NE BUSINESS BUREAU
LUXEMBOURG, NOV 5
ArcelorMittal has demonstrated that a stronger asset portfolio, disciplined capital allocation and strategic investments can deliver a structural improvement in earnings power, even amid geopolitical disruptions and cost pressures. The world’s leading integrated steel and mining group reported a 34% year-on-year jump in third-quarter EBITDA to $2.02 billion on Thursday, with profitability per tonne rising significantly, reinforcing its confidence in sustained growth across key markets.
- Profitability gains momentum: Third-quarter EBITDA rises 34% year-on-year to $2.02 billion, with EBITDA per tonne climbing to $155, up $44.
- Adjusted earnings strengthen: Adjusted net income increases to $868 million against $474 million a year ago, despite a reported quarterly net loss.
- Nine-month performance remains robust: EBITDA reaches $5.77 billion, while adjusted net income stands at $2.13 billion for January-September 2026.
- India venture delivers: AMNS India records 3.4% growth in quarterly EBITDA to $266 million, with nine-month shipments touching a record 5.9 million tonnes.
- Growth investments gather pace: Strategic projects are expected to unlock approximately $1.8 billion in additional EBITDA potential from 2026 onwards.
- Shareholder value gets a boost: The company returns $1.1 billion to shareholders during the first nine months, while reducing its fully diluted share count by approximately 39% since September 2020.
Announcing its financial results for the three and nine months ended September 30, 2026, the Luxembourg-headquartered company reported third-quarter sales of $16.47 billion, compared with $15.66 billion in the corresponding quarter last year. EBITDA per tonne improved to $155 from $111, reflecting stronger operating fundamentals, optimised assets and the contribution of strategic growth investments.
For the nine-month period, EBITDA increased to $5.77 billion from $4.95 billion a year earlier. Adjusted net income stood at $2.13 billion, while adjusted basic earnings per share came in at $2.80.
However, the reported third-quarter results included a net loss of $391 million, primarily due to $852 million in impairment charges and $293 million in exceptional charges associated with the decision to idle ArcelorMittal Kryvyi Rih in Ukraine following multiple missile strikes. Excluding these items and related tax impacts, adjusted net income rose to $868 million from $474 million in Q3 2025.
Commenting on the performance, Chief Executive Officer Aditya Mittal said:
“Our third quarter performance provides further evidence of the structural improvement in ArcelorMittal’s earnings capacity. We continue to generate healthy margins, with EBITDA per tonne of $155 ($44 higher year-on-year) reflecting the benefits of the actions we have taken over several years to enhance our asset portfolio and invest in strategic growth.”
European recovery gains traction
An important development is the early impact of enhanced European Union steel trade measures. Reduced import penetration and improving order books are helping restore domestic capacity utilisation. ArcelorMittal reported a 1.1% sequential increase in European flat steel shipments in Q3, countering normal seasonal trends.
Following implementation of the new tariff-rate quota (TRQ) framework, the company has brought all its European blast furnaces back into operation. It expects fourth-quarter flat steel shipments in Europe to register double-digit year-on-year growth.
Mittal said: “The implementation of the CBAM and new TRQ framework are creating a more balanced and sustainable operating environment for the European steel industry, supporting higher capacity utilization and profitability over time.”
India JV adds to growth momentum
ArcelorMittal Nippon Steel India (AMNS India), in which ArcelorMittal holds a 60% equity interest, reported third-quarter EBITDA of $266 million, up 3.4% from $257 million in the preceding quarter. Nine-month EBITDA increased to $718 million from $518 million in the corresponding 2025 period.
Steel shipments reached 5.9 million tonnes during the first nine months, a record for the period. The company’s ambitious expansion roadmap envisages capacity exceeding 40 million tonnes annually by 2040, supported by the Hazira expansion and proposed greenfield development in Andhra Pradesh.
Growth, cash generation and shareholder returns
The company’s strategic growth projects and completed acquisitions are expected to contribute approximately $1.8 billion in additional EBITDA potential from 2026 onwards. These include investments in Liberia’s iron ore operations, electrical steel, low-carbon steelmaking and capacity expansion in India.
Capital expenditure guidance for 2026 remains unchanged at $4.5 billion-$5 billion, including $1.7 billion-$1.9 billion in strategic investments.
The group generated $0.5 billion in underlying free cash flow during the first nine months, excluding a temporary $2.5 billion working-capital investment. Much of this investment is expected to unwind in Q4, supporting improved cash generation.
Net debt stood at $10.3 billion at September-end, while liquidity remained healthy at $8.7 billion.
The company returned $1.1 billion to shareholders through dividends and share buybacks during the nine-month period. Its share buyback programmes have reduced the fully diluted share count by approximately 39% since September 2020.
Reaffirming his confidence in the road ahead, Mittal said: “Looking ahead, we remain very positive. The full benefit of the changes taking place in Europe will be fully reflected from next year onwards.”
He added that strategic growth projects remained a key differentiator, providing a visible pathway to higher earnings and cash generation, while reinforcing the group’s prospects for profitable growth and long-term value creation.
Safety and sustainability remain central
The group also reported measurable progress in workplace safety. Its lost-time injury frequency rate improved to 0.57 in the first nine months of 2026, compared with 0.68 in the corresponding period last year.
Meanwhile, European electric-arc furnace projects at Gijón, Sestao and Dunkirk are advancing, with approximately 3.9 million tonnes of additional EAF capacity expected by 2029, supporting the company’s decarbonisation ambitions.
For ArcelorMittal, the latest results underline a strategic shift towards higher-margin products, stronger regional manufacturing platforms and sustainable returns, positioning the group to capitalise on the next phase of global steel demand.