Tenaris' quarterly profit slips as Middle East conflict disrupts shipping

For the second half of 2026, Tenaris expects sales and core profit to remain broadly in line with first-half levels despite lower shipments to the Middle East and higher raw material costs. It said results could improve if shipping disruptions in the Strait of Hormuz ease before year-end.

Tenaris, which makes pipes for the energy industry, had warned in May the conflict would hurt its second-quarter sales.

U.S.-listed shares of the company fell more than 5% in after-hours trading following the results.

Italian steel pipe maker Tenaris reported lower second-quarter earnings on Wednesday, citing higher costs and delayed shipments to customers in the Middle East due to disruptions in the Strait of Hormuz.

Tenaris said net income for the quarter ended June 30 fell 9% year-on-year to $492 million, while net sales declined 4% to $2.97 billion. Its core profit fell 11% to $649 million.

Shipping traffic through the Strait of Hormuz remains largely unchanged as uncertainty persists over talks between the United States and Iran.

The Luxembourg-based company said quarterly sales decreased due to "the postponement of shipments to customers in the Middle East due to the effective closure of the strait of Hormuz for most of the period."