Loxam sees final quarter growth and freezes CapEx in Middle East

Loxam reported a 4% decline in revenues to €2.47 billion for the year to 31 December but reported a growth in sales of 1.7% in the final quarter of the year, year-on-year, driven by its businesses outside of France.

The company said it had freezed capital expenditure in its Middle East business - Rapid Access Middle East - because of the Iran conflict, but said its exposure to the region was low at just 2.4% of total revenues in 2025.

The final quarter of the year saw 2.9% growth in its Nordic markets – Sweden, Finland and Norway – and by 3.3% in the rest of the world, which means Europe outside France, the Middle East, Brazil and Morocco.

EBITDA profit was 7.7% down at €872.8, representing an EBITDA margin of 35.3%.

A Loxam wheeled loader working in Paris. (Photo: Loxam)

Sales in France remained flat in the final quarter – 0.5% down and representing 40% of the total – but it has been a difficult full year in France, with revenues 6.5% lower than in 2024.

The company said that excluding the Paris Olympic games, revenue in the country was down by 1.8% to €1 billion; “While larger contractors continued to support the group’s commercial performance, the decline in revenue was due to lower activity among the SME segment in the context of a subdued residential construction sector.”

CEO comments

Gérard Déprez, chairman and CEO of Loxam, said; “In a challenging year for the construction industry, Loxam demonstrated its strong resilience in 2025 while maintaining disciplined execution.

“Although full-year revenue declined slightly, the decrease remained limited, and activity has improved progressively throughout the year, with a return to growth in the fourth quarter, particularly driven by the Nordic countries.”

He added that the company believed that it was well positioned to benefit from a rebound in the European construction sector; “While the recovery in residential construction is expected to remain gradual, continued investment in infrastructure, industry, and defence should support demand for equipment rental.”

Déprez said workplace accidents were significantly reduced across the group in 2025; “evidencing our strong focus on safety.” The award of the EcoVadis Platinum rating for corporate social responsibility placed it among the top 1% of companies rated.

The company invested €374 million on fleet in 2025 - 14% higher than in 2024 - and was dominated by replacement rather than growth spending. Loxam said 20% of the CapEx was on what it described as “green” assets, including electric, hybrid, gas, and hydrogen powered machines.