Cement company Holcim has listed its North American business separately on the stock exchange. So far, this has only paid off for skeptical investors.
The stock market speaks for itself.
Shares of Holcim spin-off Amrize, which recently went public at 46 Swiss francs per share, continue to fall.
A quarter of their value lost
On Thursday, they fell by around 10 percent at one point and were well below 36 Swiss francs per share.
Towards the end of trading, Amrize shares recovered slightly and closed at 37.85 Swiss francs per share.
For the initial subscribers, the setbacks represent a loss of around 23 percent within just a few weeks.
Profit slump compared to previous year
Investors reacted today to what had been announced Wednesday evening after the US stock market closed.
Half-year profits for 2025 slumped by around 21 percent compared to the previous year to 341 million dollars. Sales fell by 2 percent to 5.3 billion dollars, meaning few signs of optimism.
Since Amrize only does business in North America, the group led by Jan Jenisch as CEO and Chairman cannot cite negative currency effects.
Profit margin halved
In the second quarter, sales fell by around 1 percent to 3.2 billion dollars. Quarterly profits fell by around 10 percent to $428 million.
As reported by muula.ch, the North American spin-off of building materials manufacturer Holcim posted a significant loss in the first quarter.
Management speaks of attractive profit margins. However, this only applies after many adjustments.
The profit margin in the first half of 2025 is only 6.4 percent. Parent company Holcim itself achieved around twice this figure in the past fiscal year.
Balance sheet shows maneuvering
Investors should also be alarmed by the high value of intangible assets on Amrize’s balance sheet.
Goodwill and intangible assets amount to 9 billion dollars and 1.8 billion dollars, respectively, which account for almost 50 percent of the total balance sheet of 23.8 billion dollars.
Holcim up around 40 percent
North America, as a separate market, was supposed to bring salvation for the business. At least, that is how Holcim’s former CEO and Chairman Jenisch always portrayed the spin-off. So far, this has clearly not been the case.
Many former Holcim owners who have not yet sold their Amrize shares are clearly better off with their Holcim shares. Holcim shares are up around 40 percent over the past six months.
Those who did not believe in a boom in US business under President Donald Trump and sold immediately after the IPO saved themselves heavy losses.
Parent company flourishing
And at the rest of the Holcim Group, profits exploded by over 35 percent to almost 1 billion Swiss francs in the first half of the year.
The separation from North America was probably more of a liberating move for the building materials manufacturer’s parent company.
07.08.2025/kut./ena.
