Outokumpu (OUT1V) Q4 2024 earnings summary

Executive summary

• Adjusted EBITDA for 2024 was EUR 177 million, down from EUR 517 million year-over-year, amid weak demand, high import pressure, and a EUR -60 million strike impact.

• Outokumpu maintained leading market shares in Europe (31%) and North America (24%) despite challenging conditions.

• EUR 144 million was returned to shareholders in 2024 via dividends and buybacks.

• Sustainability leadership reinforced with a 32% emission intensity reduction since 2016 and world-class safety performance.

• CEO transition: Kati ter Horst started as President and CEO on October 1, 2024.

Financial highlights

• Sales for 2024 were EUR 5,942 million, a 15% decrease from EUR 6,961 million in 2023.

• Adjusted EBITDA fell to EUR 177 million from EUR 517 million year-over-year.

• Net result for 2024 was EUR -40 million; earnings per share EUR -0.09.

• Free cash flow for 2024 was EUR -71 million, compared to EUR 290 million in 2023.

• Net debt at year-end was EUR 189 million; liquidity reserves at EUR 1.1 billion.

Outlook and guidance

• Stainless steel deliveries in Q1 2025 expected to increase 10–20% sequentially, with continued price pressure.

• Maintenance costs forecasted to decrease by EUR 10 million; one-week strike in Finland to have EUR 15 million negative EBITDA impact.

• Adjusted EBITDA in Q1 2025 expected to be higher than Q4 2024, despite strike impact.

• EUR 50 million in short-term cost-saving actions to be realized in 2025.