First quarter 2024 results “Non-traditional activities prove resilient in the industrial recession” Luxembourg, May 3, 2024 (07:00 CET) – Aperam (referred to as “Aperam” or the “Company”) (Amsterdam, Luxembourg, Paris, Brussels: APAM, NYRS: APEMY), announced today results for the three months ended March 31, 2024.
Highlights
Health and Safety: LTI frequency rate of 1.5x in Q1 2024 compared to 2.1x in Q4 2023
Shipments of 585 thousand tonnes in Q1 2024, a 8% increase compared to shipments of 541 thousand tonnes in Q4 2023
Adjusted EBITDA of EUR 55 million in Q1 2024, similar to Adjusted EBITDA of EUR 55 million in Q4 2023
Net loss of EUR (19) million in Q1 2024, compared to net income of EUR 70 million in Q4 2023
Basic earnings per share of EUR (0.26) in Q1 2024, compared to EUR 0.97 in Q4 2023
Free cash flow before dividend and share buy-back amounted to EUR (141) million in Q1 2024, compared to EUR 217 million in Q4 2023
Net financial debt of EUR 674 million as of March 31, 2024, compared to EUR 491 million as of December 31, 2023
Strategic initiatives
Leadership Journey® Phase 5: Gains reached EUR 3 million in Q1 2024 the first quarter of the 2024 – 2026 starting the first quarter in a program with target gains of EUR 200 million.
Prospects
Q2 2024 EBITDA is expected at a higher level versus Q1 2024
We guide for lower Q2 2024 net financial debt
Timoteo Di Maulo, CEO of Aperam, commented: “The European manufacturing environment resembles 2020 but with a much longer duration. Q1 marked the 7th consecutive recessionary quarter in the stainless steel industry. We are glad to have differentiated our value chain early. Recycling, forestry, alloys and distribution support the group through the low stainless cycle. Our Leadership Journey 5 focus of mix improvement and cost reduction focus will restore Aperam’s profitability and cash generating ability. Success is already visible in our ESG performance. At less than 280 kg CO2e per tonne of steel Aperam surpassed already in 2023 its ambitious target for 2030 and is a best in class producer globally.”