Stalprofil increases deliveries, foresees 2026 market recovery
Domestic demand boosted Polish steel distributor and gas pipeline contractor Stalprofil’s first-half-of-2025 deliveries, but increased costs ate into profit.
The firm’s consolidated revenue surged 60% on-year in H1 to PLN 1.18 billion ($314.7 million) but net profit slumped 43% to PLN 7m due to higher cost of goods sold and cost of materials. Domestic sales share in revenue rose 5 percentage points to 95.1% and exports share halved to 4.9%.
Exports were impacted by weak demand and falling steel prices in Europe, as well as the strong zloty against the euro.
“The announced expansion of infrastructure projects in the second half of 2025 should increase demand for steel, especially bars, pipes, sheets, and sections. However, only in 2026 will the steel market be able to count on a more noticeable demand impulse,” Stalprofil notes in its latest earnings report seen by Kallanish.
Steel products sales rose 25% on-year in H1 to 139,703 tonnes, with steel structures sales flat at 1,080t.
Pipe insulation sales, falling under the firm’s gas transmission network infrastructure segment, soared 180% to 1.18 million square metres. During this period, the group began implementing contracts signed in 2024 for the construction of gas pipelines.
Polish pipemaker Ferrum and ArcelorMittal were the group’s largest suppliers, while Ferrum was also its largest customer, followed by gas network operator Gaz-System.
Adam Smith Austria
