Hexagon Composites faces "perfect storm" in Q3 2025 with significant revenue, EBITDA decline

Hexagon Composites ASA reported Q3 2025 revenues of NOK 538m, a significant decrease from NOK 1,250m in Q3 2024. The company's EBITDA for the quarter was NOK -54m, down from NOK 184m in the prior year, resulting in an EBITDA margin of -10%. This downturn is attributed to evolving trade policies, high capital costs, and a cyclical slump in core markets, including a soft truck market and reduced volumes in the Mobile Pipeline segment.

Despite these challenges, Hexagon Composites is implementing a group-wide cost savings program to enhance its EBITDA break-even point and safeguard liquidity. The company successfully refinanced its debt facilities to NOK 2bn in September 2025, with NOK 1.6bn available without leverage restrictions. Additionally, the company launched its own demo truck program and established Pioneer Clean Fleet Solutions, an independent leasing company for alternative fuels.

The long-term outlook remains positive, driven by an aging U.S. truck fleet, strong returns on investment, and positive feedback on the X15N engine, anticipating 8-10% growth in natural gas trucking. The company plans a stable finish to 2025, supported by its current backlog and cost-saving measures, while focusing on disciplined execution amidst uncertainty in 2026.