BlueScope Steel earnings: FY2025 profit drops, outlook steady

BlueScope Steel's FY25 profit fell as conditions softened, but the business remains confident heading into FY26.

| More on:
a female steel worker wearing a high visibility vest with her protective helmet tucked under her arm smiles as she carries a clipboard in a large warehouse of steel products.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The BlueScope Steel Ltd (ASX: BSL) share price is in focus today after the company reported FY2025 underlying EBIT of $738 million and a net profit after tax of $83.8 million, both well down on last year as market conditions remained challenging.

What did BlueScope Steel report?

  • Underlying EBIT: $738 million, down $601 million from FY2024
  • Net profit after tax (NPAT): $83.8 million, down $721.9 million year-on-year
  • Underlying NPAT: $421 million
  • Final dividend: 30 cents per share, 50% franked
  • Operating cash flow: $180 million
  • Up to $240 million buy-back extension approved

What else happened in FY2025?

BlueScope faced softer profitability across all regions, with results impacted by lower steel spreads, higher costs, and delayed improvement in acquisitions. The North American business saw a $438.9 million impairment against BlueScope Coated Products due to slower-than-expected progress.

Australian operations delivered higher volumes in a strengthening construction market, while demand remained subdued for New Zealand and Pacific Islands. The company continued progress on sustainability with its second Climate Action Report and significant safety and inclusion initiatives.

What did BlueScope Steel management say?

Commenting on the result, BlueScope Managing Director and CEO Mark Vassella said:

Whilst a softer performance than last year, this level of profitability in the face of the cyclically soft conditions and global uncertainty during the year represents a resilient result… We are delivering results today while building for tomorrow.

What's next for BlueScope Steel?

Looking ahead, BlueScope is aiming for further cost and productivity improvements in FY2026, targeting $200 million in net improvements compared to FY2024. The company remains focused on growing annual earnings and realising value from landholdings while investing in decarbonisation projects.

Management expects underlying EBIT for the first half of FY2026 between $550 million and $620 million, pointing to signs of recovery in Australian construction and improving conditions in the US.

BlueScope Steel share price snapshot

Over the past year, the BlueScope Steel share price has outperformed the S&P/ASX 200 Index (ASX: XJO), rising 22% compared to 12% for the ASX 200 Index.

View Original Announcement

Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

More on Earnings Results

A young man stands facing the camera and scratching his head with the other hand held upwards wondering if he should buy Whitehaven Coal shares
Consumer Staples & Discretionary Shares

ASX 300 stock tumbles despite strong first half profit growth and guidance upgrade

This KFC restaurant operator is performing very positively in FY 2026.

Read more »

A man looking at his laptop and thinking.
Earnings Results

Metcash shares on watch amid $142m first half profit and flat dividend

It is results day for this popular income stock.

Read more »

A young man punches the air in delight as he reacts to great news on his mobile phone.
Earnings Results

Fisher & Paykel shares surge 8% on half-year results

The market's response was in appreciation of strong results and upgraded guidance.

Read more »

Man sitting in a plane looking through a window and working on a laptop.
Earnings Results

Guess which ASX 200 stock is jumping 14% on record results

This travel technology company had a record half. Let's dig deeper into things.

Read more »

A plumber gives the thumbs up
Earnings Results

Reece 1Q FY26: Revenue growth, profit margin pressures, and a $365m buyback

Reece posted higher revenue but softer profit margins in 1Q FY26.

Read more »

Shot of a young scientist using a digital tablet while working in a lab.
Earnings Results

ALS reports higher revenue, profit, and dividend for H1 FY26

ALS reported stronger H1 FY26 earnings as Commodities performance drove higher revenue, profit, and a bigger dividend for shareholders.

Read more »

a man in a green and gold Australian athletic kit roars ecstatically with a wide open mouth while his hands are clenched and raised as a shower of gold confetti falls in the sky around him.
Earnings Results

Catapult Sports earnings: ACV and profit hit record highs in 1H FY26

Catapult Sports lifted its ACV by 19% and operating profit by 50% in 1H FY26, while continuing global expansion.

Read more »

Man looking happy and excited as he looks at his mobile phone.
Materials Shares

Why are James Hardie shares jumping 9% today?

Let's see why this blue chip is getting a lot of investor attention from investors on Tuesday.

Read more »