Published by Global Banking & Finance Review®
Posted on February 5, 2026
2 min readLast updated: February 5, 2026
Add as preferred source on GoogleArcelorMittal's Q4 profit exceeded expectations with a $1.59 billion EBITDA, driven by rising steel demand.
By Javi West Larrañaga
Feb 5 (Reuters) - ArcelorMittal, the world's second largest steelmaker, reported fourth-quarter core profit above market forecasts on Thursday, as it expects lower steel imports into Europe to restore profitability to its mills on the continent.
Its shares rose more than 3% in the first hours of trading, hitting their highest levels since August 2011. They have gained around 25% since the start of the year.
The multinational group, headquartered in Luxembourg, posted earnings before interest, taxes, depreciation and amortisation of $1.59 billion for the quarter, beating analysts' average estimate of $1.51 billion, according to data compiled by LSEG.
EU MEASURES A BOON FOR DOMESTIC INDUSTRY
Even as global trade volatility hurt visibility last year, European steelmakers welcomed an increase in EU measures to protect the bloc's domestic industry, from the recently enacted Carbon Border Adjustment Mechanism (CBAM) to the European Commission's proposal to cut import quotas.
"While the ongoing geopolitical volatility brought significant challenges, important foundations were also laid for a more supportive operating environment moving forwards," ArcelorMittal CEO Aditya Mittal said in the earnings statement.
The CBAM, in place since January 1, is the European Union's tool to levy carbon-intensive goods entering the bloc to even the playing field for domestic producers, who have to adhere to stricter environmental criteria than some rivals.
ArcelorMittal estimated that these measures should reduce the number of flat and long steel products imported into the 27-country bloc by about 40%, compared to 2024 levels.
"That's really what is going to support and help the industry run at higher capacity utilisations," Chief Financial Officer Genuino Christino told Reuters, "And that should in turn also help with profitability."
The full effects of these measures will be seen in 2027, with the updated import quotas expected to be put in place from July 1 this year, Christino said.
In the meantime, ArcelorMittal expects to benefit from growing global demand, which it expects to rise by 2%, excluding China. In Europe, it aims to progressively regain market share for its mills through the year.
(Reporting by Javi West Larrañaga in Gdansk, editing by Milla Nissi-Prussak)
EBITDA stands for Earnings Before Interest, Taxes, Depreciation, and Amortization. It is a financial metric used to evaluate a company's operating performance.
Core profit refers to the earnings generated from a company's primary business operations, excluding any income from non-operating activities.
Market expectation refers to the anticipated performance of a company or economy based on current data and trends, often influencing investor decisions.
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