Materials German Community

Positive Factors for the next 5years: * Reduced Inflation: Lower inflation generally improves business conditions. It reduces input costs for steel production, potentially increasing profit margins.

Europe's steel demand during next 5y will rise significantly (20% CAGR) due to increased spending on defense automotive & housing revovery (2026 onwards) Ukraine's "Marshall plan" climate related infrastructure spending Energy costs in Germany to stabilize and drop due to combination of Global oversupply in major Energy related commodities, "Energie wende 2030" and to be elected (Feb25) more pro business oriented Govt. Soon to be cancelled Nippon's M&A of US Steel ($14bn deal) will provide additional valuation updrift for TKA being identifiend by us as the best / most attractive M&A target in Europe's steel business (with robust&healthy B/S).

Key Takeaways Strong infrastructure investment and support for low-CO₂ steel production position Salzgitter to benefit from rising demand and margin expansion. Active cost management, digitalization, and a favorable shift in product mix are set to drive higher-quality, resilient earnings growth.

Key Takeaways Successful cost savings and portfolio transformation initiatives are boosting profitability, improving margins, and enhancing future earnings potential through strategic divestitures. Emphasis on cash flow improvement and debt reduction, supported by new credit facilities, could enhance free cash flow and decrease financial leverage.

Key Takeaways Regulatory and environmental pressures, along with aging assets, will drive up costs and threaten profitability. Market shifts toward sustainable agriculture and rising global competition risk eroding demand, sales volumes, and pricing power.

Key Takeaways Rising regulatory costs, copper substitution, and supply chain volatility threaten margins and long-term revenue growth. Heavy investment needs and recycling reliance risk prolonged cash flow pressures and lower returns amid technological and market shifts.

Key Takeaways Growing global protectionism and regulatory pressures threaten export revenue, raise compliance costs, and compress margins. Heavy reliance on cyclical polysilicon, commoditization by competitors, and high capital needs constrain profitability and the capacity for innovation.

Key Takeaways Anticipated potash demand and strategic production adjustments promise to enhance revenue and improve net margins. Expected pricing and capacity growth, alongside salt business improvements, could bolster earnings stability and future growth.

Key Takeaways Stricter emissions policies and rising input costs will squeeze margins, increase earnings volatility, and force accelerated spending on decarbonization initiatives. Shifting demand toward greener construction materials and slow progress in innovation threaten revenue growth, market share, and competitive positioning.