Q3 2025 Amrize AG Earnings Call

October 29, 2025

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Operator: Remarks, at which time you will be given instructions for the question and answer session. As a reminder, this conference is being recorded today. If you have any objections, please disconnect at this time. I will now turn the call over to Scott Einberger, Investor Relations Officer for Amrize.

As a reminder, this conference is being recorded today. If you have any objections. Please disconnect at this time I will now turn the call over to Scott I'm by that Investor Relations officer for them right.

Thank you and good morning, welcome to <unk> third quarter 2025 earnings Conference call.

Scott Einberger: Thank you and good morning. Welcome to Amrize's Q3 2025 Earnings Conference Call. We released our Q3 financial results yesterday after the market closed. You can find both our earnings release and presentation for today's call in the investor relations section of our website at investors.amrize.com. On the call with me today are Jan Jenisch, our Chairman and CEO, and Ian Johnston, our CFO. Jan will open today's call with highlights from our Q3 results and the growth investments we are making in our business. Ian will review our financial performance for the quarter and provide an update on our ASPIRE program before turning the call back to Jan to discuss our outlook for the remainder of the year. We will take your questions.

We released our third quarter financial results yesterday after the market closed.

Can find both our earnings release and presentation for today's call in the Investor Relations section of our website at investors that AMRI as dot com.

On the call with me today are Jan <unk>, our chairman and CEO and Ian Johnston our CFO.

John will open todays call with highlights from our third quarter results and the growth investments, we are making in our business.

Ian will then review our financial performance for the quarter and provide an update on our project aspire synergy program before turning the call back to Jan to discuss our outlook for the remainder of the year.

We will then take your questions.

Before we begin during the call and in our slide presentation, we reference certain non-GAAP financial measures, which we believe provide useful information for investors. We include reconciliations of non-GAAP financial measures to GAAP in our earnings release and slide presentation.

Operator: will mark at which time you will be given instructions for the question and answer session. Also, as a reminder, this conference is being recorded today. If you have any objections, please disconnect at this time. I will now turn the call over to Scott Einberger, Investor Relations Officer for Amrize Ltd.

Scott Einberger: Before we begin, during the call and in our slide presentation, we reference certain non-GAAP financial measures which we believe provide useful information for investors. We include reconciliations of non-GAAP financial measures to GAAP in our earnings release and slide presentation. As a reminder, today's call is being webcast live and recorded. A transcript and recording of this conference call will be posted to our website. Any statements made about future results and performance, plans, expectations, and objectives are forward-looking statements. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ from those presented during the call due to various factors, including, but not limited to, those discussed in our Form 10 filings and in other reports filed with the SEC. The company disclaims any undertaking to publicly update or revise any forward-looking statements.

As a reminder, today's call is being webcast live and recorded.

Scott Einberger: Thank you and good morning. Welcome to Amrize Ltd's third quarter 2025 earnings conference call. We released our third quarter financial results yesterday after the market closed. You can find both our earnings release and presentation for today's call in the Investor Relations section of our website at investors.amrize.com. On the call with me today are Jan Jenisch, our Chairman and CEO, and Ian Johnston, our CFO. Jan will open today's call with highlights from our third quarter results and the growth investments we are making in our business. Ian will then review our financial performance for the quarter and provide an update on our Project Aspire Synergy program before turning the call back to Jan to discuss our outlook for the remainder of the year. We will then take your questions.

A transcript and recording of this conference call will be posted to our website.

Any statements made about future results and performance plans expectations and objectives are forward looking statements. These forward looking statements are subject to risks and uncertainties that could cause actual results to differ from those presented during the call due to various factors, including but not limited to.

Those discussed in our form 10 filings and in other reports filed with the SEC. The company disclaims any undertaking to publicly update or revise any forward looking statements.

With that I will now turn the call over to Jan.

Thank you Scott and thank you all for joining us today for our third quarter earnings call. It.

Scott Einberger: With that, I will now turn the call over to Jan.

Jan Jenisch: Thank you, Scott, thank you all for joining us today for our Q3 earnings call. It is our first full quarter operating as Amrize, we made progress across our businesses, I'd like to thank our 19,000 teammates who are serving our customers across all of our markets. Together, we delivered strong revenue growth of 6.6%, driven by continued infrastructure demand and an improving commercial market. Our building materials business had strong volumes and positive, we achieved very positive aggregates pricing, while a temporary equipment outage in our cement network resulted in higher costs for the quarter. Our building envelope business delivered substantial margin expansion driven by operational efficiencies and lower raw material costs. We generated strong free cash flow of $674 million, up $221 million from prior year.

It is our first full quarter operating as Mris, and we made progress across our businesses and I would like to thank our 19000 teammates was serving our customers across all of our markets.

Scott Einberger: Before we begin, during the call and in our slide presentation, we reference certain non-GAAP financial measures, which we believe provide useful information for investors. We include reconciliations of non-GAAP financial measures to GAAP in our earnings release and slide presentation. As a reminder, today's call is being webcast live and recorded. A transcript and recording of this conference call will be posted to our website. Any statements made about future results and performance, plans, expectations, and objectives are forward-looking statements. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ from those presented during the call due to various factors, including but not limited to those discussed in our Form 10 filings and in other reports filed with the SEC. The company disclaims any undertaking to publicly update or revise any forward-looking statements.

Together, we delivered strong revenue growth of six 6% driven by continued infrastructure demand.

And an improving commercial market.

Our building materials business has strong volumes.

And positive and we achieved very positive aggregates pricing, while temporary equipment outage in our cement network resulted in higher costs for the quarter.

Our building envelope business delivered substantial margin expansion, driven by operational efficiencies and lower raw material costs.

We generated strong free cash flow of $674 million up 221 million from prior year.

Building on our progress in the third quarter, we are raising our revenue guidance for 2025, and we are confirming our EBITDA and net leverage ratio guidance.

Scott Einberger: With that, I will now turn the call over to Jan.

Jan Jenisch: Building on our progress in Q3, we are raising our revenue guidance for 2025, and we are confirming our EBITDA and net leverage ratio guidance. Let us turn to the financials. We had strong revenue performance driven by volume growth across the business from cement, aggregates, and ready-mix concrete to commercial roofing. Several positive developments contributed to our margins, including operational efficiencies in building envelope and strong aggregates and residential roofing pricing. Within building materials, the temporary equipment outage in our cement network affected our margins. During this time, we leveraged the strength of our footprint and network to continue serving our customers without disruption, which resulted in higher costs. We've now completed the equipment repair and all of our plants are operating as normal. We also had a material asset sale in Q3 of last year, which impacted the year-over-year adjusted EBITDA comparison.

Jan Jenisch: Thank you, Scott, and thank you all for joining us today for our third quarter earnings call. It is our first full quarter operating as Amrize, and we made progress across our businesses. I'd like to thank our 19,000 teammates who are serving our customers across all of our markets. Together, we delivered strong revenue growth of 6.6%, driven by continued infrastructure demand and an improving commercial market. Our building materials business had strong volumes and positive, and we achieved very positive aggregates pricing, while a temporary equipment outage in our cement network resulted in higher costs for the quarter. Our building envelope business delivered substantial margin expansion, driven by operational efficiencies and lower raw material costs. We generated strong free cash flow of $674 million, up $221 million from prior year.

Let us turn to the financials, we had strong revenue performance driven by volume growth across the business from cement aggregates and ready mix concrete to commercial roofing.

Several positive developments contributed to our margins.

Including operational efficiencies and building envelope and strong aggregates and residential roofing pricing.

We've been building materials, the temporary equipment outage in our cement network affected our margins.

During this time, we leverage the strength of our footprint and network to continue serving our customers without disruption.

Which resulted in higher costs.

We've now completed the equipment repair.

And all of our plants are operating as normal.

We also had a material asset sale in the third quarter of last year, which impacted the year over year adjusted EBITDA comparison.

Jan Jenisch: Building on our progress in the third quarter, we are raising our revenue guidance for 2025, and we are confirming our EBITDA and net leverage ratio guidance. Let us turn to the financials. We had strong revenue performance driven by volume growth across the business from cement, aggregates, and ready-mix concrete to commercial roofing. Several positive developments contributed to our margins, including operational efficiencies in building envelope and strong aggregates and residential roofing pricing. Within building materials, the temporary equipment outage in our cement network affected our margins. During this time, we leveraged the strength of our footprint and network to continue serving our customers without disruption, which resulted in higher costs. We've now completed the equipment repair, and all of our plants are operating as normal. We also had a material asset sale in the third quarter of last year, which impacted the year-over-year adjusted EBITDA comparison.

Looking to the market environment.

Our commercial customers have shown early signs of improvement.

Jan Jenisch: Looking to the market environment, our commercial customers have shown early signs of improvement. It's led by strong demand for data centers and energy projects. This is also reflected in the latest Dodge Construction Starts report, which shows new commercial construction starts are up 6.8% over the last 12 months. In infrastructure, demand continues to be steady, with federal, state, and local authorities prioritizing modernization strategies. Within residential, new construction remains soft and a mild storm season affected repair and refurbishment demand negatively. Looking to the future, we see strong long-term demand ahead of Amrize. As interest rates decline, we expect pent-up demand to unwind and construction activity to accelerate in both the commercial and the residential sectors. Megatrends including infrastructure, modernization, onshoring of manufacturing, data center expansion, and the need to bridge the housing gap will drive our long-term growth.

It's led by strong demand for data centers and energy projects.

This is also reflected in the latest Dodge construction starts report, which shows new commercial construction starts are up six 8% over the last 12 months.

In infrastructure.

Demand continues to be steady with federal state and local authorities prioritizing modernizations budgets.

Within residential.

New construction remains soft and a milestone season effected repair and refurbishment demand negatively.

Looking to the future we see strong long term demand ahead of mris.

As interest rates decline.

We expect pent up demand to unwind and construction activity to accelerate in both the commercial and the residential sectors.

Mega trends, including infrastructure modernization onshoring of manufacturing data center expansion and the need to bridge the housing gap will drive our long term growth.

Jan Jenisch: Looking to the market environment, our commercial customers have shown early signs of improvement. It's led by strong demand for data centers and energy projects. This is also reflected in the latest Dutch construction starts report, which shows new commercial construction starts are up 6.8% over the last 12 months. In infrastructure, demand continues to be steady, with federal, state, and local authorities prioritizing modernization strategies. Within residential, new construction remains soft, and a milestone season affected repair and refurbishment demand negatively. Looking to the future, we see strong long-term demand ahead of Amrize. As interest rates decline, we expect pent-up demand to unwind and construction activity to accelerate in both the commercial and the residential sectors. Megatrends, including infrastructure modernization, onshoring of manufacturing, data center expansion, and the need to bridge the housing gap, will drive our long-term growth.

We are uniquely positioned across the infrastructure commercial and residential construction.

Jan Jenisch: We are uniquely positioned across infrastructure, commercial, and residential construction with around an even split between new build and repair and refurbishment. Let's look at our investments. We continue to invest and execute on our key organic growth projects. In Q4, we will complete the expansion of our flagship Cen-Gen plant, adding production capacity and improving efficiency at North America's largest and market-leading cement plant. We are on track with our new state-of-the-art Malarkey Shingle factory in Indiana, and we are progressing with the expansion of our Saint-Constant Cement plant in Quebec. In Q3, we kicked off several additional projects in key markets. In the Great Lakes region, we are expanding our aggregates production to meet customer demand. We are increasing production and improving efficiencies at our cement plant in Midlothian, Texas, to serve the Dallas-Fort Worth market.

With around an even split between new build and repair and refurbishment.

Okay.

Let's look at our investments.

We continue to invest and execute on our key organic growth projects.

In the fourth quarter, we will complete the expansion of our flagship flagship Syngenta plant, adding production.

Capacity and improving efficiency at north America's largest and market leading cement plants.

We are on track with our new state of the art Malarkey Shingle factory in Indiana, and we are progressing with the expansion of our St <unk> cement plant in Quebec.

In the third quarter, we kicked off several additional projects in key markets.

And the Great Lakes region, we are expanding our aggregate production to meet customer demands.

And we are increasing production and improving efficiencies at our cement plant in Midlothian, Texas to serve the desk Fort worth market.

Jan Jenisch: We are uniquely positioned across infrastructure, commercial, and residential construction, with around an even split between new build and repair and refurbishment. Let's look at our investments. We continue to invest and execute on our key organic growth projects. In the fourth quarter, we will complete the expansion of our flagship St. John cement plant, adding production capacity and improving efficiency at North America's largest and market-leading cement plant. We are on track with our new state-of-the-art Malaki Shingle Factory in Indiana, and we are progressing with the expansion of our San Constance plant in Quebec. In the third quarter, we kicked off several additional projects in key markets. In the Great Lakes region, we are expanding our aggregates production to meet customer demand, and we are increasing production and improving efficiencies at our cement plant in Midlothian, Texas, to serve the Dallas-Fort Worth market.

In <unk>, Canada.

We are expanding to serve the Calgary in Western Canada market.

Jan Jenisch: In Exshaw, Canada, we are expanding to serve the Calgary and Western Canada market. We will continue accelerating our organic growth investments to build on our market-leading positions and best serve our customers. I'd like to share some project highlights from Q3. In Louisiana, we won another data center project to supply 100,000 tons of cement. This is just one of 25 data center projects we have underway in 2025 as the AI boom continues to fuel construction growth. In Ontario, we are delivering ready-mix concrete and aggregates to help build a new battery plant. One of many examples of how advanced manufacturing and onshoring trends are driving construction growth. Our roofing team completed a large project for a new school outside of Houston, and we have many similar projects across building envelope, helping to build strong communities.

He will continue accelerating our organic growth investments to build on our market leading positions and best serve our customers.

I'd like to share some project highlights from the third quarter.

In Louisiana, we want another data center project to supply 100000 tons of cement.

This is just one of 25 data center projects, we have underway in 2025 as the AI boom continues to fuel construction growth.

In Ontario, we are delivering ready mix concrete and aggregates to help build a new battery plant.

One of many examples of how advanced manufacturing and onshoring trends are driving construction growth.

Our roofing team completed a large project for a new school outside of Hughes.

And we have many similar projects across building envelope, helping to build strong communities.

To support a massive new LNG plant in Louisiana, we are providing over 75000 tons of cement and over 1 million tons of aggregates.

Jan Jenisch: In Exshaw, Canada, we are expanding to serve the Calgary and Western Canada market. We will continue accelerating our organic growth investments to build on our market-leading positions and best serve our customers. I'd like to share some project highlights from the third quarter. In Louisiana, we won another data center project to supply 100,000 tons of cement. This is just one of 25 data center projects we have underway in 2025 as the AI boom continues to fuel construction growth. In Ontario, we are delivering ready-mix concrete and aggregates to help build a new battery plant. One of many examples of how advanced manufacturing and onshoring trends are driving construction growth. Our roofing team completed a large project for a new school outside of Houston, and we have many similar projects across building envelope, helping to build strong communities.

Jan Jenisch: To support a massive new LNG plant in Louisiana, we are providing over 75,000 tons of cement and over 1 million tons of aggregates as energy projects continue to drive demand. All these strong commercial projects reflect the mega trends underpinning long-term growth in the North American construction market. Our growth, the growth of Amrize, is directly connected to these trends. We have a huge, big pipeline of projects and new ones are kicking off each Q. The actions we are taking, from investing in our business to driving synergies, are positioning Amrize to capitalize on the significant long-term demand in our $200 billion addressable market. I'd like now to turn the call over to Ian to discuss our Q3 financials in more detail.

As energy projects continue to drive demand.

All of these strong commercial projects reflect the mega trends underpinning long term growth in the North American construction markets.

Our growth the growth Mris is directly connected to these trends.

Do you have a big pipeline of projects and new ones are kicking off each quarter.

The actions, we are taking from investing in our business to driving synergies are positioning <unk> to capitalize on the significant long term demand in our 200 billion addressable market.

I like now to turn the call over to Ian to discuss our third quarter financials in more detail.

Okay.

Thank you Jan ill begin on.

On slide 11, with our results by segment, starting with building materials.

Ian Johnston: Thank you, Jan. I'll begin on slide 11 with our results by segment, starting with building materials. Building materials Q3 revenue was approximately $2.8 billion, an increase of 8.7%. During the quarter, we saw strong volume growth in both our cement and aggregates businesses, with cement volumes increasing 6% and aggregates volumes increasing 3.3%. We continue to see new infrastructure projects breaking ground, along with spending on data centers and energy-related projects. While there is still some uncertainty in the market, conversations with our customers are encouraging, and our pipeline continues to grow. Cement pricing for the quarter was down 0.6%, while year to date it remains up 0.6%. Over the last several years, we've seen consecutive cement gains, which are stabilizing this year with softer demand.

Building materials third quarter revenue was approximately $2 8 billion an increase of eight 7%.

Jan Jenisch: To support a massive new LNG plant in Louisiana, we are providing over 75,000 tons of cement and over 1 million tons of aggregates as energy projects continue to drive demand. All these strong commercial projects reflect the megatrends underpinning long-term growth in the North American construction market. Our growth, the growth of Amrize, is directly connected to these trends. We have a huge, big pipeline of projects, and new ones are kicking off each one. The actions we are taking from investing in our business to driving synergies are positioning Amrize to capitalize on the significant long-term demand in our $200 billion addressable market. I'd like now to turn the call over to Ian to discuss our third quarter financials in more detail.

During the quarter, we saw strong volume growth in both our cement and aggregates businesses with cement volumes, increasing 6% and aggregates volumes, increasing three 3%.

We continue to see new infrastructure projects, breaking ground, along with spending on data centers and energy related projects.

While there is still some uncertainty in the market conversations with our customers are encouraging and our pipeline continues to grow.

Cement pricing for the quarter was down 0.6% while year to date it remains up <unk>, 6%.

Over the last several years, we've seen consecutive summit gains, which are stabilizing this field of softer demand, we expect pricing to be flat on a full year basis and anticipate pricing to improve in 2026 as demand increases.

Ian Johnston: We expect pricing to be flat on a full year basis and anticipate pricing to improve in 2026 as demand increases. Total aggregates pricing, including distribution revenue, increased 10.1%. We continue to see healthy pricing growth in our aggregates business, supported by strong market fundamentals and ongoing infrastructure demand. Adjusted EBITDA for the quarter was $902 million, and our adjusted EBITDA margin was 32.5%. The strong volume and aggregates pricing growth that I just spoke about were positive contributors to adjusted EBITDA in the quarter. These were offset by a temporary equipment outage in our cement network that lasted for several weeks during the quarter. With demand high, we leveraged the strength of our footprint and logistic network to move products from other plants to serve our customers.

Total aggregates pricing, including distribution revenue increased 10, 1%.

Ian Johnston: Thank you, Jan. I'll begin on slide 11 with our results by segment, starting with building materials. Building materials' third quarter revenue was approximately $2.8 billion, an increase of 8.7%. During the quarter, we saw strong volume growth in both our cement and aggregates businesses, with cement volumes increasing 6% and aggregates volumes increasing 3.3%. We continue to see new infrastructure projects breaking ground, along with spending on data centers and energy-related projects. While there is still some uncertainty in the market, conversations with our customers are encouraging, and our pipeline continues to grow. Cement pricing for the quarter was down 0.6%, while year-to-date it remains up 0.6%. Over the last several years, we've seen consecutive cement gains, which are stabilizing this yield with softer demand. We expect pricing to be flat on a full-year basis and anticipate pricing to improve in 2026 as demand increases.

We continue to see healthy pricing growth in our aggregates business supported by strong market fundamentals and ongoing infrastructure demand.

Adjusted EBITDA for the quarter was $902 million and our adjusted.

<unk> EBITDA margin was 32, 5%.

The strong volume in aggregates pricing growth that I just spoke about were positive contributors to adjusted EBITDA in the quarter.

These were offset by a temporary equipment outage in our cement network that lasted for several weeks during the quarter with.

With demand high we leveraged the strength of our footprint and logistic network moved product from other plants to serve our customers.

This resulted in approximately $50 million of higher manufacturing and distribution costs in the quarter, including the impact of lower production volumes on fixed cost absorption.

Ian Johnston: This resulted in approximately $50 million of higher manufacturing and distribution costs in the quarter, including the impact that lower production volumes had on fixed cost absorbed. Through the combined efforts of our team, we were able to continue serving our customers without disruption. We have now completed the necessary repairs, and our plants are operating as normal. In Q4, we expect to recover some of this lost production. Additionally, during Q3 2025, we recorded $4 million of asset gains as compared to $43 million in Q3 2024. Prior year included a $31 million gain on an asset sale specifically related to 1 transaction in Canada.

Through the combined efforts of our team we were able to continue serving our customers without disruption.

We have now completed the necessary repairs and our plants are operating as normal in the fourth quarter, we expect to recover some of this lost production.

Ian Johnston: Total aggregates pricing, including distribution revenue, increased 10.1%. We continue to see healthy pricing growth in our aggregates business, supported by strong market fundamentals and ongoing infrastructure demand. Adjusted EBITDA for the quarter was $902 million, and our adjusted EBITDA margin was 32.5%. The strong volume and aggregates pricing growth that I just spoke about were positive contributors to adjusted EBITDA in the quarter. These were offset by a temporary equipment outage in our cement network that lasted for several weeks during the quarter. With demand high, we leveraged the strength of our footprint and logistics network to move products from other plants to serve our customers. This resulted in approximately $50 million of higher manufacturing and distribution costs in the quarter, including the impact that lower production volumes have on fixed cost absorption.

Additionally, during the third quarter of 2025, we recorded $4 million of asset gains.

As compared to $43 million in the third quarter of 2024.

Prior year included a $31 million gain on an asset sale certainly relate to one transaction in Canada, while asset sales are a routine part of our business. The specific transaction from last year was large and we do not have a similar sized transactions.

Ian Johnston: While asset sales are a routine part of our business, the specific transaction from last year was large and we do not have a similar size transaction this year. Moving to our building envelope segment, Q3 revenue was $901 million, an increase of 0.7% compared to the prior year. Commercial roofing revenue increased in the quarter, supported by repair and refurbishment activity and system sales. Residential volumes were down in the quarter due to soft new construction activity and a milder storm season. Based on recent industry data from SRI, we outperformed the market in commercial roofing in the quarter. Our Elevate business is performing well. Our system offering continues to resonate with customers. Last November, we closed the OX Engineered Products acquisition, which contributed $26 million to revenue in the quarter.

Moving to our building envelope segment third part third quarter revenue was $901 million, an increase of 0.7% compared to the prior year.

Commercial roofing revenue increased in the quarter supported by repair and refurbishment activity and system sales.

Residential volumes were down in the quarter due to soft new construction activity and a milder storm season.

Ian Johnston: Through the combined efforts of our team, we were able to continue serving our customers without disruption. We have now completed the necessary repairs, and our plants are operating as normal. In the fourth quarter, we expect to recover some of this lost production. Additionally, during the third quarter of 2025, we recorded $4 million of asset gains as compared to $43 million in the third quarter of 2024. The prior year included a $31 million gain on an asset sale specifically related to one transaction in Canada. While asset sales are a routine part of our business, the specific transaction from last year was large, and we do not have a similar size transaction this year. Moving to our building envelope segment, third quarter revenue was $901 million, an increase of 0.7% compared to the prior year.

Based on recent industry data from <unk>, we outperformed the market in commercial roofing in the quarter.

Our elevated business is performing well and our system offering continues to resonate with customers.

Last November we closed the ox engineered products acquisition, which contributed $26 million revenue in the quarter.

As a reminder, we will begin lapping the benefits of this acquisition in the fourth quarter.

Ian Johnston: As a reminder, we will begin lapping the benefits of this acquisition in the Q4. Adjusted EBITDA was $217 million, and our Adjusted EBITDA margin was 24.1%, representing a margin increase of 109 basis points from the prior. The increase in Adjusted EBITDA was driven by several factors, including operational efficiencies, lower raw material costs, and higher residential shingles pricing. In the quarter, we saw improved operating performance in our Elevate business as the team executed well, driving efficiencies at the plant level. Price over cost in the quarter was down slightly versus prior year, but improved sequentially versus the Q2 as favorable raw material costs and higher residential shingles pricing partially offset lower pricing in our commercial roofing business.

Adjusted EBITDA was $217 million and our adjusted EBITDA margin was 24, 1% representing a margin increase of 190 basis points from the prior year.

The increase in adjusted EBITDA was driven by several factors, including operational efficiencies lower raw material costs and higher resin residential singles pricing.

In the quarter, we saw improved operating performance and our elevate business as the team executed well driving efficiencies at the plant level.

Ian Johnston: Commercial roofing revenue increased in the quarter, supported by repair and refurbishment activity and system sales. Residential volumes were down in the quarter due to soft new construction activity and a milder storm season. Based on recent industry data from SRI, we outperformed the market in commercial roofing in the quarter. Our Elevate business is performing well, and our system offering continues to resonate with customers. Last November, we closed the Ox Engineered Products acquisition, which contributed $26 million to revenue in the quarter. As a reminder, we will begin lapping the benefits of this acquisition in the fourth quarter. Adjusted EBITDA was $217 million, and our adjusted EBITDA margin was 24.1%, representing a margin increase of 190 basis points from the prior year. The increase in adjusted EBITDA was driven by several factors, including operational efficiencies, lower raw material costs, and higher residential shingles pricing.

Price over cost in the quarter was down slightly versus prior year, but improved sequentially versus the second quarter as favorable raw material costs and higher residential singles pricing, partially offset lower pricing in our commercial roofing business.

Our team continues to drive synergies and effectively managed our cost base, resulting in an improved performance compared to the prior year.

Ian Johnston: Our team continues to drive synergies and effectively managed our cost base, resulting in an improved performance compared to the prior year. Moving to cash flow in the quarter, we generated $674 million of free cash flow, an increase of $221 million versus Q3 2024. The increase was primarily driven by a net benefit in working capital. Taking a closer look at working capital, September was a strong revenue month, resulting in an increase in our accounts receivable and a modest use of cash. We expect to turn these into cash in Q4. In addition, as part of our Project Aspire, we are working on vendor payment terms and to the benefit of the cash in the quarter. We also reduced inventory levels as a result of higher demand and lower production volumes.

Okay.

Moving to cash flow in the quarter, we generated $674 million of free cash flow, an increase of $221 million versus the third quarter of 2024.

The increase was primarily driven by a net benefit in working capital.

Taking a closer look at working capital September was a strong revenue months.

<unk> and an increase in our accounts receivable and a modest use of cash we expect to turn these into cash in the fourth quarter.

In addition, as part of our project Aspire and we are working on vendor payment terms and to the benefit of the cash in the quarter. We also reduced inventory levels as a result of higher demand and lower production volumes.

Ian Johnston: In the quarter, we saw improved operating performance in our Elevate business as the team executed well, driving efficiencies at the plant level. Price over cost in the quarter was down slightly versus prior year, but improved sequentially versus the second quarter as favorable raw material costs and higher residential shingles pricing partially offset lower pricing in our commercial roofing business. Our team continues to drive synergies and effectively managed our cost base, resulting in an improved performance compared to the prior year. Moving to cash flow in the quarter, we generated $674 million of free cash flow, an increase of $221 million versus the third quarter of 2024. The increase was primarily driven by a net benefit in working capital. Taking a closer look at working capital, September was a strong revenue month, resulting in an increase in our accounts receivable and a modest use of cash.

Finally, the timing of cash tax payments was a small benefit to cash in the quarter.

Ian Johnston: Finally, the timing of cash tax payments was a small benefit to cash in the quarter. As a reminder, we typically generate the majority of cash flow in the second half of the year, with Q4 being our highest cash flow quarter of the year. Q4 of 2024 was an above-average cash flow quarter, and while we also expect strong cash flow in Q4 this year, cash flow for full year 2025 is expected to be below 2024. This is primarily a result of lower net income on a full year basis and higher CapEx spend as we continue to invest in organic growth opportunities across our network. Turning to slide 14. During Q3, we successfully reduced our net debt and strengthened our balance sheet.

As a reminder, we typically generate the majority of cash flow in the second half of the year with the fourth quarter being our highest cash flow quarter of the year.

The fourth quarter of 2024 was an above average cash flow quarter and while we also expect strong cash flow in the fourth quarter. This year cash flow for full year 'twenty five is expected to be below 2020.

This is primarily a result of lower net income on a full year basis and higher capex spend as we continue to invest in organic growth opportunities across our network.

Turning to slide 14 during.

During the third quarter, we successfully reduced our net debt and strengthen our balance sheet net.

Net debt at the end of the third quarter was approximately $5 billion.

Ian Johnston: Net debt at the end of Q3 was approximately $5 billion, down $612 million from the end of Q2, and our net leverage ratio declined to under 1.7x, both benefiting from the strong cash flow we generated in the quarter. Our healthy balance sheet and investment-grade credit rating allows us to operate from a position of strength with the flexibility to pursue value-accretive acquisitions and allocate capital to growth projects. Lastly, I would like to provide a brief update on our ASPIRE program, where we are leveraging our scale across 1,000 sites and two business segments to accelerate synergies. We made excellent progress in Q3.

Down $612 million from the end of the second quarter and our net leverage ratio declined to under one seven times, both benefiting from our strong cash flow we generated in the quarter.

Ian Johnston: We expect to turn these into cash in the fourth quarter. In addition, as part of our Project Aspire Synergy, we are working on vendor payment terms and to the benefit of the cash in the quarter. We also reduced inventory levels as a result of higher demand and lower production volumes. Finally, the timing of cash tax payments was a small benefit to cash in the quarter. As a reminder, we typically generate the majority of cash flow in the second half of the year, with the fourth quarter being our highest cash flow quarter of the year. The fourth quarter of 2024 was an above-average cash flow quarter, and while we also expect strong cash flow in the fourth quarter this year, cash flow for the full year 2025 is expected to be below 2024.

Our healthy balance sheet and investment grade credit rating allows us to operate from a position of strength with with the flexibility to pursue value accretive acquisitions and allocate capital to growth projects.

Okay.

Lastly, I would like to provide a brief update on our aspire program, where we are leveraging our scale across thousands sites in two business segments to accelerate synergies.

We made excellent progress in the third quarter.

We have on boarded over 300, new logistics and service providers to optimize third party spend and we launched more than 100 projects to drive synergies across raw materials services logistics and equipment.

Ian Johnston: We have onboarded over 300 new logistics and service providers to optimize third-party spend, and we launched more than 100 projects to drive synergies across raw materials, services, logistics, and equipment. This continues to be a top priority for all our teams, and we expect to begin realizing savings from our ASPIRE program in Q4. We are on pace to deliver the full 50 basis points of margin expansion beginning in 2026. I'll now turn the call back over to Jan to discuss our 2025 guidance.

Ian Johnston: This is primarily a result of lower net income on a full-year basis and higher CapEx spend as we continue to invest in organic growth opportunities across our network. Turning to slide 14, during the third quarter, we successfully reduced our net debt and strengthened our balance sheet. Net debt at the end of the third quarter was approximately $5 billion, down $612 million from the end of the second quarter, and our net leverage ratio declined to under 1.7 times, both benefiting from the strong cash flow we generated in the quarter. Our healthy balance sheet and investment-grade credit rating allow us to operate from a position of strength with the flexibility to pursue value-agreed acquisitions and allocate capital to growth projects.

This continues to be a top priority for all our teams and we expect to begin realizing savings from our aspire program in the fourth quarter.

We are on pace to deliver the full 50 basis points of margin expansion beginning in 2026.

I'll now turn the call back over to John to discuss our 2025 guidance.

Yes. Thank you Ian when we look at our guidance I think very set aside with the.

Jan Jenisch: Yeah. Thank you, Ian. When we look at our guidance, I think I'm very satisfied with the good demand we saw with our customers in Q3, our first full quarter as Amrize. We see markets now have begun to stabilize, and we see significant pent-up demand backed by long-term mega trends. There are some uncertainties remaining with our customers. However, we are cautiously optimistic about our demand momentum to continue from now on. Building on our Q3 revenue, we are raising our 2025 revenue guidance. We are confirming our EBITDA and net leverage ratio guidance.

Good demand, we saw with our customers in Q3, our first full quarter as Mris and we see markets now have begun to stabilize and we see significant pent up demand backed by long term mega trends.

Ian Johnston: Lastly, I would like to provide a brief update on our Aspire program, where we are leveraging our scale across 1,000 sites and two business segments to accelerate synergies. We made excellent progress in the third quarter. We have onboarded over 300 new logistics and service providers to optimize third-party spend, and we launched more than 100 projects to drive synergies across raw materials, services, logistics, and equipment. This continues to be a top priority for all our teams, and we expect to begin realizing savings from our Aspire program in the fourth quarter. We are on pace to deliver the full 50 basis points of margin expansion beginning in 2026. I'll now turn the call back over to Jan to discuss our 2025 guidance.

There are some uncertainties remaining with our customers.

However, we are cautiously optimistic about our demand momentum to continue from now on.

Building on our third quarter revenue, we are raising our 2025 revenue guidance and we are confirming our EBITDA and net leverage ratio guidance. So for the full year. We now expect revenues to be in the range of $11 $7 billion to $12 billion adjusted EBITDA to be.

Jan Jenisch: For the full year, we now expect revenues to be in the range of $11.7 to 12 billion, adjusted EBITDA to be in the range of $2.9 to 3.1 billion, and we expect to finish the year with a net leverage ratio below 1.5 times. With this, I think we will now begin the Q&A process, and I turn over to Scott.

In the range of two 9% to $3 1 billion and we expect to finish the year with a net leverage ratio below one five times.

With this.

Hi, Thank you we will now begin the Q&A process and I'll turn over to Scott.

Jan Jenisch: Thank you, Ian. When we look at our guidance, I think I'm very satisfied with the good demand we saw with our customers in Q3, our first full quarter as Amrize, and we see markets now have begun to stabilize, and we see significant pent-up demand backed by long-term megatrends. There are some uncertainties remaining with our customers. However, we are cautiously optimistic about our demand momentum to continue from now on. Building on our third quarter revenue, we are raising our 2025 revenue guidance, and we are confirming our EBITDA and net leverage ratio guidance. For the full year, we now expect revenues to be in the range of $11.7 to $12 billion, adjusted EBITDA to be in the range of $2.9 to $3.1 billion, and we expect to finish the year with a net leverage ratio below 1.5 times.

Thank you operator, we are ready to begin the Q&A process can you. Please explain the instructions.

Ian Johnston: Thank you. Operator, we're ready to begin the Q&A process. Can you please explain the instructions?

Scott Einberger: Thank you. Operator, we're ready to begin the Q&A process. Can you please explain the instructions?

Thank you I think some time, if you would like to ask a question. Please use the raise hand button, which can be found on the black bar at the bottom of your screen when easier can you will receive a message on your screen from the highest allow me to talk and then you will hear your name code. Please exact Amit your ODM and ask your question as a reminder.

Operator: Thank you. At this time, if you would like to ask a question, please use the Raise Hand button, which can be found on the black bar at the bottom of your screen. When it is your turn, you'll receive a message on your screen from the host allowing you to talk, and then you will hear your name called. Please accept, unmute your audio, and ask your question. As a reminder, we are allowing analysts one question today. We will wait a moment for the queue to form. Our first question is from Keith Hughes from Truist. Please unmute your line and ask your question.

Allowing analyst one question today, we will always remain the key to film.

Our first question is from key key stroke Tia. Please on mute your line and ask your question.

Thank you.

The midpoint of the guidance implies flattish year on year EBITDA I believe could you talk about some of the puts and takes that could be coming in the fourth quarter. It does sound like that's going to happen Harper carrier.

Keith Hughes: Thank you. The midpoint of the guidance implies flattish year-over-year EBITDA, I believe. Could you talk about some of the puts and takes that could be coming at Q4? It does sound like cement's gonna have some positive carryover, but there must be some things going against you.

Please go ahead.

Yes.

Jan Jenisch: With this, I think we will now begin the Q&A process, and I turn over to Scott.

Yeah, but we have a difficult time to understand the question would you mind to repeat the question.

Jan Jenisch: Yeah. We have a difficult time to understand the question. Would you mind to repeat the question?

Your guidance seems to imply for the fourth quarter around flattish at the midpoint EBITDA year over year could you talk about what will be the positives and negatives you expect in the fourth quarter.

Scott Einberger: Thank you. Operator, we're ready to begin the Q&A process. Can you please explain the instructions?

Keith Hughes: Your guidance seems to imply for Q4 around flattish at the midpoint EBITDA year-over-year. Could you talk about what will be the positives and what will be the negatives you expect in Q4?

Operator: Thank you. At this time, if you would like to ask a question, please use the raise hand button, which can be found on the black bar at the bottom of your screen. When it is your turn, you'll receive a message on your screen from the host allowing you to talk, and then you'll hear your name called. Please accept, unmute your audio, and ask your question. As a reminder, we are allowing analysts one question today. We will wait a moment for the queue to form. Our first question is from Keith Hughes from Truist. Please unmute your line and ask your question.

Oh, yes. Thank you Keith for the question look I think we again, we're very satisfied with the demand from our customers and the increasing number of projects we deliver.

Jan Jenisch: Oh, yeah. Thank you, Keith, for the question. Look, I think we again, we're very satisfied with the demand from our customers and the increasing number of projects we deliver, and very happy to have the 6.6% sales growth in Q3. Going forward is a bit tricky for Q4 to give guidance as we still have some uncertainties among our customers regarding, you know, tariff politics and also regarding future interest rates. As you know, we do about half of our business is in the commercial market segment. We have no project cancellations, we have still a couple or a significant number of projects sidelined, and they will be kicked off in our view as soon as the market environment is stabilizing. It's not easy for us to forecast Q4.

And very happy to have the six 6% sales growth in Q3 now going forward is.

It's a bit tricky for Q4, two to give guidance as we still have some uncertainties among.

Among our customers regarding.

[Analyst 1]: Thank you. The midpoint of the guidance implies flat-ish year-to-year EBITDA, I believe. Could you talk about some of the puts and takes that could be coming at the fourth quarter? It does sound like cement's going to have some positive carryover, but there must be some things going against you.

Tariff politics, and also regarding future interest rates. So as you know we do about half of our business is in the commercial market segment.

So we have no project cancellations, but we have still a couple of significant number of projects sidelined and they will be kicked off in our view as soon as the market environment is stabilizing so it's not easy for us to forecast Q4, we are obviously very optimistic for the.

Jan Jenisch: Yeah, we have a difficult time to understand the question. Would you mind to repeat the question?

[Analyst 1]: Your guidance seems to imply for the fourth quarter around flat-ish at the midpoint EBITDA year-over-year. Could you talk about what will be the positives and what will be the negatives you expect in the fourth quarter?

The long term, but Q4 is not easy so that's why we gave this.

Jan Jenisch: We are obviously very optimistic for the long term, but Q4 is not easy. That's why we gave this guidance, which is, I would say, maybe a bit cautious overall to make sure we deliver what we promise.

This.

So the guidance, which is I would say may be a bit cautious overall to make sure we deliver what we promise.

Jan Jenisch: Thank you, Keith, for the question. Look, I think we, again, we are very satisfied with the demand from our customers and the increasing number of projects we deliver, and very happy to have the 6.6% sales growth in Q3. Now, going forward is a bit tricky for Q4 to give guidance as we still have some uncertainties among our customers regarding tariff politics and also regarding future interest rates. As you know, we do about half of our business in the commercial market segment. We have no project cancellations, but we have still a couple or a significant number of projects sidelined, and they will be kicked off in our view as soon as the market environment is stabilizing. It's not easy for us to forecast Q4. We are obviously very optimistic for the long term, but Q4 is not easy.

Okay, and just one final thing it does appear for your previous comments that.

Keith Hughes: Okay. Just one final thing. It does appear from your previous comments that the production issues you had in cement, those are fixed and will not play a negative role in Q4. Is that correct?

The production issues you hadn't met those are fixed and will not play a role.

Planned negative growth in the fourth quarter is that correct.

Yes, we are happy with our operational performance is basically for two items. We have this land sale in Q3 last year and then we have this production outage, which is resold. So we're looking forward to have.

Jan Jenisch: Yes. We are happy with our operational performance. It's basically for two items. We had this land sale in Q3 last year, and then we have this production outage, which is resolved. We're looking forward to have solid margins in Q4 and in the coming quarters.

Solid margins.

In Q4 and in the coming quarters.

Okay. Thank you.

Thank you. Our next question is from Anthony Pettinari from Manta Holidaying, if you'd like to Amit Your line and ask your question.

Keith Hughes: Okay. Thank you.

Operator: Thank you. Our next question is from Anthony Pessognani from Cementir Holding. If you'd like to unmute your line and ask your question.

Good morning.

I'm wondering if you could talk about cement market dynamics, a little bit more detail and specifically in terms of the confidence in potential price improvement in 2026 are you seeing specific things in your backlogs or the market or import dynamics.

Anthony Pessognani: Good morning. I'm wondering if you could talk about cement market dynamics in a little bit more detail. Specifically, in terms of the confidence and, you know, potential price improvement in 2026. Are you seeing, you know, specific things in your backlogs or the market or import dynamics that would give you kind of confidence in, you know, pricing momentum in 26? As a follow-up, I'm just wondering if you could talk a little bit more about Cen-Gen in terms of the ramp-up, and, you know, how that's going.

Anthony Pettinari: Good morning. I'm wondering if you could talk about cement market dynamics in a little bit more detail. Specifically, in terms of the confidence and, you know, potential price improvement in 2026. Are you seeing, you know, specific things in your backlogs or the market or import dynamics that would give you kind of confidence in, you know, pricing momentum in 26? As a follow-up, I'm just wondering if you could talk a little bit more about Cen-Gen in terms of the ramp-up, and, you know, how that's going.

Jan Jenisch: That's why we gave this guidance, which is, I would say, maybe a bit cautious overall to make sure we deliver what we promise.

That would give you kind of confidence in pricing momentum in 'twenty six and as a follow up I'm. Just wondering if you could talk a little bit more about Saint Genevieve in terms of the ramp up.

[Analyst 1]: Okay. Just one final thing. It does appear from your previous comments that the production issues you had in cement, those are fixed and will not play a negative role in the fourth quarter. Is that correct?

How that's going.

Oh, Hey, good morning, Anthony and yes.

Jan Jenisch: All right. Good morning, Anthony. Yes, you know, we previously reported, you know, we come from a challenging maybe past 2 years, where we had lower demand for cement, which made it difficult or more challenging for us on the pricing. We are nevertheless, I think we are, under the circumstances, we have almost stable cement prices for the year. I think that's not a bad achievement. Now, we believe that this will change for next year. We will, especially with the volume growth we saw now in cement, which we believe will continue into next year, with healthy pricing dynamics, especially in our inland markets. We believe we are well positioned now to execute this. We are also here.

We previously reported we come from a challenging maybe past two years, where we had lower demand for summand, which made it difficult or more challenging for us on the pricing. We are nevertheless, I think we are.

Jan Jenisch: Yes. We are happy with our operational performance. It's basically for two items. We had this land sale in Q3 last year, and we have this production outage, which is resolved. We're looking forward to having solid margins in Q4 and in the coming quarters.

Under the circumstances, we have almost stable cement prices for the year I think that that's not a bad achievement and and.

[Analyst 1]: Okay, thank you.

Operator: Thank you. Our next question is from Anthony Pettinari from Cementia Holding. If you'd like to unmute your line and ask your question.

And now we believe that this will change for next year.

<unk>.

And we will.

Especially if the volume growth we saw in Ireland cement, which we believe will continue into next year, we will be popular healthy pricing dynamics, especially in our inland markets and we believe we are well positioned now to execute this.

[Analyst 2]: Good morning. I'm wondering if you could talk about cement market dynamics in a little bit more detail, specifically in terms of the confidence in potential price improvement in 2026. Are you seeing specific things in your backlogs or the market or import dynamics that would give you confidence in pricing momentum in 2026? As a follow-up, I'm just wondering if you could talk a little bit more about St. John cement plant in terms of the ramp-up and how that's going.

We are also here, we made very I would say focused investments here so incent Jen.

Jan Jenisch: We made very, I would say, focused investments here. In Cen-Gen, the fifth mill to further increase our production, but also to further increase our efficiencies is on track, and we are planning to have the first production, which we are selling in November, so next month.

The fish meal to further increase our production, but also to further increase our efficiencies is on track and we are planning to have the fourth the first production, which we are selling in November so next months.

Jan Jenisch: All right. Hey, good morning, Anthony. Yes, you know we previously reported, you know we come from a challenging maybe past two years where we had lower demand for cement, which made it difficult or more challenging for us on the pricing. Nevertheless, I think we are under the circumstances. We have almost stable cement prices for the year. I think that's not a bad achievement. Now we believe that this will change for next year. We will, especially with the volume growth we saw now in cement, which we believe will continue into next year, we will have healthy pricing dynamics, especially in our inland markets. We believe we are well positioned now to execute this. We are also here. We made very, I would say, focused investments here. In St.

Sure.

Okay. That's helpful I'll turn it over.

Thank you. Our next question is from Timna Tanners from Wells Fargo, or if you'd like to.

Anthony Pessognani: Okay. That's helpful. I'll turn it over.

Anthony Pettinari: Okay. That's helpful. I'll turn it over.

Operator: Thank you. Our next question is from Tim Natanas from Wells Fargo. If you'd like to unmute your line and ask your question, please. Timna, please go ahead.

The online and ask your question please.

Okay.

And now please go ahead.

Okay, Great just wanted to follow up on the cement question and ask about pricing and if youre seeing any impact on from imports.

[Analyst] (Wells Fargo): Okay, great. Just wanted to follow up on the cement question and ask about pricing and if you're seeing any impact on from imports. If we've been hearing that there may be some price hikes announced and if you're seeing the impact from the tariffs reducing competitiveness of some of those overseas tons. Thank you.

Timna Tanners: Okay, great. Just wanted to follow up on the cement question and ask about pricing and if you're seeing any impact on from imports. If we've been hearing that there may be some price hikes announced and if you're seeing the impact from the tariffs reducing competitiveness of some of those overseas tons. Thank you.

So we've been hearing that there may be some price hikes announced and if youre seeing any impact from the tariffs reducing competitive NASA homeland of ICD 10. Thank you.

Thank you for the question so in principle you know.

Jan Jenisch: John, the fifth mill to further increase our production, but also to further increase our efficiencies, is on track. We are planning to have the first production, which we are selling in November, so next month.

Jan Jenisch: Thank you for the question. In principle, you know, our customers largely recognize the value of a local producer like Amrize providing consistent high quality products, local service, and full reliability of supply chain and the logistics. In addition, our inland footprint in the heartland markets will make us very strong going forward. I think there's a lot of information at the moment in the market about price increases, about increasing import costs from tariffs and so on. I prefer not to comment on this. We're gonna focus on ourselves, and we believe we have the right action plan in place to improve pricing for next year.

We our customers are largely recognized the value of a local producer like mris, providing consistent high quality products local service and full reliable delivery reliability of supply chain and the logistics.

In addition, our inland footprint and the hot end markets will make us.

[Analyst 2]: Okay, that's helpful. I'll turn it over.

Very strong going forward I think there's a lot of information at the moment in the market about price increases about increasing input costs from tariffs and so on I I prefer not to comment on this we're going to focus on ourselves and we believe the alpha.

Operator: Thank you. Our next question is from Tim Natanez from Wells Fargo. If you'd like to unmute your line and ask your question, please. Tim, please go ahead.

The right action plan in place to improve pricing for next year.

Okay, great. Thank you.

[Analyst 3]: Okay. Great. Just wanted to follow up on the cement question and ask about pricing and if you're seeing any impact from imports. We've been hearing that there may be some price hikes announced, and if you're seeing the impact from the tariffs reducing competitiveness of some of those overseas tons. Thank you.

Yes.

Seda Ekren: Okay, great. Thank you.

Timna Tanners: Okay, great. Thank you.

Thank you. Our next question is continuing <unk> Ghosh from Bernstein, if he'd like to on mute your line and ask your question.

Operator: Thank you. Our next question is from Pujarini Ghosh from Bernstein. If you'd like to unmute your line and ask your question.

Thanks for taking my question. So on the building products side could you provide some color on the volume.

Pujarini Ghosh: Thanks for taking my question. On the building product side, could you provide some color on the volume and pricing that you saw in Q3? Specifically, commenting around the market share gains that you were referring to on the commercial side? Also, could you give some color around the 190 basis points of margin expansion we saw, which seems to be in sharp contrast with what some of your peers have been saying. How are you getting this margin expansion?

Jan Jenisch: Thank you for the question. In principle, you know our customers largely recognize the value of a local producer like Amrize providing consistent high-quality products, local service, and full reliability of supply chain and the logistics. In addition, our inland footprint in the heartland markets will make us very strong going forward. I think there's a lot of information at the moment in the market about price increases, about increasing import costs from tariffs, and so on. I prefer not to comment on this. We're going to focus on ourselves, and we believe we have the right action plan in place to improve pricing for next year.

Rising that you saw in Q3.

And specifically, commenting on or around the market share gain issue.

We're referring to on the commercial side.

Could you give some color around the 190 basis points of margin expansion we saw.

Which seems to be in sharp contrast, with what are the odds of being.

So how are you getting the margin expansion.

Yes. Thank you for the question so.

So first of all we are very happy we had a good.

Jan Jenisch: Yes. Thank you for the question. First of all, we're very happy we had a good commercial roofing business in Q3 with increasing volumes, but also with market share gains. Very happy to report that we have been very successful here with our customers to provide our systems with all the different membranes we are offering. In contrast to this, the shingle market is difficult. I think we shared the information with you. We have a very soft new construction market in residential, and also we have, I think we say a softer storm season or something. Residential is a bit challenged.

A good commercial roofing business in Q3, we are increasing volumes about also with market share gains so very happy to report that.

<unk> has been very successful here with our customers to provide our our systems if all the different membranes via offering.

[Analyst 3]: Okay. Great. Thank you.

Operator: Thank you. Our next question is from Punirini Ghosh from Bernstein. If you'd like to unmute your line and ask your question.

In contrast to this the shingle market is difficult I think we shared the information with you we have a very soft new construction market in residential and also we have.

[Analyst 4]: Thanks for taking my question. On the building product side, could you provide some color on the volume and pricing that you saw in Q3? Specifically, commenting around the market share gains that you were referring to on the commercial side. Could you give some color around the 190 basis points of margin expansion we saw, which seems to be in sharp contrast with what some of your peers have been saying? How are you getting this margin expansion?

Softer storm season is something so residential is a bit challenged but overall I think we are we.

We have flat sales, which I think is quite a success in this market and I'm, especially pleased with the market share gains.

Jan Jenisch: Overall, I think we have flat sales, which I think is quite a success in this market, and I'm especially pleased with the market share gains for commercial roofing. We have on the operational efficiencies, very happy that our teams put all the plans in excellent conditions. You know, you always sometimes have hiccups. We have around 40 manufacturing facilities in building envelope, and we had a few we were working on the last 12 months or so, and this all comes now to a very positive result, basically with lowered cost and leading to then a significant increase in this EBITDA margin of 190 basis points.

For commercial roofing.

On behalf on the operational efficiency is very happy that our teams put all the plans in excellent conditions, you know you're always sometimes have hiccups.

We have around 40 manufacturing facilities in building envelope and we had a few we are really working on the last 12 months or so and this all comes now to a very positive result, basically with lower cost and leading to that cigna.

Jan Jenisch: Yeah. Thank you for the question. First of all, we are very happy. We had a good commercial roofing business in Q3 with increasing volumes, but also with market share gains. We are very happy to report that we have been very successful here with our customers to provide our systems with all the different membranes we are offering. In contrast to this, the shingle market is difficult. I think we shared the information with you. We have a very soft new construction market in residential. We also have, I think we say, a softer storm season or something. Residential is a bit challenged. Overall, I think we have flat sales, which I think is quite a success in this market. I'm especially pleased with the market share gains for commercial roofing. On the operational efficiencies, I'm very happy that our teams put all the plants in excellent conditions.

A significant increase in this EBITDA margin of 190 basis points.

Sure.

Thank you. Our next question is from <unk> <unk> from Morgan Stanley.

Operator: Thank you. Our next question is from Seda Ekren from Morgan Stanley.

Hello.

Go ahead.

Seda Ekren: Hello?

Hi, Hi.

Jan Jenisch: Hi, Seda.

Operator: Hi, Seda. Please go ahead.

I just wanted to ask a question on the commercial landscape as it relates to your building envelope and rethink this.

Seda Ekren: Hi. Hi. I just wanted to ask a question on the commercial landscape as it relates to your building envelope and roofing business. We've obviously seen quite a lot of change on the distributor channel. We've had a lot of assets change hands, SRS going to The Home Depot, and obviously a new entrant in QXO acquiring Beacon. I'd like to hear how you are seeing this play out for your business, because there does seem to be at least some commentary from the distribution players that there might be a desire to be a little bit more aggressive on pricing with their OEM suppliers. Are you seeing that in the market at all? How would you respond to one of your distributors, you know, looking to sort of negotiate price?

We've obviously seen quite a lot of change on the distributor.

Channel, we've had a lot of assets.

Assets change hands, HRH going to home depot, and obviously edge to entrench <unk> requiring beacon.

Jan Jenisch: You know, you always sometimes have hiccups. We have around 40 manufacturing facilities in building envelope, and we had a few we were working on the last 12 months or so. This all comes now to a very positive result, basically with lowered cost and leading to then a significant increase in this EBITDA margin of 190 basis points.

I'd like to hear how you are seeing this play out for your business because it does seem to be at least some commentary from the distribution players that they might be a desire to be a little bit more aggressive on pricing with their OEM suppliers are you seeing that in.

The market at all.

How would you respond to one of your distributors.

Looking to sort of negotiate price and then licked question can you comment on some of the new entrants actually on the on the sort of manufacturing side of things that you have with respect to bond for example kicked span looking to add capacity. Thank you.

Operator: Thank you. Our next question is from Cedar Eckblom from Morgan Stanley.

Seda Ekren: A linked question, can you comment on some of the new entrants actually on the sort of manufacturing side of things, if you have a perspective on, for example, Kingspan looking to add capacity? Thank you.

Alright, Cedar Hey, Thank you for the questions I mean look AR VR first of all we are not in competition with any distributor we are partnering with distributors to make our products efficiently available for all of the roofing jobs.

[Analyst 5]: Hello?

Jan Jenisch: Hi, Cedar.

Operator: Hi, Cedar. Please go ahead.

Jan Jenisch: All right, Seda. Hey, thank you for the questions. I mean, look, we are, first of all, we are not in competition with any distributor. We are partnering with distributor to make our products efficiently available for all the roofing jobs. You can see in our Q3 results that, obviously, we don't see any impacts from any consolidation in the distribution space. It's important, I think, to note that all our efforts in building envelope and in roofing systems is to provide the best, most innovating systems for our customers, which are the building owners, which are the specifiers, and are the roofing contractors. We are focusing to make the best possible roofs and the most easy and efficiently installing roofs. This is all our focus. We do this with our innovation.

[Analyst 5]: Hi. I just wanted to ask a question on the commercial landscape as it relates to your building envelope and roofing business. We've obviously seen quite a lot of change on the distributor channel. We've had a lot of assets change hands, SRAs going to Home Depot, and obviously a new entrant in QXO acquiring Beacon. I'd like to hear how you are seeing this play out for your business because there does seem to be at least some commentary from the distribution players that there might be a desire to be a little bit more aggressive on pricing with their OEM suppliers. Are you seeing that in the market at all? How would you respond to one of your distributors looking to sort of negotiate price? The linked question, can you comment on some of the new entrants, actually, on the sort of manufacturing side of things?

You can see in our Q3 results that obviously, we don't see any impact from any consolidation in the distribution space and.

It is important I think to note that all our efforts in building envelope and in roofing systems is to provide the best most innovating systems for our customers, which are the old building owners, which are the specifies and are the roofing contractors and we are focusing too.

Make the best possible roofs, and the most easy and efficiently installing rules. This is all our focus we do this if our innovation we do this with our workforce for specification of roofing inspecting roofs, and then providing warranty for the Rus. This is our focus.

Jan Jenisch: We do this with our workforce for specification of roofing, inspecting roofs, and then providing warranty for the roofs. This is our focus, this is all underpinned by our strong branding, by our strong brands. We go direct. I think in our roofing sales at the moment, we do about 30% direct and 70% goes through distribution. These are just partners for us. We don't see any negative impact. Just important to understand that we focus on the end customer, and we have no real opinion on the distributors. However, if you want me to comment on the distributors, I think we have very good and very efficient distributors in roofing from the companies you have mentioned. We're very happy to partner with them. They provide a great service.

And this is all underpinned by our strong branding.

[Analyst 5]: If you have a perspective on, for example, Kingspan looking to add capacity. Thank you.

Our strong brands. So and then we go direct I think in our roofing sales at the moment, we do about 30% direct and 70% goes through distribution and these are just partners for US we don't see any negative impact and just important to understand the refocus on the costa and customer and rehab.

Jan Jenisch: All right. Cedar, hey, thank you for the questions. I mean, look, first of all, we are not in competition with any distributor. We are partnering with distributors to make our products efficiently available for all the roofing jobs. You can see in our Q3 results that obviously we don't see any impacts from any consolidation in the distribution space. It's important, I think, to note that all our efforts in building envelope and in roofing systems are to provide the best, most innovative systems for our customers, which are the building owners, the specifiers, and the roofing contractors. We are focusing to make the best possible roofs and the most easy and efficiently installing roofs. This is all our focus. We do this with our innovation. We do this with our workforce for specification of roofing, inspecting roofs, and then providing warranty for the roofs.

Half.

And no real opinion on the distributor's. However, if you want me to comment on the distributors I think we have very good.

Very good and very efficient distributors in roofing from all the companies you have mentioned so we're very happy to partner with them. They provide a great service and and again, we are not able to deliver every roof on overnight on time for the roofing jobs. This is why we have these very competent roofing distributors in and.

Jan Jenisch: Again, we are not able to deliver every roof on overnight on time for the roofing jobs. This is why we have these very competent roofing distributors in the North American market. The question on new entrants in the roofing market is really, we didn't have that in the last 30 years. The market is actually consolidating, and we believe it's very challenging to come in and start with a greenfield roofing business in the US. We haven't seen that in many, many years. We cannot comment. We are focusing on some of our other peers as we compete for this full nationwide distribution we are having, and that's our real focus. We see any impact from greenfield, new entrants, very, very limited. We rather see roofing going for more consolidation.

North American market.

The question on <unk>.

On new entrants in the roofing market is really a we didn't have that last 30 years, the Margaret is actually consolidating and.

We believe it's very challenging to come in and start with a greenfield roofing business in the U S. We haven't seen that in many many years.

Jan Jenisch: This is our focus, and this is all underpinned by our strong branding. We go direct, I think, in our roofing sales. At the moment, we do about 30% direct and 70% goes through distribution. These are just partners for us. We don't see any negative impact. It's just important to understand that we focus on the end customer, and we have no real opinion on the distributors. However, if you want me to comment on the distributors, I think we have very good and very efficient distributors in roofing from the companies you have mentioned. We're very happy to partner with them. They provide a great service. We are not able to deliver every roof overnight on time for the roofing jobs. This is why we have these very competent roofing distributors in the North American market.

So we cannot comment we have we are focusing on.

Some of our other peers as we compete for this full nationwide distribution, we are having and thats our real focus so we see any impact from Greenfield new entrants very very limited he rather see roofing and going for more consolidation.

Okay.

Thanks, very much appreciate that.

Thank you. Our next question is from Adrian <unk> from J P. Morgan you'd like to Amit Your line and ask your question.

Seda Ekren: Thanks very much. Appreciate that.

Operator: Thank you. Our next question is from Adrian Huerta from JP Morgan. If you'd like to unmute your line and ask your question.

Hi, John.

Thank you for allowing me my question.

Adrian Huerta: Thank you. Hi, Jan. Thank you for allowing my question. Just if you can share with us, how do you see the M&A environment over the next twelve months and potential opportunities within the different segments that you're in? You think there will be opportunities for Amrize to expand through M&A over the next twelve months?

If you can share with us how do you see the M&A environment over the next 12 months and a potential opportunities within the different segments that you're in you.

Jan Jenisch: The question on new entrants in the roofing market is really, we didn't have that in the last 30 years. The market is actually consolidating, and we believe it's very challenging to come in and start with a greenfield roofing business in the U.S. We haven't seen that in many, many years. We cannot comment. We are focusing on some of our other peers as we compete for this full nationwide distribution we are having. That's our real focus. We see any impact from greenfield new entrants very, very limited. We'd rather see roofing going for more consolidation.

Do you think there will be opportunities or or I'm right to expand that through M&A over the next 12 months.

Hi, Adrian good morning, yes.

Look we have made it clear that part of our strategy is.

Jan Jenisch: Hi, Adrian. Good morning. Yeah, look, we made it clear that part of our strategy is, of course, organic growth. We believe we will invest more into the business compared to recent years. In addition, we are very open of M&A. I mean, story of Amrize has been very much also driven by M&A, and I think I would say we have a healthy pipeline here of targets and projects, and hopefully we have some news for you in the months to come.

Of course organic growth, we believe we will invest them going to the business compared to recent years.

But then in addition, we have area open up M&A I mean story of Mris has been.

Very much.

Also driven by M&A and we have a I think let's say, we have a healthy pipeline of targets and projects and that hopefully we have some some news for you in the months to come.

Okay.

Excellent. Thank you again.

[Analyst 5]: Thanks very much. Appreciate that.

Thank you. Our next question is fine yeah. Thank you out atrium unveiled research. Please on mute your line and ask your question.

Operator: Thank you. Our next question is from Adrian Huerta from JP Morgan. If you'd like to unmute your line and ask your question.

Adrian Huerta: Excellent. Thank you, Jan.

Operator: Thank you. Our next question is from Yassine Touahri from On Field Investment Research. Please unmute your line and ask your question.

[Analyst 6]: Thank you. Hi, Jan. Thank you for allowing me my question. If you can share with us how do you see the M&A environment over the next 12 months and potential opportunities within the different segments that you're in? You think there will be opportunities for Amrize to expand through M&A over the next 12 months?

Thank you very much.

A short follow up on the volume in the fourth quarter do you have any view on the on what's happening in the cement business in October.

Yassine Touahri: Yep. Thank you very much. Just a short follow-up on the volume in Q4. Do you have any view on what's happening in the cement business in October? Maybe a more question on strategy. When you look at your building envelope business, it's mostly roofing, but you call that building envelope. I think in your Form 10, you were mentioning a wall solution. How do you think about the business in the next five to 10 years? Do you see any opportunity in the next 12 to 24 months to do a bigger platform deal?

And maybe a question on strategy when you look at your building envelope business, it's mostly roofing, but you call that building envelope analysis in your form 10, you were mentioning.

<unk> solution, how do you think about the business in the next five to 10 years.

Do you see any opportunity in the next 12 to 24 months to do the bigger platform data and if you see an unattractive platform needed to complete this.

Jan Jenisch: Hi, Adrian. Good morning. Yeah, look, we made it clear that part of our strategy is, of course, organic growth. We believe we will invest more into the business compared to recent years. In addition, we are very open of M&A. I mean, the story of Amrize has been very much also driven by M&A. We have, I think, would say we have a healthy pipeline here of targets and projects. Hopefully, we have some news for you in the months to come.

Yassine Touahri: If you see an attractive platform deal to complete this business line, what kind of maximum leverage you would be happy to go to in terms of net activity?

This business line.

What kind of maximum leverage you would be happy to go through in terms of net attributable.

Hey, good question look.

Jan Jenisch: Hey, good question. Look, first of all, to your pricing and volume question. First of all, I think the cement and aggregates pricing is set for the remainder of 2025. We now shifted our focus for the pricing for next year. For Q4, we expect the cement pricing to continue as we have seen it in Q3, but also then our strong aggregates pricing up 10%. We also expect this to continue into Q4. Demand is good in Q3. We have to just make the comment that our customers are still with certain uncertainties regarding tariffs, regarding interest rates.

First of all to your to your pricing and volume question.

First of all I think the cement and aggregates pricing is set for the remainder of 2025 and be now shifted our focus or the pricing for next year. So for the fourth quarter, we expect the cement pricing to continue.

[Analyst 6]: Excellent. Thank you, Jan.

Operator: Thank you. Our next question is from Yassine Touari from Onfield Research. Please unmute your line and ask your question.

As we have seen it in Q3, but also then our strong aggregates pricing up 10%. We also expect this to continue into the fourth quarter. So demand is good in Q3.

[Analyst 7]: Thank you very much. Just a short follow-up on the volume in the first quarter. Do you have any view on what's happening in the cement business in October? Maybe a more question on strategy. When you look at your building envelope business, it's mostly roofing, but you call that building envelope. I think in your form 10, you were mentioning a wall solution. How do you think about the business in the next 5 to 10 years? Do you see any opportunity in the next 12 to 24 months to do a big platform deal? If you see an attractive platform deal to complete this business line, what kind of maximum leverage you would be happy to go to in terms of net equity?

We have to just make the comment that our customers are still or if certain uncertainty regarding tariffs regarding interest rates, but besides that the belief there is a strong underlying demand makes it a bit more difficult to really guide the Q4, but we are very.

Jan Jenisch: Besides that, we believe there's a strong underlying demand, makes it a bit more difficult to really guide the Q4, but we are very optimistic for next year. With that, we're gonna have, we believe, healthy volumes and healthy pricing in 2026. On building envelope,

We're optimistic for next year.

And also if that would be because we're going to be you're going to have we believe healthy volumes and healthy pricing in 2026.

Right.

Sam on building envelope.

Jan Jenisch: Hey, good question. Look, first of all, to your pricing and volume question, first of all, I think the cement and aggregates pricing is set for the remainder of 2025. We now shifted our focus for the pricing for next year. For the fourth quarter, we expect the cement pricing to continue as we have seen it in Q3, and also our strong aggregates pricing up 10%. We also expect this to continue into the fourth quarter. Demand is good in Q3. I have to just make the comment that our customers are still with certain uncertainties regarding tariffs, regarding interest rates. Besides that, we believe there's a strong underlying demand that makes it a bit more difficult to really guide the Q4. We are very optimistic for next year. Also with that, we're going to have, we believe, healthy volumes and healthy pricing in 2026.

Hi, Mike.

I have to ask the other question.

Operator: Thank you.

Jan Jenisch: I like Oops. I have to ask the other question. On building envelope, I think you point out that we call the segment building envelope and not roofing systems. I think this is just gives us more opportunities into the future as we could expand in complementary applications and technologies. However, I ask my teams to focus on our core businesses as it is today as we have this $200 billion addressable market in front of us. That means we don't need to necessarily enter new segments to grow Amrize. We believe we have plenty of room to grow, the envelope gives us a little bit of extra vision and strategy for the years to come.

So on building envelope, you I think you point out that.

Because the segment building envelope and not roofing systems.

I think this is just gives us more opportunities into the future as we could expand in complementary applications and technologies. However.

I asked my teams to focus on our core businesses as it is today as we have this 200 billion dollar addressable market in front of us. So it will be that means we don't need to necessarily enter new segments to grow MRI. We believe we have plenty of ROE and then the envelope.

Gives us a little bit of extra vision and strategy for the years to come.

And in terms of leverage.

Exterran related that you would be happy to go through issues, you're dosing platform deal.

Yassine Touahri: In terms of leverage, the maximum leverage that you would be happy to go to if you see, an interesting platform deal.

Look I think first of all we are happy to have the balance sheet. We are having youll see we are making progress now in Q3 further progress very happy to close the year, where when the balance sheet, how we guided it if we have attractive M&A transactions and you remember we have an excellent track record.

Jan Jenisch: Look, I think first of all, we are happy to have the balance sheet we are having. You see we are making progress now in Q3, further progress. Very happy to close the year where in the balance sheet, how we guided it. If we have attractive M&A transactions, and you remember we have an excellent track record of value-accretive deals, we can go well above this. I think it's just important always you have a clear plan to further to go down again in the leverage. We are not afraid to go up in the leverage for the right transaction.

[Analyst 7]: On building envelope.

Operator: Thank you. Our next.

[Analyst 7]: I have to ask the other question. On building envelope, I think you point out that we call the segment building envelope and not roofing systems. I think this just gives us more opportunities into the future as we could expand in complementary applications and technologies. However, I ask my teams to focus on our core businesses as it is today, as we have this $200 billion addressable market in front of us. That means we don't need to necessarily enter new segments to grow Amrize. We believe we have plenty of growth, and the envelope gives us a little bit of extra vision and strategy for the years to come. In terms of leverage, the maximum leverage that you would be happy to go to if you see an interesting platform deal?

Value accretive deals or we can go well above this.

I think it's just important always you have a clear plan to further.

To go down again in the leverage but we are not afraid to go up in the leverage for the right transaction.

Thank you very much.

Thank you. Our next question is from Tom Zhang from Barclays, If you'd like to meet your line and ask your question. Please.

Julian Radlinger: Thank you very much.

Operator: Thank you. Our next question is from Tom Zhang from Barclays. If you'd like to unmute your line and ask your question, please.

Yeah, Hi, Thanks for taking my questions and just just housekeeping ones, who made the stage did.

Julian Radlinger: Yeah. Hi. Thanks for taking our questions. Just housekeeping ones for me at this stage. Could you maybe just give a little bit of color around this litigation, the $40 million that is not in the adjusted EBITDA? Could you just give us a bit of color on what that is about and which division it was booked in? Also just on the guided corporate costs, I see it's come in quite a bit below the $75 to $80 million number that you spoke about at the Q2 prints. Any color on why that's better? You know, is $75 to $80 still the right number into Q4? Is there a bit of catch up? Just a bit of help there for the modeling. Thank you.

Could you, maybe just give a little bit of color around litigation the $40 billion.

Is not any adjusted EBITDA could you just give us a bit of color on what that is out at which division. It was booked in and then also just on the guide at corporate costs I see it's come in quite a bit below the 75 to 80 million number.

Jan Jenisch: Look, I think first of all, we are happy to have the balance sheet we are having. You see, we're making progress now in Q3, further progress. Very happy to close the year in the balance sheet how we guided it. If we have attractive M&A transactions, and you remember we have an excellent track record of value-agreed deals, we can go well above this. I think it's just important always you have a clear plan to further go down again in the leverage. We are not afraid to go up in the leverage for the right transaction.

You spoke about the Q2 bridge.

Any color on why that's better.

<unk> is 75 to 80 still the right number into Q4 is there a bit of catch up just.

Just a bit of health after the Butler. Thank you.

Sure Hi, Tom Thanks for the question I think just to begin with the litigation, we're quite happy with the outcome during the quarter, we were able to achieve to reach final settlement on several longstanding commercial litigation items. As you would expect we cannot provide details related to specific specific litigation items.

Ian Johnston: Sure. Hi, Tom. Thanks for the question. I think just to begin with the litigation, we're quite happy with the outcome. During the quarter, we were able to reach final settlement on several long-standing commercial litigation items. As you would expect, we cannot provide details related to specific litigation items, but we're quite happy with the conclusion on those particular matters. Regarding the corporate costs, we did guide at a little bit higher range. We do think we're making good progress. This was our Q1 as a fully independent Amrize, and we're quite pleased with our numbers being a little bit below what we expected. Our previous estimate was at the high end of what we'd expect. It's going to continue to evolve.

But we're quite happy with the conclusion on those particular matters.

[Analyst 7]: Thank you very much.

Operator: Thank you. Our next question is from Tom Zhang from Barclays. If you'd like to unmute your line and ask your question, please.

Regarding the corporate costs, we did guide a little bit higher range. We do think we're making good progress. This was our first quarter as a fully independent AMRI. So we're quite pleased with our numbers being a little bit below what we expected.

[Analyst 6]: Yeah. Hi. Thanks for taking the questions. Just housekeeping ones for me at this stage. Could you maybe just give a little bit of color around this litigation, the $40 billion that is not in the adjusted EBITDA? Could you just give us a bit of color on what that is about and which division it was booked in? Also, just on the guided corporate costs, I see it's come in quite a bit below the $75 to $80 million number that you spoke about at the Q2 prints. Any color on why that's better? Is $75 to $80 million still the right number into Q4? Is there a bit of catch-up? Just a bit of help there for the modeling. Thank you.

Our previous estimate was at the high end of what we'd expect is going to continue to evolve. We do think that the result in the four in the third quarter was quite positive we had some delays in terms of our assumptions on staffing and so forth. So it was a good outcome and we think that will continue to refine that as we go forward.

Ian Johnston: We do think that the result in Q3 was quite positive. We had some, you know, delays in terms of our assumptions on staffing and so forth, so it was a good outcome, and we think that we'll continue to refine that as we go forward.

Okay. Thank you maybe just just to confirm during the litigation that it wasn't sort of one major case. It was a few different outcomes and so it's sort of spread across different segments, it's not like it.

Julian Radlinger: Okay. Thank you. Maybe just to confirm, sorry, on the litigation, that it wasn't sort of one major case, it was a few different outcomes, and so it's sort of spread across different segments. It's not like, you know, all in building envelope or all in building materials.

[Company Representative]: Sure. Hi, Tom. Thanks for the question. I think just to begin with the litigation, we're quite happy with the outcome during the quarter. We were able to reach final settlement on several long-standing commercial litigation items. As you would expect, we cannot provide details related to specific litigation items, but we're quite happy with the conclusion on those particular matters. Regarding the corporate costs, we did guide at a little bit higher range. We do think we're making good progress. This was our first quarter as a fully independent Amrize Ltd. We're quite pleased with our numbers being a little bit below what we expected. Our previous estimate was at the high end of what we'd expect. It's going to continue to evolve. We do think that the result in the third quarter was quite positive.

All in building a global building materials.

That's correct there were some longstanding items that we were able to resolve in the quarter as conclusive and it was a quite a good outcome from our perspective.

Ian Johnston: That's correct. There were some long-standing items that we were able to resolve in the quarter as conclusive. It was a quite good outcome from our perspective.

Okay I appreciate it thank you.

Dave.

Julian Radlinger: Okay. Appreciate it. Thank you.

Our next question is from Martin <unk> K P.

Ian Johnston: Thank you.

Operator: Thank you. Our next question is from Martin Huesler from ZKB. Please go ahead, Martin.

Please go ahead Martin Yes, good morning, I Hope you can hear me.

Martin Huesler: Yeah. Good morning. I hope you can hear me. I have a question. Can you give us a bit more background on the nature of this outage you were mentioning, if this was kind of maintenance driven or just about when and where this happened?

I have a question can you give us a bit more background on the nature of this outage you were mentioning if this was kind of maintenance driven or just about when and where it is happening.

[Company Representative]: We had some delays in terms of our assumptions on staffing and so forth. It was a good outcome, and we think that we'll continue to refine that as we go forward.

Thanks, Martin for the questions yesterday that happened in our mountain region.

Ian Johnston: Thanks, Martin, for the question. Yes, it happened in our mountain region. It was a temporary equipment outage. We were down for approximately 6 weeks to repair the equipment, which resulted in reduced production. We also had increased distribution costs. You know, the challenge here is that it was a very temporary in nature. However, given our extensive footprint and our network, we were able to leverage other opportunities to be able to supply and keep our customers, you know, satisfied. We were able to move product into the market and be able to meet the demand that was there. The equipment at the plant was repaired. Plant is now operating normal, and we expect that we'll be able to recover some of this production in Q4.

It was a temporary equipment outage.

We were down for approximately six weeks to repair the equipment, which resulted in reduced production. We also had increased distribution cost.

[Analyst 6]: Okay. Thank you. Maybe just to confirm, sorry, on the litigation, that it wasn't sort of one major case. It was a few different outcomes, and so it's sort of spread across different segments. It's not like, you know, all in building envelope or all in building materials.

The challenge here is that it.

It was a very temporary in nature. However, given our extensive footprint in our network, we were able to leverage other opportunities to be able to supply and keep our customers.

[Company Representative]: That's correct. There were some long-standing items that we were able to resolve in the quarter as conclusive, and it was a quite good outcome from our perspective.

Satisfied we were able to move product into the market and be able to meet the demand that was there the equipment at the plant was repair plant is now operating normal and we expect that we'll be able to recover some of this production in the fourth quarter.

[Analyst 6]: Okay. Appreciate it. Thank you.

[Company Representative]: Thank you.

Operator: Thank you. Our next question is from Martin Husler from ZKB. Please go ahead, Martin.

Thanks, that's helpful and then maybe on volumes.

[Analyst 8]: Good morning. I hope you can hear me. I have a question. Can you give us a bit more background on the nature of this outage you were mentioning? If this was kind of maintenance-driven or just about when and where this happened?

Martin Huesler: Oh, thanks. That's helpful. Maybe on volumes, because you had such a stellar growth in cement, however, pricing were down. I would just want to double-check if you think that's kind of are you chasing volumes and maybe give some price rebates or is this different functions there?

You had such a stellar growth in cement.

Ever pricing are down.

Just want to double check if you.

I think that's the kind.

Kind of are you chasing volumes.

Sure.

Maybe give some.

Price rebates or is just the different.

[Company Representative]: Thanks, Martin, for the question. Yes, it happened in our mountain region. It was a temporary equipment outage. We were down for approximately six weeks to repair the equipment, which resulted in reduced production. We also had increased distribution costs. The challenge here is that it was very temporary in nature. However, given our extensive footprint and our network, we were able to leverage other opportunities to be able to supply and keep our customers satisfied. We were able to move product into the market and be able to meet the demand that was there. The equipment at the plant was repaired. The plant is now operating normal, and we expect that we'll be able to recover some of this production in the fourth quarter.

Functions there.

Hey, Marty no. We didn't really do this I think we just had our customers starting more projects as reported especially in this most important market segment of commercial projects. So very happy to see that so the demand was not driven by us making any.

Jan Jenisch: Hey, Martin. No, we didn't really do this. I think we just had our customers starting more projects as reported, especially in this most important market segment of commercial projects. Very happy to see that. The demand was not driven by us making any concessions on pricing. You will probably see in the market that we probably had the best pricing or we're gonna be among the best pricings this year or something. This is something also we couldn't change within the Q3 time span. What makes us, I think confident for the future.

Concessions on pricing you will probably see in the market that we probably had the best pricing, while we began to be among the best pricing this year or something and.

And this is something also we couldn't change within the Q3.

Time span so that makes us I think confident for the future.

Thanks.

Helpful.

Thank you. Our next question is from Julien Roch linger from UBS. Please on mute your line and ask your question. Please.

[Analyst 8]: Oh, thanks. That's helpful. Maybe on volumes, because you had such a stellar growth in cement, however, pricing were down. I wish to double-check if you think that's kind of are you chasing volumes and maybe give some price rebates, or is this a different function there?

Martin Huesler: Thanks. That's helpful.

Operator: Thank you. Our next question is from Julian Radlinger from UBS. Please unmute your line and ask your question, please.

Yes. Thank you very much morning, Jan Ian Scott. Thanks for the time at two for me. Please so first of all in in building envelope can you talk to what drove the positive pricing in Brazil shingles.

Julian Radlinger: Yeah. Thank you very much. Morning, Jan, Ian, Scott. Thanks for the time. Two from me, please. First of all, in building envelope, can you talk to what drove the positive pricing in resi shingles when volumes were negative? Was that both a year-on-year and a sequential comment on pricing? i.e., is pricing holding up or is it declining in line with the resi and reroofing weakness? That's number one. Number two, in building materials, obviously your volumes were very strong in Q3. Now, based on your guidance for Q4, you're guiding to lower sales growth in Q4 than what we saw in Q3 implied. I remember that Q3 last year was a very wet quarter for the industry in some states.

When volumes were negative and was that both the year on year and a sequential comment on pricing is pricing holding up or is it declining in line with them with the resi and re roofing weakness.

Jan Jenisch: Hey, Martin. No, we didn't really do this. I think we just had our customers starting more projects as reported, especially in this most important market segment of commercial projects. Very happy to see that. The demand was not driven by us making any concessions on pricing. You will probably see in the market that we probably had the best pricing, or we're going to be among the best pricing this year or something. This is something also we couldn't change within the Q3 time span. What makes us, I think, confident for the future.

That's number one and then number two.

In building materials, obviously your volumes were very strong in Q3 and now based on your guidance for Q4, you're guiding to lower sales growth in Q4 than what we saw in Q3 implied.

And I remember that Q3 last year was a very wet quarter for the industry in some states. So is it fair to say that easy comps played some role in the strength of cement and aggregates volumes in Q3 and Q4, it will be a bit tougher just on a comps basis or or is that is that a is that something we shouldnt be thinking about thank you.

Julian Radlinger: Is it fair to say that easy comps played some role in the strength in cement and aggregates volumes in Q3 and Q4 will be a bit tougher just on a comp basis? Or is that something we shouldn't be thinking about? Thank you.

[Analyst 8]: Thanks. That's helpful.

No I think to your last question I don't think we should speculate about this at this point.

Operator: Thank you. Our next question is from Julian Radlinger from UBS. Please unmute your line and ask your question, please.

Jan Jenisch: No, I think to your last question, I don't think we should speculate about this at this point. As we talked about before, it's just difficult to guide now. We are happy with the project starts of our customers in Q3, and we believe this will be continuing from here. However, there are still uncertainties in the market, which makes it difficult to predict. Just have to take our guidance as a cautious guidance now for Q4. On the pricing side, I think we did a good step on the pricing on the shingles. This is something we do early in the year, and this has continued successfully, despite the decline in volumes in the market.

As we've talked about before it's just difficult to guide now we are happy with the project starts of our customers in Q3, and we believe this will be a continuing from here. However, there are still uncertainties in the market, which makes it difficult to predict so just have to take our guidance.

[Analyst 9]: Thank you very much. Morning, Jan, Ian, Scott. Thanks for the time. Two from me, please. First of all, in building envelope, can you talk to what drove the positive pricing in RESI shingles when volumes were negative? Was that both a year-on-year and a sequential comment on pricing? I.E., is pricing holding up, or is it declining in line with the RESI and re-roofing weakness? That's number one. Number two, in building materials, obviously, your volumes were very strong in Q3. Now, based on your guidance for Q4, you're guiding to lower sales growth in Q4 than what we saw in Q3 implied. I remember that Q3 last year was a very wet quarter for the industry in some states.

SASSA as a cautious guidance now for Q4 on the pricing side I think we did a good step on the pricing on the shingles. So this is something we do early in the year and this is <unk>.

<unk> continued successfully.

Despite the decline in volumes in the market.

Okay.

Thank you very much.

Thank you. Our next question is from will change from mid band is on mute your line and ask your question.

Glynis Johnson: Thank you very much.

Operator: Thank you. Our next question is from William Jones from Redburn. Please unmute your line and ask your question.

[Analyst 9]: Is it fair to say that easy comps played some role in the strength in cement and aggregates volumes in Q3 and Q4 will be a bit tougher just on a comps basis? Or is that something we shouldn't be thinking about? Thank you.

Morning.

Please can I, just explore that a little bit more confidence around pricing for for next year at building materials I guess on the other.

William Jones: Morning. Yeah, please, could I just explore a little bit more on the confidence around pricing for next year in building materials? I guess on the cement side, just wondering your view on the extent to which it would rely on volumes being up next year. Do you think price could make some progress even if volumes were flat? In aggregates, would you be willing to offer a view on what you might achieve potentially next year? Could it be another kinda mid to high single digit year on price? Thank you.

Jan Jenisch: No, I think to your last question, I don't think we should speculate about this at this point. As we talked about before, it's just difficult to guide now. We are happy with the project stats of our customers in Q3, and we believe this will be continuing from here. However, there are still uncertainties in the market, which makes it difficult to predict. You just have to take our guidance as a cautious guidance now for Q4. On the pricing side, I think we did a good step on the pricing on the shingles. This is something we do early in the year, and this has continued successfully despite the decline in volumes in the market.

Sorry, just.

Your view on the extent to which you would rely on volumes being up next year or do you think price can make some progress even if volumes were flat.

And then in aggregate would you be willing to offer a view on what you might achieve potentially next year could it be another kind of mid to high single digit year on price. Thank you.

But I think it's the wrong time now to talk specifics about next year guidance or something I think you should.

Jan Jenisch: I think it's the wrong time now to talk specifics about next year guidance or something. We provide already a lot of comments on market dynamics and on our action plan to position ourself well for next year, and this is what we are working on at the moment. I don't wanna give any more guidance regarding volumes or pricing. I think we talked already quite extensively around it.

Let me provide already a lot of comments on market dynamics and on our action plan to position ourself well.

Well for next year and this is what we are working on at the moment, but I don't want to give any more guidance regarding volume so pricing I think we talked already quite extensively around it.

[Analyst 9]: Thank you very much.

Okay.

I might just ask a different one in place which is just around.

Operator: Thank you. Our next question is from Will James from Redburn. Please unmute your line and ask your question.

William Jones: Okay. I might just ask a different one then, please, which is just around your kinda demand views and whether there's any difference between how you see Canada and the US in the mix.

Youll kind of demand views and whether there's any difference between how you see Canada and the U S in the mix.

No we are seeing and when you look at our results. We made good progress in Q3 in Canada and also in the U S.

[Analyst 10]: Morning. Please, can I just explore a little bit more on the confidence around pricing for next year in building materials? I guess it's on the cement side. Just wondering your view on the extent to which it would rely on volumes being up next year, or do you think price could make some progress even if volumes were flat? In aggregates, would you be willing to offer a view on what you might achieve potentially next year? Could it be another kind of mid to high single-digit year on price? Thank you.

Jan Jenisch: No. We're seeing when you look at our results, we made good progress in Q3 in Canada and also in the US.

Yeah.

Thank you.

Thank you. Our next question is from Glynis Johnson from Jefferies. Please <unk> your line and ask your question.

William Jones: Thank you.

Operator: Thank you. Our next question is from Glynis Johnson from Jefferies. Please unmute your line and ask your question.

Morning, Jeff.

Follow up on the inspire program.

Glynis Johnson: Morning. Yeah, it's just really a follow-up on the ASPIRE program because obviously you saw margin improvements coming through on the envelope side. You have reported lower, you know, non-allocated costs as well. I'm wondering how much of that actually is part of the ASPIRE program or is everything from ASPIRE going to come from sort of the Q4 onwards?

That improvement is coming through.

Appalachia have reported level.

Unallocated costs as well so I'm wondering how much does that at all.

Jan Jenisch: I think it's the wrong time now to talk specifics about next year guidance or something. I think you should, and we provide already a lot of comments on market dynamics and on our action plan to position ourselves well for next year. This is what we are working on at the moment. I don't want to give any more guidance regarding volumes or pricing. I think we talked already quite extensively around it.

We aspire program or is everything with my go to come from Q4 onwards.

Yes, hi, Thanks for the question, we do referenced a little bit in the presentation deck.

Ian Johnston: Yes. Hi. Thanks for the question. We do reference a little bit in the presentation deck. You know, for instance, we had over 300 suppliers added to our portfolio. We have over 100 projects that have been kicked off. We do expect to have some positive impact in our Q4. Really all of this will begin to materialize into the 2026 season. We're on pace for our 50 points of margin expansion beginning in 2026. We had a number of actions within the Q4. We're quite happy with the way things are progressing, and we think that that will continue into the Q4.

And for instance, we had over 300 suppliers added to our portfolio. We have over 100 projects that have been kicked off and.

And we do expect to have some positive impact in our fourth quarter, but really all of this will begin to materialize into the 2026 season, we're on pace for our 50 points of margin expansion beginning in 2026.

[Analyst 10]: Okay. I might just ask a different one then, please, which is just around your kind of demand views and whether there's any difference between how you see Canada and the U.S. in the mix.

Jan Jenisch: No. We're seeing, when you look at our results, we made good progress in Q3 in Canada and also in the U.S.

We had a number of.

Actions within the quarter, we're quite happy with the way things are progressing and we think that that will continue into the fourth quarter.

[Analyst 10]: Thank you.

Okay.

Operator: Thank you. Our next question is from Dennis Johnson from Jefferies. Please unmute your line and ask your question.

Okay, but there was nothing in the Q3 attempts to margin expansion can you fill out the level of corporate costs that you would say are partners by.

Glynis Johnson: Okay. There was nothing in the Q3 in terms of the margin expansion for the lower corporate costs that you would say is part of ASPIRE?

[Analyst 11]: Morning. It's just for the follow-up on the Aspire program because obviously, you saw margin improvements coming through on the envelope side. You have reported lower, you know, non-allocated costs as well. I'm wondering how much of that actually is part of the Aspire program, or is everything from Aspire going to come from sort of the Q4 onwards?

No or very limited Q3, we began this project.

Ian Johnston: No, very limited. Q3, we began this project in late April, early May. That's continuing. We have our teams mobilized. There's several hundred projects underway, but very limited in Q3.

In late April early May that's continuing we have our teams mobilized there's several hundred projects underway, but very limited in Q3.

Okay.

Thank you.

Thank you. Our next question is from Arnaud Lehmann from Bank of America. Please on mute your line and ask your question. Please.

Glynis Johnson: Thank you.

[Company Representative]: Yes. Hi. Thanks for the question. We do reference a little bit in the presentation deck. For instance, we had over 300 suppliers added to our portfolio. We have over 100 projects that have been kicked off, and we do expect to have some positive impact in our fourth quarter. Really, all of this will begin to materialize into the 2026 season. We're on pace for our 50 points of margin expansion beginning in 2026. We had a number of actions within the quarter. We're quite happy with the way things are progressing, and we think that will continue into the fourth quarter.

Operator: Thank you. Our next question is from Arnaud Lehmann from Bank of America. Please unmute your line and ask your question, please.

Thank you very much.

Scott.

Just to confirm one thing on capital allocation can you confirm that you have not done any buybacks, so far and is it.

Arnaud Lehmann: Thank you very much. Hello, Jan, Ian, and Scott. Just to confirm one thing on capital allocation. Can you confirm that you've not done any buybacks so far? Is share buyback something that could be possible in 2026? Maybe just in terms of just the idea of the model, you guide for DNA depreciation $850, the run rate is probably a bit closer to $900 for the full year. Is there any reason why depreciation will be smaller in Q4? Thank you very much.

It shall buyback something that could be placebo in 'twenty 'twenty six.

And maybe just in terms of just the idea of the model.

For DNA depreciation age 50, but.

Run rate is probably a bit closer to 900 for the full year any reason why you why depreciation will be smaller in Q4. Thank you very much.

Hi, Arnaud.

With regards to the buyback.

[Analyst 11]: Okay. There was nothing in the Q3 in terms of the margin expansion or the lower corporate costs that you would say are part of Project Aspire Synergy?

Ian Johnston: Hi, Arnold. With regards to the buyback and dividends, that's a policy. Those are policy questions that we still have to work through the board, and that would come up in early 2026. We haven't provided a framework for that yet, but that will be coming in due course once we have alignment with the board and then going to shareholders. Regarding the DNA, thank you. The question. We do expect a little bit of reduction in Q4, where we would have traditional equipment that would phase off in terms of their depreciation expense, so that should help us into Q4.

And dividends that's a policy those are policy questions that we still have to work through the board and that would come up in early 'twenty six we haven't provided a framework for that yet but that will be coming in due course once we have alignment with the board and then going to shareholders.

[Company Representative]: No. Very limited. Q3, we began this project in late April, early May. That's continuing. We have our teams mobilized. There are several hundred projects underway, but very limited in Q3.

Regarding the DNA. Thank you. The question, we do expect a little bit of a reduction in the fourth quarter, where we would have traditional equipment that when things off in terms of their depreciation expense, so that should help us into the fourth quarter.

[Analyst 11]: Thank you.

Operator: Thank you. Our next question is from Arnold Lehmann from Bank of America. Please unmute your line and ask your question, please.

[Analyst 12]: Thank you very much. Hello, Jan, Ian, and Scott. Just to confirm one thing on capital allocation, can you confirm that you've not done any buybacks so far? Is share buyback something that could be possible in 2026? Maybe just in terms of the idea of the model, you guide for D&A depreciation $850 million, but the run rate is probably a bit closer to $900 million for the full year. Is there any reason why depreciation will be smaller in Q4? Thank you very much.

Thank you very much.

Yes.

Thank you. Our last question is can page of any gosh <unk> San Please Amit your line and ask your question. Please.

Arnaud Lehmann: Thank you very much.

Operator: Thank you. Our last question is from Pujarini Ghosh from Bernstein. Please unmute your line and ask your question, please.

Thanks for taking the second question one follow up on.

Pujarini Ghosh: Thanks for taking the second question. One follow-up on the building materials margin. On the face of it, we saw a sharp decline in the margin on the building materials side. Even if we take off and adjust for the one-off outage this year and the higher land sales proceeds last year, we still see around 100 basis points of decrease in the margin. What is causing this decrease? Do you expect to kind of, you know, recover this maybe next year?

Building materials margin so.

On the face of it we saw a sharp decline in the.

Margin on the building side, but even if we deem costs and adjust for the one off outage this year or in the higher land sale proceeds block yeah.

[Company Representative]: Hi, Arnold. With regards to the buyback and dividends, that's a policy. Those are policy questions that we still have to work through the board, and that would come up in early 2026. We haven't provided a framework for that yet, but that will be coming in due course once we have alignment with the board and then going to shareholders. Regarding the D&A, thank you for the question. We do expect a little bit of reduction in the fourth quarter where we would have traditional equipment that would phase off in terms of their depreciation expense. That should help us into the fourth quarter.

You'll see around 100 basis points of decrease in the margin.

So what is causing the decrease.

Do you expect to kind of recover that.

Maybe next year.

Yes, hi, Thank you for joining a couple of items, obviously, we outlined in the presentation.

Ian Johnston: Yeah. Hi. Thanks, Pujarini. A couple of items, obviously we outlined in the presentation, the biggest factor being the plant outage that we had. We had, you know, basically six weeks to repair that equipment. That cost us $50 million. We had the significant variance in asset sales year-over-year. The other impact that's affecting us is lower pricing in cement. There's another decline of 0.6% in the quarter. Then there's some cost inflation that went along with that. Those would be the main items. We do expect to be able to recover some of that production volume going into Q4. That should help lift margins a little bit in Q4.

Asian <unk>.

The biggest factor being the.

Plant outage that we had.

We had.

Basically six weeks to repair that equipment that cost us $50 million, we had the significant variance in asset sales year over year. The other impact that's impact that's affecting us is lower pricing in cement, there's another decline of 0.6% in the quarter and then there's some cost inflation.

[Analyst 12]: Thank you very much.

Operator: Thank you. Our last question is from Pujirini Gosh from Bernstein. Please unmute your line and ask your question, please.

[Analyst 4]: Thanks for taking the second question. One follow-up on the building materials margins. I mean, on the face of it, we saw a sharp decline in the margin on the building material side. Even if we take off and adjust for the one-off outage this year and the higher land sales proceeds last year, we still see around 100 basis points of decrease in the margin. What is causing this decrease, and do you expect to kind of recover this maybe next year?

That went along with that but those would be the main main items, we do expect to be able to recover some of that production volume going into the fourth quarter that should help lift margins a little bit in the fourth quarter, but right now all of that temporary nature of the shutdown issues are behind us.

Ian Johnston: Right now, all of that, temporary nature of those shutdown issues are behind us.

Okay.

Thanks for that so in terms of price cost. So you would say it is like.

Pujarini Ghosh: Thanks for that. In terms of price cost, you would say it is, like, probably more negative than the 0.6% pricing decrease in cement?

Probably more negative than the one 6%.

<unk> decrease in humans.

Price cost in cement was negative thats correct because of those temporary cost increases in the.

[Company Representative]: Yeah. Hi. Thanks, Pujirini. A couple of items. Obviously, we outlined in the presentation the biggest factor being the plant outage that we had. We had basically six weeks to repair that equipment. That cost us $50 million. We had the significant variance in asset sales year over year. The other impact that's affecting us is lower pricing in cement. There's another decline of 0.6% in the quarter. There is some cost inflation that went along with that. Those would be the main items. We do expect to be able to recover some of that production volume going into the fourth quarter. That should help lift margins a little bit in the fourth quarter. Right now, all of that temporary nature of those shutdown issues are behind us.

Ian Johnston: Price cost in cement was negative, that's correct, because of those temporary cost increases in the in our Mountain Region.

In our mountain region.

Yeah.

Okay.

Yes. Thank you.

Thank you we have no movement, we have no further questions at this time I will turn the call back over to Scott <unk> Investor Relations officer for closing remarks.

Pujarini Ghosh: Yeah. Thank you.

Operator: Thank you. We have no further questions at this time. I will turn the call back over to Scott Einberger, Investor Relations Officer, for closing remarks.

Thank you all for joining us today for our third quarter earnings call. We look forward to speaking with you in February for our fourth quarter call have a nice day.

Ian Johnston: Thank you all for joining us today for our Q3 earnings call. We look forward to speaking with you in February for our Q4 call. Have a nice day.

[Analyst 4]: Thanks for that. In terms of price cost, you would say it is probably more negative than the 0.6% pricing decrease in cement?

[Company Representative]: Price cost in cement was negative. That's correct because of those temporary cost increases in our mountain region.

[Analyst 4]: Thank you.

Operator: Thank you. We have no further questions at this time. I will turn the call back over to Scott Einberger, Investor Relations Officer, for closing remarks.

Scott Einberger: Thank you all for joining us today for our third quarter earnings call. We look forward to speaking with you in February for our fourth quarter call. Have a nice day.

Q3 2025 Amrize AG Earnings Call

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