Voestalpine Shares Buoyed by Historic Warehouse Contract

A landmark order for its warehouse technology division has arrived at an opportune moment for Austrian steel and technology group Voestalpine. The company has secured the largest single contract in the division's history, a €41 million project to equip a major sports goods logistics center in Istanbul. This news reinforces a positive trend characterized by strengthening financials and a share price that has more than doubled over the past year.

The record contract lands against a backdrop of solid interim results. For the first half of the 2025/26 fiscal year (April to September 2025), Voestalpine reported a net profit of €198.6 million, marking an 8.6% increase compared to the same period last year.

The company's financial health showed marked improvement, with its gearing ratio strengthening significantly from 27.5% to 19.5%. Net debt was reduced to €1.47 billion, reaching its lowest level in approximately a decade. Based on this performance, the management board reaffirmed its full-year EBITDA guidance of between €1.40 billion and €1.55 billion for fiscal 2025/26.

Details of the Turkish Mega-Project

The €41 million order was placed by a leading Turkish logistics service provider, which is constructing a modern distribution hub for sporting goods in Istanbul. Voestalpine's scope includes supplying a high-bay warehouse and an automated small-parts storage system, known as a "Miniload."

Upon completion in April 2027, the facility will stand nearly 40 meters high, 222 meters long, and 86 meters wide, positioning it as one of the larger and more efficient storage solutions in the metropolitan region. The contract will be managed and recognized within the company's Metal Forming Division. This segment generated revenue of €3.1 billion and an EBITDA of €169.3 million in the 2024/25 fiscal year.

CEO Herbert Eibensteiner cited the project as evidence of robust global demand for high-quality storage systems and a validation of the group's technological capabilities.

Should investors sell immediately? Or is it worth buying Voestalpine?

Strategic Expansion and Global Project Pipeline

The Turkish project is not an isolated win but part of a series of international references for Voestalpine's warehouse technology business.

Recent completions include two 45-meter-high high-bay warehouses for furniture retailer JYSK's distribution center in the Netherlands. Concurrently, in the United Kingdom, the company is implementing a fully automated pallet racking system, 30 meters in height, for a retail client.

In parallel, Voestalpine is expanding its footprint in the North American market. A specially designed production site was established in Kentucky during the 2024/25 fiscal year to meet rising U.S. demand. This facility is scheduled for further expansion with additional equipment in the current business year.

Equity Performance and Market Sentiment

Voestalpine's share price has experienced a substantial rally. Having hit an annual low of €16.71 in January 2025, the stock price has since surged to €39.60, representing a gain of over 120% in the past twelve months. Since the start of the calendar year, the shares are up approximately 4.8%.

Market analysts appear cautiously optimistic. The current average price target stands at €39.92, closely aligned with the present trading level. Among 13 analysts covering the stock, eight currently recommend "Buy," while five advise "Hold." No "Sell" recommendations are currently in place.

Upcoming Milestones for Investors

Future financial reports will provide insight into how major contracts like the Istanbul project impact earnings progression. Key dates for investors include:
* 11 February 2026: Publication of Q3 2025/26 results.
* 3 June 2026: Release of the annual report for fiscal 2025/26.
* 1 July 2026: Planned date for the Annual General Meeting.