NYSE:AMRZ
Amrize Ltd
A diversified investment holding firm leveraging significant real estate assets and joint ventures to generate substantial operating profits and cash flow.
Key Metrics
Investment Thesis
Bull Case
Investors may be attracted by the company's massive cash pile of $1.92 billion which offers a high safety margin against market volatility and funds for strategic acquisitions. The diversified asset base including over $9 billion in goodwill and extensive joint venture investments suggests deep industry connections and potential for future value creation through portfolio optimization.
Bear Case
The substantial non-operating income loss of $409 million alongside a retained earnings deficit of $902 million raises concerns about the sustainability of current earnings quality and historical profitability. High levels of other long-term liabilities at $7.24 billion and significant accumulated other comprehensive losses indicate potential balance sheet fragility that could be exacerbated by interest rate hikes or economic downturns.
About Amrize Ltd
Amrize Ltd. operates as a diversified investment holding company with significant assets in real estate and joint ventures, generating substantial revenue from continuing operations and discontinued entities. The company maintains a robust balance sheet with billions in cash and equivalents while managing large-scale capital expenditures to support its asset portfolio. Key financial highlights include strong operating profit margins derived from high gross profits relative to total cost of revenue.
Analysis
Management Discussion
The company reported a net profit of $1.18 billion against total revenue of $11.81 billion, demonstrating strong top-line performance despite significant non-operating losses of $409 million. Operating cash flow of $2.21 billion provides ample liquidity to cover the $788 million in capital expenditures and pay down liabilities, though the cash flow from financing activity was negative $1.55 billion indicating active share repurchases or debt issuances.
Industry Overview
The company operates within a complex investment holding environment where performance is driven by asset appreciation, rental income from real estate portfolios, and returns from equity investments in joint ventures. Success in this sector depends heavily on macroeconomic factors, interest rate environments, and the ability to manage large-scale capital expenditures while navigating significant non-operating costs.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2025 |
|---|---|
| Revenue | $11.81B |
| Cost of Revenue | $8.78B |
| Gross Profit | $3.03B |
| Operating Expenses | $1.13B |
| Operating Income | $1.91B |
| G&A | $1.13B |
| Stock-Based Comp | $14.0M |
| D&A | $758.0M |
| Amortization | $142.0M |
| Other OpEx | $0 |
| Non-Operating Income | $-409.0M |
| Interest Income | $48.0M |
| Pre-Tax Income | $1.50B |
| Income Tax | $326.0M |
| Continuing Ops | $1.17B |
| Discontinued Ops | $11.0M |
| Net Income | $1.18B |
| Minority Interest | $-3.0M |
| Net to Common | $1.19B |
| Metric | 2025 |
|---|---|
| Current Assets | $4.68B |
| Cash & Equivalents | $1.92B |
| Inventory | $1.55B |
| Prepaid Expenses | $88.0M |
| Other Current Assets | $1.12B |
| Long-Term Assets | $19.57B |
| Intangibles | $1.73B |
| Goodwill | $9.02B |
| Operating Leases | $608.0M |
| Other LT Assets | $8.16B |
| Total Assets | $24.25B |
| Current Liabilities | $2.86B |
| Current Leases | $136.0M |
| Deferred Revenue | $44.0M |
| Taxes Payable | $111.0M |
| Other Current Liab | $2.57B |
| Long-Term Liabilities | $8.14B |
| LT Operating Leases | $500.0M |
| Other LT Liab | $7.24B |
| Total Liabilities | $10.99B |
| Shareholders' Equity | $13.25B |
| Paid-In Capital | $12.74B |
| Retained Earnings | $902.0M |
| AOCI | $-391.0M |
| Treasury Stock | $0 |
| Total L&E | $24.25B |
| Metric | 2025 |
|---|---|
| Net Income (CFO) | $1.18B |
| Non-Cash Adjustments | $1.13B |
| Working Capital Changes | $-106.0M |
| Cash from Operations | $2.21B |
| Capital Expenditures | $788.0M |
| Cash from Investing | $-361.0M |
| Cash from Financing | $-1.55B |
| FX Effect | $45.0M |
| Net Change in Cash | $337.0M |
| Beginning Cash | $1.58B |
| Ending Cash | $1.92B |
Frequently Asked Questions
How does Amrize Ltd make money?
Real Estate Investment and Management, Joint Venture Holdings, Discontinued Operations Revenue Streams
What are the main risks for AMRZ?
Heavy reliance on non-operating income losses which significantly impact bottom line profitability, substantial capital expenditures of $788 million indicating ongoing heavy investment requirements or potential inefficiencies, large retained earnings deficit suggesting historical financial stress, and exposure to foreign exchange effects on cash flows.
What is AMRZ's competitive advantage?
Strong liquidity position with nearly $2 billion in cash and equivalents providing flexibility for acquisitions or debt repayment, high goodwill indicating valuable intangible assets and brand equity, and significant long-term operating lease assets that may provide stable future income streams.
Related Companies
Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.