 2025 the market was hit hard by weaker industrial demand, and the company responded with efficiency measures and a much stronger second half. Management expects profitability to grow in 2026, conditional on a gradual market recovery.
At the close of 05 Nov 2026, RHI Magnesita N.V. (RHIM.L) stock was 27.65 GBP (−2.64% on the day), with beta 1.18, 52-week range 19.94–33.45 GBP.
Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 50.0
- neutral
- Bollinger (20, 2)
- 25.13 – 29.89
- in the upper half of the band · %B 0.53 · band width 17.3%
- SMA 50 / 200
- 28.02 / 28.01
- mixed trend
- MACD (12, 26, 9)
- -0.18 / -0.34
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | EURO STOXX 50 | vs EURO STOXX 50 | Vertical median | |
|---|---|---|---|---|
| 1 month | −2.8% | −0.6% | −2.2 pp | — |
| 3 months | −9.3% | −4.2% | −5.2 pp | — |
| 6 months | −0.9% | +4.3% | −5.2 pp | — |
| Year to date | −0.5% | +7.5% | −8.0 pp | — |
| 1 year | +34.2% | +9.9% | +24.3 pp | +5.8% |
| 3 years | +3.4% | +49.8% | −46.4 pp | +26.3% |
| 5 years | −17.6% | +42.8% | −60.4 pp | — |
Price returns, dividends excluded.
Quarterly results
ESEF annual reports carry no quarters: the results are annual (below).
E/P over time
the price (USD) and the reports are in different currencies
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2024 | 2025 |
|---|---|---|
| Revenue | 3.5 bn | 3.4 bn |
| Revenue YoY | unavailable | −3.5% |
| Net income | 142.0 m | 86.0 m |
| Net income YoY | unavailable | −39.4% |
| Diluted EPS | 2.94 | 1.77 |
| Diluted EPS YoY | unavailable | −39.8% |
| net % | 4.1% | 2.6% |
| Free cash flow | 288.0 m | 268.0 m |
Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 355.0 m EUR
- Financial debt
- 1.8 bn EUR
- Net debt
- 1.4 bn EUR
- Equity
- 1.2 bn EUR
- Total assets
- 4.3 bn EUR
- Debt / equity
- 1.53x
- Current ratio
- 1.46x
- ROE
- 6.8%
- ROA
- 1.9%
- FCF margin
- 8.0%
Financial statements (source on every figure)
Revenue and net income (EUR)
Margins
Income statement · EUR
| Line | 2024 | 2025 | Source (latest year) |
|---|---|---|---|
| Revenue | 3.5 bn | 3.4 bn | esef· 04 Mar 2026verified |
| Cost of revenue | 2.6 bn | 2.6 bn | esef· 04 Mar 2026verified |
| Gross profit | 859.0 m | 772.0 m | esef· 04 Mar 2026verified |
| Research & development | 45.0 m | 39.0 m | esef· 04 Mar 2026verified |
| Operating income | 242.0 m | 223.0 m | esef· 04 Mar 2026verified |
| Pre-tax income | 200.0 m | 128.0 m | esef· 04 Mar 2026verified |
| Income tax | 46.0 m | 34.0 m | esef· 04 Mar 2026verified |
| Net income | 142.0 m | 86.0 m | esef· 04 Mar 2026verified |
| Diluted EPS | 2.94 | 1.77 | esef· 04 Mar 2026verified |
| Dividend per share | — | 0.60 | esef· 04 Mar 2026verified |
Balance sheet · EUR
| Line | 2024 | 2025 | Source (latest year) |
|---|---|---|---|
| Cash | 576.0 m | 355.0 m | esef· 04 Mar 2026verified |
| Receivables | 660.0 m | 576.0 m | esef· 04 Mar 2026verified |
| Current assets | 2.3 bn | 1.9 bn | esef· 04 Mar 2026verified |
| Property, plant & equipment, net | 1.3 bn | 1.2 bn | esef· 04 Mar 2026verified |
| Goodwill | 342.0 m | 403.0 m | esef· 04 Mar 2026verified |
| Intangibles (excl. goodwill) | 417.0 m | 540.0 m | esef· 04 Mar 2026verified |
| Total assets | 4.6 bn | 4.3 bn | esef· 04 Mar 2026verified |
| Accounts payable | 843.0 m | 757.0 m | esef· 04 Mar 2026verified |
| Short-term debt | 276.0 m | 424.0 m | esef· 04 Mar 2026verified |
| Long-term debt | 1.5 bn | 1.4 bn | esef· 04 Mar 2026verified |
| Current liabilities | 1.2 bn | 1.3 bn | esef· 04 Mar 2026verified |
| Equity | 1.4 bn | 1.2 bn | esef· 04 Mar 2026verified |
| Shares outstanding at year end | 47.2 m | 47.3 m | esef· 04 Mar 2026derived |
Cash flow · EUR
| Line | 2024 | 2025 | Source (latest year) |
|---|---|---|---|
| Operating cash flow | 433.0 m | 379.0 m | esef· 04 Mar 2026verified |
| Capex | 145.0 m | 111.0 m | esef· 04 Mar 2026verified |
| Free cash flow | 288.0 m ≈ | 268.0 m ≈ | esef· 04 Mar 2026derived |
| Investing cash flow | -154.0 m | -425.0 m | esef· 04 Mar 2026verified |
| Financing cash flow | -409.0 m | -161.0 m | esef· 04 Mar 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- indicators available: 4 of at least 6
- score weight coverage: 27.1% of at least 60%
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: unavailable
Price and reporting are in different currencies; market indicators are unavailable.
Key indicators
Coverage and freshness
Score by group
27% · Insufficient data
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 8.16 – 30.82 EUR.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (EUR per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · input data missing
- Peers: EV/EBITDAunavailable · input data missing
- Peers: P/E19.98 – 30.82 (Mid 25.53)17 companies used · median multiple 14.4x · quartiles 11.3x – 17.4x0EV1.L, ABDN.L, ABF.L, AIRE.L, AJB.L, ALFA.L, AMIF.L, APTD.L, ASHM.L, AUTO.L, BAB.L, BAG.L, BATS.L, BBY.L, BCG.L, BKG.L, BME.L
- Dividend discount (DDM)8.16 – 11.13 (Mid 9.42)
Assumptions (illustrative, editorial)
- Risk-free rate
- 3.0%
- Equity risk premium
- 5.5%
- Beta (default)
- 1.00
- Cost of equity
- 8.5%
- Terminal growth
- 2.0%
Factor scorecard
Insufficient data
Minimum-evidence gate: indicators available: 4 of at least 6; score weight coverage: 27.1% of at least 60%
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 6.4% | 25 (vs peers) | 38% |
| Net margin · Quality | 2.6% | 26 (vs peers) | 23% |
| FCF conversion · Quality | 311.6% | 100 (on a fixed band) | 23% |
| Revenue CAGR 3Y · Growth | unavailable | unavailable | — |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 1.5x | 55 (on a fixed band) | 15% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial55/100 · 1/3 factors with a value
- Growth· partialunavailable · 0/2 factors with a value
- Quality46/100 · 3/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation· partialunavailable · 0/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
RHI Magnesita N.V. (RHIM.L). Latest full fiscal year: 2025; data up to 2025-12-31.
Figures computed from the financial statements: revenue 3.4 bn EUR in 2025; YoY growth -3.5%; net margin 2.6%; ROE 7.7%.
The estimated value range is 14.07–20.97 EUR per share (median of 2 methods, agreement: low); assumptions are illustrative. The range is the median of the methods' low, central and high values, not a probability interval.
Insufficient data for a verdict (indicators available: 4 of at least 6; score weight coverage: 27.1% of at least 60%).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- FCF conversion: 311.6%
What contradicts it
- ROIC: 6.4%
- Net margin: 2.6%
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): Revenue CAGR 3Y, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, P/E (TTM), EV/EBITDA, FCF yield, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Listed companies from United Kingdom · same country · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| BATS.LBritish American Tobacco P.L.C. | 104.3 bn | 13.5 | 16.5% | 30.3% | −1.0% | +7% / +88% |
| ABF.LAssociated British Foods PLC | 14.7 bn | 14.3 | 9.2% | 5.3% | −3.1% | −5% / −15% |
| 0EV1.LCarnival PLC | 5.5 bn | 4.1 | 46.7% | 13.4% | +6.4% | unavailable / unavailable |
| BAB.LBabcock International Group PLC | 5.1 bn | 24.7 | 34.7% | 4.1% | +7.2% | −10% / +158% |
| AUTO.LAutotrader Group PLC | 4.8 bn | 16.4 | 60.2% | 47.1% | +3.9% | −13% / −23% |
| BBY.LBalfour Beatty PLC | 4.2 bn | 16.3 | 23.2% | 2.8% | +15.2% | +20% / +160% |
| ABDN.LAberdeen Group PLC | 4.1 bn | 10.8 | 8.0% | 28.9% | −2.1% | +11% / +41% |
| BKG.LThe Berkeley Group Holdings PLC | 3.6 bn | 11.3 | 8.8% | 13.4% | −4.2% | −0% / −22% |
| BME.LB&M European Value Retail PLC | 2.9 bn | 17.4 | 21.2% | 2.8% | +3.7% | +68% / −51% |
| AJB.LAj Bell PLC | 2.4 bn | 22.8 | 49.9% | 33.1% | +18.0% | +8% / +128% |
| ASHM.LAshmore Group PLC | 1.4 bn | 13.9 | 13.1% | 71.6% | −0.1% | +28% / +18% |
| BCG.LBaltic Classifieds Group PLC | 1.2 bn | 23.2 | 15.8% | 57.6% | +6.9% | −99% / −99% |
| APN.LApplied Nutrition PLC | 763.6 m | 36.2 | 41.2% | 19.7% | +24.2% | +71% / unavailable |
| BAG.LA.G. Barr P.L.C. | 671.9 m | 14.4 | 14.4% | 10.8% | +4.0% | −7% / +26% |
| ASC.LAsos PLC | 494.5 m | — | -81.3% | -12.0% | −14.7% | +71% / +8% |
| ALFA.LAlfa Financial Software Holdings PLC | 486.8 m | 16.3 | 61.5% | 23.8% | +15.3% | −28% / +10% |
| AML.LAston Martin Lagonda Global Holdings PLC | 344.3 m | — | -93.4% | -39.2% | −20.6% | −45% / −85% |
| APTD.LAptitude Software Group PLC | 111.3 m | 28.5 | 7.2% | 6.2% | −7.3% | −30% / −23% |
| AMGO.LAmigo Holdings PLC | 9.9 m | — | — | — | −81.9% | +325% / +844% |
| ASBE.LAssociated British Engineering PLC | 605.3 k | — | -19.1% | — | unavailable | unavailable / unavailable |
| AMIF.LAmicorp Fs (uk) PLC | 221.6 k | 0.1 | 27.5% | 9.1% | +8.1% | unavailable / unavailable |
| AAF.LAirtel Africa PLC | — | — | 24.1% | 10.6% | +29.5% | −7% / +164% |
| AAL.LAnglo American PLC | — | — | -19.3% | -20.2% | +4.5% | +30% / +76% |
| ACG.LAcg Metals Limited | — | — | -80.3% | -32.0% | +134.8% | +60% / +63% |
| AEP.LAnglo-Eastern Plantations PLC | — | — | 16.1% | 19.5% | +25.0% | +5% / +113% |
1- and 3-year price returns: for RHIM.L from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Scenarios are not available. input data missing
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
RHI Magnesita is a global leader in refractory materials, which are essential to heavy industries such as steel, cement and glass. In 2025 the market was hit hard by weaker industrial demand, and the company responded with efficiency measures and a much stronger second half. Management expects profitability to grow in 2026, conditional on a gradual market recovery.
SWOT
Strengths
- Global leader in a fragmented market, with geographically diversified operations and backward integration that lowers raw material costs.
- The 4PRO offer and digital service capabilities differentiate the company and support long-term customer relationships.
- Solid operating cash flow that allows debt reduction and support for the dividend.
Weaknesses
- High indebtedness after acquisitions, which limits financial flexibility during a period of weak demand.
- High exposure to the steel and glass sectors, with cyclical demand and limited order visibility.
- Internal control and systems integration after acquisitions are still being standardised, according to the annual report.
Opportunities
- A recovery in industrial production or reforms in China could materially improve backward integration margins.
- Consolidating the fragmented market through acquisitions could bring cost and market share synergies.
- Environmental and trade regulations in the EU and Brazil could support local refractory demand.
Threats
- Global overcapacity and Chinese exports could keep pressure on prices.
- Trade measures and tariffs could disrupt supply chains and cross-border costs.
- Currency volatility could reduce results reported in euro.
Risks
- Macroeconomic and geopolitical environmenthigh
Global uncertainty could postpone new industrial investments and furnace repairs, reducing volumes.
- Ability to raise priceshigh
Competition in regions with overcapacity could prevent price increases to customers.
- Supply chainmedium
Trade restrictions and tariffs could affect the flow of raw materials and finished products.
- Acquisition integrationmedium
Integrating Resco and other assets could delay synergies and require additional resources.
- Environmental and safety risksmedium
Health and safety incidents and decarbonisation requirements could generate unforeseen costs.
Investment thesis
What would need to be true (bull case)
- The efficiency gains in the second half of 2025 show that cost programmes can support better margins even before a market recovery.
- The global leadership position and backward integration could bring significant advantages if the market recovers.
- The 4PRO offer and recycling initiatives could create more stable revenues than standard products.
What would break the thesis
- Industrial demand could stay weak longer than expected, which could delay the improvement in results.
- High indebtedness could limit the ability to invest and support the dividend in difficult periods.
- Overcapacity and price competition could prevent margin expansion even if volumes grow.
What to watch
- Delivery of adjusted EBITA guidance of around 400 to 435 million EUR2026
- Development of order visibility in industrial projectssecond half of 2026
- Reduction of net debt and leveragenext 10-K
- Effects of EU and Chinese trade measures on local demand2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
RHI Magnesita produces and supplies refractory materials, which withstand extreme temperatures and are used in the furnaces and industrial installations of customers in steel, cement, lime, glass and non-ferrous metals. The company integrates backward into raw material production, which gives it competitive costs. Its 4PRO model combines refractory products with services, automation, digital monitoring and decarbonisation solutions, aiming for long-term customer relationships. The Resco acquisition, completed in January 2025, strengthened its North American position 1.
Segments
Refractories
Refractories are the company's core business and are directly tied to the level of global industrial production. According to the company, refractory margins have doubled over the past nine years 1.
Backward integration and recycling
Backward integration, including raw material production and recycling of used refractories, could support long-term margins, especially if reforms in China take place. The company says it is the largest low-cost raw material producer outside China 1.
4PRO solutions
The 4PRO offer sells customers integrated packages of products, installation, maintenance and performance-based monitoring services. The stated aim is to stabilise margins during raw material price volatility, although success depends on winning new contracts 1.
Market context
Global refractory demand fell in 2025 due to weak industrial activity, postponed furnace repairs and deferred investment in metals and industry. Capacity exceeds demand in all regions, and high Chinese refractory exports have pressured prices. The company says visibility on industrial projects could improve only in the second half of 2026 at the earliest 1.
The market is fragmented, which gives the company consolidation opportunities through acquisitions. Regulatory measures in the European Union, Brazil and China could support local demand, but management does not expect material effects before 2027 1.
Trends
- Lower steel productionheadwind
Global steel end-markets are at cyclical lows, and the current order book shows no near-term demand recovery. This reduces refractory volumes used by steel customers.
- Trade and environmental measurestailwind
Reduced duty-free steel import quotas in the EU, activation of the Carbon Border Adjustment Mechanism and Chinese export licensing could support local production and refractory demand after 2027.
- Recycling and decarbonisationtailwind
Customers in hard-to-abate industries seek low-CO2 solutions. Refractory recycling and the carbon capture and utilisation project could open new business lines.
- Price and currency pressuremixed
Competitive price pressure and the weaker US dollar against the euro weighed on results, especially in North America. The currency effect could keep reducing reported profit in euro.
- Cost efficiencytailwind
Plant network optimisation, operational excellence and shared services programmes delivered savings that could support margins if volumes recover.
Competitive position
The refractory market is fragmented, with many regional producers and a few global players. Competition comes mainly from Chinese producers, which export heavily and influence prices, and from new capacity investments in India and the META region. The company differentiates through backward integration, 4PRO services and global coverage 1.
The company's differentiation depends on offering complete solutions rather than products alone. The 4PRO strategy aims to protect market share in highly competitive regions without sacrificing pricing discipline 1.
- Chinese refractory producers
High Chinese exports are cited as a source of price pressure, with no single listed competitor identified.
- Local producers in India and META
New capacity in these regions is seen by the company as a factor that could worsen the supply-demand balance.
- Fragmented regional suppliers
Many small regional producers compete in local markets, and their consolidation is an acquisition opportunity.
- Integrated solution providers
Companies offering engineering and installation services can compete with the 4PRO offer but are less geographically diversified.
News & filings
In the press
- Vesuvius Surges After Cash-and-Shares Bid From RHI MagnesitaBloomberg Markets · 29 Sept 2026 · EN
Annual reports (ESEF)
- Annual report 202504 Mar 2026
- Annual report 202504 Mar 2026
Sources
- [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / RHI Magnesita N.V. · 31 Dec 2025
Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.