Staff report

Vallourec, the multinational manufacturer of tubes used in global energy production, closed 2025 with solid financial results and a plan for one of its largest shareholder payouts to date, the company announced Feb. 27 in a news release.

Vallourec operates its main U.S. production facility along the Trumbull and Mahoning County border in Youngstown and Girard.

The company reported fourth‑quarter EBITDA — a measure of operating profit before interest, taxes, depreciation and amortization — of 214 million euros (1 euro equaled $1.18 U.S. dollars on Feb. 27, according to fxtop.com), maintaining a 21% margin.

CEO Philippe Guillemot said the company “converted over 80% of EBITDA to cash,” pointing to improved working‑capital management and operational efficiency. Total cash generation reached 177 million euros, and Vallourec ended the year with 39 million euros in net cash, a 179 million euro improvement from the prior quarter.

Shareholders are set to receive a substantial return in 2026. Vallourec plans to distribute about 650 million euros by August through buybacks and an interim dividend tied partly to the expected exercise of outstanding warrants.

Guillemot said the company is committed to being “one of the most shareholder‑friendly companies in our peer group.”

Vallourec expects first‑quarter 2026 EBITDA between 165 million and 195 million euros. Tube‑segment profitability per ton should remain steady, though volumes are expected to dip from late‑2025 levels. Vallourec’s Mine & Forest division is projected to sell roughly 1.4 million tons of iron ore in the quarter.

The company reports resilient U.S. demand and a continued decline in imports, which has supported pricing.

International activity slowed in late 2025, but Vallourec notes “early signs of activity rebound in key Middle East markets,” which could lift second‑half volumes.

Guillemot said Vallourec entered the new year from “a solid financial base,” with plans to invest in high-value technologies while maintaining its focus on “value over volume.”