Tessenderlo Group NV
LSE:0KCP
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Tessenderlo Group NV
LSE:0KCP
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Tessenderlo Group NV
Tessenderlo Group is an industrial company that turns raw materials and by-products into specialty chemicals, crop nutrition products, and animal-based ingredients. It sells sulfur-based chemicals, fertilizer and soil-nutrition products for farmers, and gelatin and collagen ingredients used by food, pharma, and consumer goods makers. It also supplies industrial products used in water treatment, construction, and other heavy industries. The company makes money by manufacturing and selling these products to businesses rather than to consumers. Its customers include farmers and agricultural distributors, food and health-product companies, and industrial buyers that need reliable chemical inputs and engineered materials. Tessenderlo often works in markets where product quality, consistency, and supply reliability matter more than branding. What makes the business different is that it sits in several niche parts of the industrial value chain. It does not just sell finished products; it also processes materials that other industries produce as leftovers, such as animal-based raw materials for gelatin. That gives it a mix of agricultural exposure, industrial chemical demand, and ingredient supply businesses that are tied to basic end markets.
Tessenderlo Group is an industrial company that turns raw materials and by-products into specialty chemicals, crop nutrition products, and animal-based ingredients. It sells sulfur-based chemicals, fertilizer and soil-nutrition products for farmers, and gelatin and collagen ingredients used by food, pharma, and consumer goods makers. It also supplies industrial products used in water treatment, construction, and other heavy industries.
The company makes money by manufacturing and selling these products to businesses rather than to consumers. Its customers include farmers and agricultural distributors, food and health-product companies, and industrial buyers that need reliable chemical inputs and engineered materials. Tessenderlo often works in markets where product quality, consistency, and supply reliability matter more than branding.
What makes the business different is that it sits in several niche parts of the industrial value chain. It does not just sell finished products; it also processes materials that other industries produce as leftovers, such as animal-based raw materials for gelatin. That gives it a mix of agricultural exposure, industrial chemical demand, and ingredient supply businesses that are tied to basic end markets.
Revenue Growth: Tessenderlo Group reported H1 2025 revenue close to EUR 1.5 billion, up 7.1% year-on-year, driven by strong performance in the Agro and Machines & Technologies segments.
Profitability: EBITDA grew 8.4% to EUR 163 million, while adjusted EBIT was just under EUR 60 million. However, the group reported a loss of EUR 9 million, mainly due to a EUR 52 million noncash FX loss.
Segment Highlights: Agro saw a 13.6% revenue rise and strong EBITDA. Machines & Technologies segment delivered a significant EBITDA jump of nearly 163% to EUR 33 million.
Restructuring & Acquisitions: Restructuring at PB Leiner is progressing, and the group acquired Osterwalder AG, expanding its technology base.
Guidance & Outlook: 2025 full-year EBITDA is expected between EUR 265 million and EUR 318 million, but management emphasized caution due to global economic and geopolitical uncertainties.
Strategic Moves: Tessenderlo and Darling Ingredients plan to combine collagen and gelatin units in a JV called Nextida, expected to close in 2026, pending regulatory approvals.
Shareholder Returns: Continued share buybacks and dividends, with EUR 12 million spent on buybacks and EUR 45 million on dividends in H1.
