Ferroglobe (GSM) 17th Annual Midwest IDEAS Conference summary

Company overview and market position

• Operates over 50 furnaces globally with a diversified product mix: silicon metal, silicon-based alloys, and manganese alloys, each comprising about a third of sales.

• Majority of sales are in the U.S. and Europe, with efforts to expand market share in Asia.

• Products are critical for steel, aluminum, solar panels, EV batteries, and increasingly for defense and robotics sectors.

• Holds a leading position in Western markets, often as the sole producer of certain materials in Europe.

Strategic initiatives and growth opportunities

• Expanding into critical materials such as magnesium, antimony, silver, gallium, and ferroalloys, leveraging existing technical know-how and infrastructure.

• Plans to build a new magnesium plant in the U.S. with $180–$200 million CapEx, targeting Department of Defense demand.

• Exploring reactivation of Venezuelan assets, which offer low-cost production and proximity to raw materials, pending U.S. government approval.

• Partnership and investment in Coreshell for EV battery technology, aiming to reduce reliance on Chinese supply chains.

Operational and financial optimization

• Undergoing portfolio optimization and aggressive cost-cutting, including potential plant rationalization and overhead reduction.

• Capacity utilization is currently suboptimal; increasing utilization is a key focus.

• Balance sheet significantly improved: net debt reduced from over $500 million to about $38 million, with $93 million in cash.

• Dividend yield currently at 1.6%, with plans to increase the dividend amount over time.