Aurubis (NDA) Q3 23/24 earnings summary

Executive summary

• Operating EBT for the first nine months reached €333 million, up 30% year-over-year, driven by higher treatment and refining charges, strong metal results, copper premiums, robust wire rod demand, and lower energy costs, despite a major maintenance shutdown in Hamburg.

• Revenues remained stable at €12,939 million, with gross profit up 18% and consolidated net income up 31% to €267 million.

• Major strategic investments totaling €1.7 billion are progressing on time and within budget, including projects in Hamburg, Belgium, the U.S., and Bulgaria.

• The largest and most complex maintenance shutdown in Hamburg's history was completed, with €235–250 million invested in modernization and sustainability.

• Executive board transition announced, with new CEO and COO starting by October 2024.

Financial highlights

• Operating EBT reached €333 million, a 30% increase year-over-year; EBIT grew 32% to €328 million; EBITDA up 21% to €475 million.

• Gross profit rose 18% year-over-year; group-level gross margin up 11%.

• Net cash flow positive at €52 million, below last year due to high inventory payments.

• Capital expenditure surged 49% to €556 million, reflecting growth projects across the group.

• Equity ratio at 54.4%, above the >40% target; debt coverage at 0.5, well below the <3.0 target.

Outlook and guidance

• Full-year operating EBT guidance confirmed at €380–480 million, with expectations to reach the upper end; operating ROCE expected between 10% and 14%.

• Multimetal Recycling segment EBT guidance: €60–120 million; Custom Smelting & Products segment: €410–470 million.

• Operating free cash flow guidance confirmed at €500–600 million.

• CapEx budget for this year €900 million, next year €850 million.

• Stable demand anticipated for copper cathodes and wire rod; sulfuric acid revenues expected slightly below prior year.