Mayr-Melnhof Group reported first-half 2026 adjusted EBITDA of €200.2 million, a 6.5% increase from the second half of 2025, as cost-cutting measures partially offset pricing pressure and volume declines. Sales fell 4.7% year-over-year to €1.85 billion on a like-for-like basis, excluding the divested TANN business.
The packaging group’s adjusted EBITDA margin expanded to 10.8%, up 14 basis points from the prior year and 70 basis points sequentially. Operating cash flow recovered to €145.1 million from a negative €95.6 million in H1 2025, while free cash flow turned positive at €37 million, compared with a negative €194.1 million a year earlier. Net debt totaled €945.2 million, leaving the leverage ratio at 2.4 times adjusted EBITDA, within the company’s 2.0–2.5x target range.
The company’s “Fit-For-Future” cost-reduction program delivered €105 million in EBITDA improvements during the first half, exceeding expectations. Management raised the cumulative target to more than €330 million by 2027, up from the prior goal of over €250 million. The program contributed €102 million in H1 2026, with another €100 million expected in the second half and €60 million in 2027.
Division performance varied. Pharma & Healthcare Packaging EBITDA rose 14% to €45.6 million, with margins expanding 180 basis points to 14.3%. Food & Premium Packaging EBITDA increased 1% to €97.9 million, though volumes declined 7.1% to 1,019 million square meters. Board & Paper EBITDA fell 19% to €56.8 million, reflecting weaker pricing that management estimated reduced results by roughly €70 million year-over-year. Folding cartonboard volumes rose 3.1% to 936,000 tonnes, with capacity utilization at 87%.
Capital expenditure plans include a €100 million upgrade at the Kwidzyn mill in Poland, scheduled for autumn 2026, aimed at boosting annual operating profit by about €30 million starting in 2027. Additional investments of €24 million are planned in Romania and €20 million in the United States. The company also reached an agreement to acquire Reno de Medici’s Arnsberg board mill, pending approvals, with synergies expected in 2027 and 2028.
Mayr-Melnhof’s shares fell 3.09% to $78.30 following the presentation, leaving the stock about 23.5% below its 52-week high of $102.40 and 12.3% above its 52-week low of $69.70. Third-quarter operating profit is expected to be pressured by annual maintenance standstills at Kwidzyn and Kotkamills, reducing profit by roughly €35 million.
