Shares of Ferroglobe PLC (GSM) plunged 9.09% in pre-market trading on Thursday following the release of disappointing third-quarter 2025 financial results. The silicon and specialty metals producer reported a significant decline in sales and adjusted EBITDA, reflecting challenging market conditions, particularly in Europe.

According to the earnings report, Ferroglobe's Q3 2025 sales dropped 24% to $311.7 million from $386.9 million in the previous quarter. The company's adjusted EBITDA also decreased to $18.3 million from $21.6 million, resulting in an adjusted EBITDA margin of 5.9%. The primary factor behind the poor performance was a substantial 51% decline in shipments in Europe, attributed to low-priced imports from China.

Despite the overall negative results, Ferroglobe highlighted some positive developments, including a strong preliminary U.S. Silicon Metal AD/CVD decision, expected trade measures in the EU, and the signing of a multi-year energy agreement for French operations. The company also reported a modest free cash flow of $1.6 million for the quarter and noted cost improvements due to lower energy costs in Europe and effective cost management in the U.S. and Europe. However, these factors were not enough to offset investor concerns about the company's current financial performance, leading to the sharp pre-market sell-off.