Recticel drops after H1 core profit and FY guidance miss

Recticel SA

29/08/2025 08:51

** Shares in Recticel RECT.BR are down 3.8%, paring losses after falling as much as 5.9%, after the Belgian plastics company posted core profit and FY guidance misses, says Degroof Petercam

** "Recticel is taking the right steps but end markets are very difficult," says broker, adding it sees a deflationary input cost environment

** Broker calls Benelux sector "dismal" with limited newbuilt permits, says group material growth will depend on market lift-off

** "Whereas our model anticipates an 11% margin almost as from 2027E onwards, a healthier price environment seems required to have material upside above these levels in our view," adds broker

** If losses hold, stock has dropped 4.87% YTD

 (Reporting by Dimitri Rhodes)

 ((Dimitri.rhodes@thomsonreuters.com))