Mersen reported a contraction in organic sales for 2025, with revenue falling 3.2% to €1,186 million, the French electrical power and advanced materials specialist said on Wednesday. Net income for the year declined to €14 million, a figure that reflects a €45 million asset impairment recorded during the period.
The company declared a dividend of €0.90 per share and said its return on capital employed for 2025 stood at 8.4%. Management highlighted that the year was marked by weaker demand in specific end markets, most notably solar and silicon carbide semiconductors, which weighed on volumes and the overall product mix.
Those declines were partially offset by stronger activity in other areas of Mersen's business. The transportation, wind power, and electrical distribution segments delivered more resilient performance, helping to mitigate the sales shortfall from solar and silicon carbide markets.
Despite the top-line pressure and an unfavourable mix of products, Mersen said disciplined cost management and business adaptation measures reduced the impact on profitability. The company reported that price increases and productivity improvements more than offset inflationary pressures on raw materials and labour.
On the cash flow front, Mersen returned to positive free cash flow in 2025, achieving that milestone a year earlier than its original timetable. Looking ahead, the company provided financial guidance for 2026 that assumes an organic sales increase of between 2% and 6%.
For next year, Mersen expects an EBITDA margin before non-recurring items of 16%, with a tolerance of plus or minus 50 basis points. The group also plans capital expenditure in a range of €90 million to €100 million for 2026.
Overall, the results paint a view of a company navigating a mixed demand environment by leaning on cost control and pricing levers while calibrating investment and margin expectations for the year ahead.
Key financial figures (2025)
- Organic sales decline: 3.2%
- Revenue: €1,186 million
- Net income: €14 million (includes €45 million impairment)
- Dividend declared: €0.90 per share
- Return on capital employed: 8.4%
2026 guidance
- Organic sales growth forecast: 2% to 6%
- EBITDA margin before non-recurring items: 16% ±50 basis points
- Capital expenditure plan: €90 million to €100 million