Wienerberger strengthens its position in infrastructure and renovation – Q2 2026 results

Despite ongoing global macroeconomic challenges, Wienerberger achieved, according to a press release dated 12 August, solid results in Q2 26 by continuing to increase its exposure to less cyclical markets, especially infrastructure and renovation, where demand remains resilient. This offset much of the unexpectedly weak demand in residential new-build markets, especially in the United States, Canada and the UK. Revenue increased by 13 percent year-on-year to 1.4 billion euro (Q2 25: 1.2 billion euro), supported by 7 percent organic growth and a 6 percent contribution from M&A, while operating EBITDA reached 230 million euro (Q2 25: 253 million euro).

Gerhard Hanke, Interim CEO and COO Central & East of Wienerberger: “We have shifted the majority of our business toward structurally resilient renovation and infrastructure markets by executing the largest portfolio transformation in Wienerberger’s history. Although the anticipated recovery in residential new-build markets did not materialize as expected, our strategic shift is proving its value. Through the acquisition of Italcer and targeted investments in roofing and infrastructure, more than 60 percent of our revenue is now generated from these resilient segments, underscoring the success of our strategy and strengthening our ability to deliver sustainable growth.” 

Resilient demand in renovation and infrastructure – declines in individual residential new-build markets

End markets showed significant differences in residential new-build activities. In particular, demand remained below expectations in the United States, Canada, and the UK, as elevated financing costs continued to weigh on investment decisions by both developers and private homeowners. Since these adverse effects have not been counteracted by public stimulus measures, the expected demand recovery did not materialize. However, infrastructure and renovation continued to outperform residential new-build construction.

In Continental Europe, infrastructure and renovation remained resilient. Roofing activities benefited from the decarbonization of the aging housing stock and the resulting renovation spending across most European markets. Piping solutions also recorded solid demand driven by the European water resilience strategy and investments in upgrading European power grids.

Targeted acquisitions drive the transformation of our portfolio

Following its value-accretive growth strategy, Wienerberger has continued its transformation towards resilient, less cyclical end markets with solid demand. A key milestone was the acquisition of a majority stake in Italcer in April 2026, an Italian specialist in ceramic wall and floor tiles. Its significant contribution to revenue and EBITDA is, states the company, in line with Wienerberger’s expectations, as the company is successfully managing volatility in markets such as North America and the Middle East. Beyond its financial contribution, Italcer reinforces Wienerberger’s strategic positioning as a provider of innovative and sustainable building solutions for renovation markets.

In infrastructure, Wienerberger has also increased its position with acquisitions such as the NEWS group in April 2026, a leading provider of sustainable wastewater solutions in Sweden and the broader Nordic region. Growth there has been driven by climate adaptation, urbanization and investments in utility networks. These and other strategic investments, such as the acquisition of roofing-expert Terreal in 2024, have increased Wienerberger’s revenue share from structurally resilient infrastructure and renovation markets to over 60 percent.

Financial performance in the second quarter of 2026

Operating EBITDA reached 230 million euro (Q2 25: 253 million euro) corresponding to an operating EBITDA margin of 16.3 percent (Q2 25: 20.3 percent). Key drivers for the decline in operating profit were weaker-than-expected residential new-build activity, particularly in North America and the UK, and elevated cost inflation resulting from geopolitical conflicts. Profit/loss after tax amounted to 31 million euro (Q2 25: 103 million euro), resulting in earnings per share of 0.28 euro (Q2 25: 0.93 euro).

The company’s free cash flow totaled 83 million euro in Q2 26 (Q2 25: 124 million euro), primarily reflecting higher working capital requirements following the acquisition of Italcer. Net debt stood at 2.4 bn euro as of June 30, 2026 (June 30, 2025: 2.0 bn euro).

Fit for Growth initiatives against market weakness

Wienerberger has intensified its Fit for Growth programs, focusing on optimization and efficiency activities across operating costs, capital expenditure and working capital management. By maintaining capital discipline, the company expects to further accelerate incremental cash savings during the rest of 2026, preserving strategic flexibility for future growth opportunities.

Regional Developments H1 2026

The region Europe West delivered a resilient performance, supported by its balanced exposure to infrastructure and renovation markets. Infrastructure demand remained particularly strong, driven by investments in water and wastewater networks, power-grid modernization and climate-adaptation projects. Renovation activity was stable to positive and broadly in line with expectations across the region. In contrast, residential new-build construction declined in the UK, but also remained below expectations in Germany and France due to affordability pressures and cautious investment sentiment.

After a weather-related slow start to the year, Europe East showed gradually improving market conditions in Q2 26. Recovery gained momentum in several Central and Eastern European markets, particularly in Poland and the Czech Republic, supported by stronger permitting activity, improving financing conditions and infrastructure investments. Infrastructure demand remained stable across the region, driven by investments in water, wastewater and utility networks.

The region North America faced challenging market conditions with residential new-build activity declining in both the United States and Canada due to elevated mortgage rates, affordability pressures and economic uncertainty. Infrastructure markets proved more resilient, supported by ongoing investments in water distribution, wastewater systems and utility-network modernization, but faced a highly competitive pricing environment.

Legal Settlement

In July 2026, Pipelife Jet Stream, Inc., a U.S.-based subsidiary of Wienerberger, agreed to settle three antitrust class action lawsuits in the United States for a total of 52.4 million US dollars, subject to final court approval. The settlement does not constitute an admission of liability and will fully resolve all civil claims against the company in these proceedings. The payment is expected in 2026 and will be reported as a one-off item affecting reported EBITDA only, with no impact on operating EBITDA.

Outlook

Based on current market conditions, Wienerberger expects infrastructure and renovation activities as well as the contribution from acquisitions to continue performing broadly in line with the assumptions underlying the Group’s guidance at the beginning of the year. Furthermore, management has acted decisively to mitigate short-term volatility in input costs, particularly plastic granulate, logistics and energy, and has implemented targeted pricing and efficiency measures to mitigate cost inflation.

Given persistent affordability constraints, elevated financing costs, and continued geopolitical uncertainty, Wienerberger expects new residential construction activity to remain subdued over the coming quarters. This is expected to adversely impact the Group’s EBITDA by approximately 100 million euro in 2026 compared with the assumptions underlying the Group’s initial guidance for 2026, of which around 40 million euro was incurred in the first half of the year. As a result, the Group expects operating EBITDA to amount to 700 million euro.

Wienerberger will continue its transformation towards less cyclical, resilient markets combined with disciplined cost management and ongoing efficiency measures. Amid continuous market volatility, these measures will provide a solid foundation to navigate the current market environment and support long-term value creation