Ternium (NYSE: TX) trims 2025 dividend to $2.20 per ADS amid uncertainty
Filing Impact
Filing Sentiment
Form Type
6-K
Rhea-AI Filing Summary
Ternium S.A. revised its 2025 dividend proposal, lowering the recommended payout to $2.20 per ADS ($0.22 per share), or $432 million, from the previously announced $2.70 per ADS.
The annual dividend figure includes an interim dividend of $0.90 per ADS ($0.09 per share), or $177 million, already paid in the fourth quarter of 2025. If shareholders approve the new proposal on May 12, 2026, a remaining net dividend of $1.30 per ADS ($0.13 per share), or $255 million, will be paid on May 15, 2026, to holders of record on May 14, 2026.
The Board kept its outlook for higher adjusted EBITDA in the first quarter of 2026, with expectations for further improvement in the second quarter, but chose to reduce the dividend to reinforce the balance sheet amid global uncertainty and potential economic effects from the conflict in the Middle East.
Positive
- None.
Negative
- Dividend reduction signals caution: The Board cut the recommended 2025 dividend from $2.70 to $2.20 per ADS, a lower cash return to shareholders driven by global economic uncertainty and balance sheet concerns.
Insights
Ternium trims 2025 dividend despite EBITDA growth outlook, prioritizing balance sheet strength.
Ternium cut its recommended 2025 dividend from $2.70 to $2.20 per ADS, for a total of $432 million. This follows an interim payout of $0.90 per ADS already paid in Q4 2025, leaving a proposed final dividend of $1.30 per ADS.
Management still expects a sequential increase in adjusted EBITDA in Q1 2026 and further improvement in Q2, but the Board is emphasizing balance sheet reinforcement in light of global uncertainty, particularly potential macroeconomic impacts from the conflict in the Middle East.
If shareholders approve the revised proposal at the meeting on May 12, 2026, the remaining dividend of $255 million will be paid on May 15, 2026. Subsequent company communications may clarify how evolving macro conditions influence capital allocation beyond 2025.
Key Figures
Revised 2025 dividend: $2.20 per ADS ($0.22 per share)
Total 2025 dividend amount: $432 million
Previous dividend proposal: $2.70 per ADS
+4 more
7 metrics
Revised 2025 dividend
$2.20 per ADS ($0.22 per share)
Recommended total dividend for fiscal year 2025
Total 2025 dividend amount
$432 million
Aggregate dividend corresponding to $2.20 per ADS
Previous dividend proposal
$2.70 per ADS
Original recommended 2025 dividend before revision
Interim dividend already paid
$0.90 per ADS ($0.09 per share), $177 million
Paid in the fourth quarter of 2025
Remaining net dividend
$1.30 per ADS ($0.13 per share), $255 million
To be paid May 15, 2026 if approved
Shareholders’ meeting date
May 12, 2026
Date to vote on revised dividend proposal
Dividend payment date
May 15, 2026
Scheduled payment date for remaining 2025 dividend
Key Terms
ADS, interim dividend, adjusted EBITDA, forward-looking statements, +1 more
5 terms
ADS financial
"lowering the recommended payout to $2.20 per ADS ($0.22 per share)"
Ads are paid promotional messages a company places across media — online, on TV, in print, or on social platforms — to attract customers, explain products, or shape public perception. For investors, ads matter because they drive sales growth, affect how much a company must spend to win customers, and influence brand strength and long-term value. Ads can also create regulatory or reputational risk if claims are misleading, which can affect profits and stock price.
interim dividend financial
"The annual dividend includes the interim dividend of $0.90 per ADS"
An interim dividend is a cash payment a company declares and often pays before its annual results are finalized, similar to a mid‑year bonus paid from current profits. It matters to investors because it delivers immediate income, signals the company’s short‑term cash strength and confidence in ongoing earnings, and can influence share price and investor expectations about future payouts.
adjusted EBITDA financial
"maintains its outlook for a sequential increase in adjusted EBITDA in the first quarter of 2026"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
forward-looking statements regulatory
"Some of the statements contained in this press release are “forward-looking statements”."
Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.
gross domestic product financial
"risks arising from uncertainties as to gross domestic product, related market demand"
Gross domestic product (GDP) measures the total value of all goods and services produced within a country over a set period, usually a quarter or a year. Investors use GDP as a broad gauge of economic health—like a country’s yearly paycheque or scorecard—because faster growth usually supports higher corporate profits, stronger stock markets and rising demand for credit, while slowing or contracting GDP can signal weaker earnings, tighter lending and increased market risk.
FORM 6 - K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a - 16 or 15d - 16 of
the Securities Exchange Act of 1934
As of 4/15/2026
Ternium S.A.
(Translation of Registrant's name into English)
Ternium S.A.
26, Boulevard Royal, 4th floor
L-2449 Luxembourg
(352) 2668-3152
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or 40-F.
Form 20-Fa Form 40-F __
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12G3-2(b) under the Securities Exchange Act of 1934.
Yes __ Noa
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):
Not applicable
The attached material is being furnished to the Securities and Exchange Commission pursuant to Rule 13a-16 and Form 6-K under the Securities Exchange Act of 1934, as amended.
This report contains Ternium S.A.’s press release announcing the revision of Ternium’s 2025 dividend proposal in response to global uncertainty.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
TERNIUM S.A.
By: /s/ Guillermo Etchepareborda By: /s/ Sebastián Martí
Name: Guillermo Etchepareborda Name: Sebastián Martí
Title: Attorney in Fact Title: Attorney in Fact
Dated: April 15, 2026
 |  | |||||||
Sebastián Martí
Ternium - Investor Relations
+1 (866) 890 0443
+54 (11) 4018 8389
www.ternium.com
Revision of Ternium’s 2025 Dividend Proposal in Response to Global Uncertainty
Luxembourg, April 15, 2026 – Ternium S.A. (NYSE: TX) today announced that its Board of Directors has revised its dividend proposal for fiscal year 2025, lowering the recommended payout to $2.20 per ADS ($0.22 per share), or $432 million, from the previously announced $2.70 per ADS. The annual dividend includes the interim dividend of $0.90 per ADS ($0.09 per share), or $177 million, paid in the fourth quarter of 2025.
Although the company maintains its outlook for a sequential increase in adjusted EBITDA in the first quarter of 2026 and expects further improvements in the second quarter, the Board of Directors has determined that implementing measures to reinforce the company’s balance sheet is a prudent course of action in the current environment. This decision reflects caution amid ongoing uncertainties regarding the potential impact in the global economy of the conflict in the Middle East.
If the Board of Directors’ proposal is approved at the shareholders’ meeting to be held on May 12, 2026, a net dividend of $1.30 per ADS ($0.13 per share), or $255 million, will be paid on May 15, 2026, with record date on May 14, 2026.
Forward Looking Statements
Some of the statements contained in this press release are “forward-looking statements”. Forward-looking statements are based on management’s current views and assumptions and involve known and unknown risks that could cause actual results, performance or events to differ materially from those expressed or implied by those statements. These risks include but are not limited to risks arising from uncertainties as to gross domestic product, related market demand, global production capacity, tariffs, cyclicality in the industries that purchase steel products and other factors beyond Ternium’s control.
About Ternium
Ternium is a leading steel producer in the Americas, providing advanced steel products to a wide range of manufacturing industries and the construction sector. We invest in low carbon emissions steelmaking technologies to support the energy transition and the mobility of the future. We also support the development of our communities, especially through educational programs in Latin America. More information about Ternium is available at www.ternium.com.
FAQ
How did Ternium (TX) change its 2025 dividend proposal?
Ternium’s Board revised its 2025 dividend proposal, lowering the recommended payout to $2.20 per ADS from $2.70. The new total dividend equals $432 million, including an interim $0.90 per ADS already paid in Q4 2025, reflecting greater caution amid global uncertainty.
What total dividend amount will Ternium (TX) pay for 2025 under the revised proposal?
Under the revised proposal, Ternium plans a total 2025 dividend of $2.20 per ADS, or $432 million. This includes a $0.90 per ADS interim dividend ($177 million) already paid and a remaining $1.30 per ADS ($255 million), subject to shareholder approval.
When will Ternium’s revised 2025 dividend be paid if approved?
If shareholders approve the revised proposal on May 12, 2026, Ternium will pay a net dividend of $1.30 per ADS on May 15, 2026. The corresponding record date is May 14, 2026, determining which shareholders receive this $255 million payment.
Why did Ternium (TX) reduce its 2025 dividend recommendation?
Ternium reduced its 2025 dividend recommendation to reinforce its balance sheet amid global uncertainty. The Board cited ongoing concerns about the potential impact of the conflict in the Middle East on the global economy, despite maintaining a positive adjusted EBITDA outlook for early 2026.
What is Ternium’s earnings outlook alongside the dividend cut?
Despite the dividend cut, Ternium maintains its outlook for a sequential increase in adjusted EBITDA in the first quarter of 2026. The company also expects further adjusted EBITDA improvements in the second quarter, while still prioritizing financial strength given uncertain macroeconomic conditions.
How much of Ternium’s 2025 dividend has already been paid?
Ternium has already paid an interim dividend of $0.90 per ADS ($0.09 per share), totaling $177 million, in the fourth quarter of 2025. This interim payment forms part of the revised full-year 2025 dividend of $2.20 per ADS, or $432 million overall.