Thyssenkrupp Shareholders Back €0.15 Dividend Amid Major Corporate Overhaul

Bochum, Germany – Thyssenkrupp shareholders have given a resounding endorsement to management's strategic direction, approving all agenda items at the company's recent Annual General Meeting. The green light includes a dividend of €0.15 per share for fiscal 2024/25, a payout made possible by a return to positive cash flow and net income. The vote of confidence comes as the historic industrial group accelerates its transformation into a leaner financial holding company, a core pillar of its "ACES 2030" plan.

In his opening address, Supervisory Board Chairman Siegfried Russwurm framed the company's journey against a backdrop of persistent global instability. "We are operating in a 'new normal' of geopolitical tension, shifting trade policies, and economic polarization," he stated, citing the war in Ukraine and the instrumentalization of trade as key challenges. He also noted that while the need for decarbonization investment is immense, customer demand in some sectors has been slower to materialize than anticipated.

The meeting served as a progress report on Thyssenkrupp's fundamental shift from an integrated conglomerate to a holding model designed to grant its business segments greater independence. CEO Miguel López characterized the current period as a "year of implementation," following a "year of decisions." "Our goal is to make our businesses faster, more flexible, and more transparent, with direct access to capital markets," López told shareholders, adding that group headquarters would be streamlined in parallel.

A major milestone in this shift was the successful spin-off and listing of Thyssenkrupp Marine Systems (TKMS). López highlighted that the TKMS share was trading nearly 25% above its initial listing price at the referenced time, and that the combined value of Thyssenkrupp and the distributed TKMS shares implied a staggering increase of "well over 200%" over a 12-month period.

The CEO provided detailed updates on the group's core segments:

• Marine Systems (TKMS): Boasting a record order book, TKMS is positioned as an integrated maritime defense specialist. Recent wins include a two-submarine order from Norway. Management expects an adjusted EBIT margin around 7% and foresees its first dividend in fiscal 2025/26.
• Steel Europe: A restructuring agreement with union IG Metall provides a foundation for the division's future. Strategic talks with India's Jindal Steel are ongoing, while a previous joint venture discussion with EP Group has been terminated. The green transformation continues with a direct reduction plant in Duisburg, though initial operations will rely on a natural gas-hydrogen mix.
• Automotive Technology: Facing a tough market, this segment is undergoing a profound global restructuring targeting over €150 million in savings and approximately 18,000 job reductions. The sale of its automotive engineering business to Agile Robots is underway.
• Materials Services: The division is pivoting from traditional distribution to integrated supply chain solutions, underscored by the acquisition of ESG software provider Waves.
• Decarbon Technologies: Despite a slower-than-expected market ramp-up, the group is advancing key projects like an ammonia cracker with Uniper and expanding its electrolysis technology portfolio through subsidiary thyssenkrupp nucera.

Financially, the group reported sales of €32.8 billion for 2024/25, with adjusted EBIT improving to €600 million. Net income saw a dramatic year-over-year improvement to €532 million, aided by one-off items. However, López cautioned that the coming "year of implementation" would involve significant restructuring costs, likely leading to a net loss and negative free cash flow before M&A in the near term.

The dividend proposal passed with 98% approval. Shareholders also ratified the discharge of the management and supervisory boards, elected auditors, and approved the compensation report, which reflected a sharp increase in short-term variable payouts.

Analyst & Investor Reactions

Klaus Berger, Portfolio Manager at Rheinland Capital: "The dividend is a symbolic but important signal of stability. The real story is the holding structure unlock. The TKMS spin-off valuation pop is a promising proof of concept. If they can replicate that with Steel Europe, significant value could be created."

Dr. Anja Weber, Independent Industrial Analyst: "The sheer scale of the restructuring, especially in Automotive, is daunting. While the strategic logic is sound, the execution risk is enormous. The forecasted net loss for the implementation year underscores that the painful part of this transition is just beginning. The market will have little patience for missteps."

Michael Roth, Retail Shareholder & Former Thyssenkrupp Employee: "A 15-cent dividend feels like a slap in the face while they plan to cut 18,000 jobs. They talk about 'future viability,' but whose future? The holding model looks like financial engineering to make the parts more palatable for sale, not a plan to strengthen German industry. The board pats itself on the back for compensation, but what about the workers on the line?"

Sarah Chen, ESG Specialist at GreenRock Investments: "The voluntary CSRD compliance and CDP A-list rating are positive governance signals. The Decarbon Technologies update was honest about slower demand, which we appreciate. The long-term thesis for green hydrogen and electrolysis remains intact, but investors need to be prepared for a 'J-curve' of investment before returns."