EQS-News: AMAG Austria Metall AG: Challenging environment influences quarterly result

EQS-News: AMAG Austria Metall AG: Challenging environment influences quarterly result

EQS-News: AMAG Austria Metall AG / Key word(s): Quarter Results
AMAG Austria Metall AG: Challenging environment influences quarterly

24.04.2024 / 07:20 CET/CEST
The issuer is solely responsible for the content of this announcement.


Ranshofen, April 24, 2024


AMAG Austria Metall AG: Challenging environment influences quarterly

• Quarterly performance influenced by lower aluminium price and lower
shipment volumes due to partly subdued incoming orders in Q4/2023
• Revenue of EUR 335.8 million below the previous year’s level due to
price and volume factors (Q1/2023: EUR 404.8 million)
• EBITDA of EUR 42.4 million above Q4/2023, but lower than in previous
year’s quarter (Q1/2023: EUR 60.8 million)
• Net income after taxes at EUR 13.3 million (Q1/2023: EUR 26.8 million)
• Cash flow from operating activities of EUR 35.6 million at the
previous year’s level (Q1/2023: EUR 35.6 million)
• Outlook for 2024: From today’s perspective and assuming no significant
global deterioration in the economic situation, full-year EBITDA is
expected to be between EUR 150 million and EUR 180 million

AMAG Austria Metall AG achieved a significant improvement in earnings
compared to the fourth quarter of 2023. Compared to the same quarter of
the previous year, Q1/2023, however, the significantly gloomier economic
environment, especially in Europe, was reflected. In the Metal Division, a
lower aluminium price in particular had a noticeable impact on revenues
and earnings, while production of primary aluminium remained stable. The
Ranshofen site continued to generate solid shipments in the Casting
Division. As expected, the Rolling Division was affected by the generally
subdued order intake in Q4/2023 and therefore lower shipments of aluminium
rolled products in Q1/2024. Sales volumes to the transport industry
continued to develop positively.

At EUR 335.8 million, the AMAG Group’s revenue primarily reflects the
lower aluminium price level and the lower shipment volumes (Q1/2023: EUR
404.8 million). Total shipments in Q1/2024 amounted to 104,200 tonnes
after 110,400 tonnes in the first quarter of the previous year.

At EUR 42.4 million, earnings before interest, taxes, depreciation and
amortisation (EBITDA) were down on the previous year (Q1/2023: EUR 60.8
million), but well above the results from Q4/2023.

The Metal Division generated EBITDA of EUR 17.2 million in the first
quarter of 2024 (Q1/2023: EUR 18.4 million), which is still well above the
average quarterly result of recent years. With production remaining
stable, the lower aluminium price and premium level as well as the higher
alumina costs in relation to the aluminium price had a particularly
noticeable effect compared to the previous year.

The Casting Division once again achieved solid sales of recycling foundry
alloys in the first three months of 2024, slightly below the level of
Q1/2023. Higher structural costs and a change in market price levels were
only partially offset by lower energy prices. EBITDA thus totalled EUR 2.2
million after EUR 4.1 million in the first quarter of the previous year.

The Rolling Division generated EBITDA of EUR 22.5 million in the first
quarter of 2024 (Q1/2023: EUR 40.0 million) with lower sales volumes due
to the subdued order development in Q4/2023. Product mix optimisations and
lower energy and raw material prices partially cushioned the
market-related decline in sales volumes and the lower price level.

After taking into account depreciation and amortisation of EUR 22.2
million, the AMAG Group reported earnings before interest and taxes (EBIT)
of EUR 20.2 million (Q1/2023: EUR 39.5 million).

Net income after taxes amounted to EUR 13.3 million in the first quarter
of 2024 after EUR 26.8 million in the first quarter of the previous year.

Cash flow from operating activities benefited from the high operating
result and thus remained unchanged from the previous year at EUR 35.6
million. Taking into account the cash flow from investing activities in
the amount of EUR -26.0 million (Q1/2023: EUR -23.5 million), a free cash
flow of EUR 9.6 million (Q1/2023: EUR 12.0 million) was generated.

Net financial debt as of 31 March, 2024 improved to EUR 356.7 million
(December 31, 2023: EUR 364.3 million). Liquidity also increased to
EUR 178.2 million as at 31 March, 2024 (December 31, 2023: EUR 168.9

Outlook 2024:

Following a subdued order trend in the fourth quarter of the previous
year, the first three months of 2024 showed an overall improvement in the
order situation in an economic environment that remains gloomy, especially
in Europe. The current GDP forecasts for Germany and Austria are a modest
+0.2% for 2024, while economic growth in the eurozone is expected to be
slightly better at +0.7%.[1][1] In the medium to long term, current CRU
forecasts[2][2] confirm a positive trend in demand for aluminium across
all sectors, with the transport sector in particular expected to develop

Dr. Helmut Kaufmann, CEO of AMAG: “Overall, we can look back on a
challenging first quarter of 2024. The order situation has improved
somewhat, although some industries are showing restraint as expected. We
will continue to utilise our broad positioning and high product diversity
and respond flexibly to the market environment with our international
customer structure.”

The further course of business will depend, among other things, on demand
trends in the sales markets relevant to AMAG and on aluminium price
trends. At present, solid shipment volumes are expected in the Metal and
Casting divisions. Based on current economic forecasts, we anticipate an
improved sales situation in the Rolling Division in the second half of

From today’s perspective and assuming no significant global deterioration
in the economic situation, full-year EBITDA is expected to be between
EUR 150 million and
EUR 180 million. 


AMAG key figures: 

  Q1/2024 Q1/2023 Change
Shipments in tonnes 104,200 110,400 -5.7%
of which external shipments in tonnes 95,500 102,800 -7.1%
Revenue in EUR million 335.8 404.8 -17.0%
EBITDA in EUR million 42.4 60.8 -30.3%
EBIT in EUR million 20.2 39.5 -49.0%
Net income after taxes in EUR million 13.3 26.8 -50.4%
Cash flow from operating activities in EUR million 35.6 35.6 0.0%
Cash flow from investing activities in EUR million -26.0 -23.5 10.5%
Employees in FTE^1) 2,240 2,219 0.9%


  March 31, 2024 December 31, 2023 Change
Equity in EUR million 768.5 746.3 3.0%
Equity ratio in % 47.0% 46.1%  
Gearing in % 46.4% 48.8%  

[1) Average number of employees (full-time equivalents), including
contract workers and excluding apprentices. Includes personnel from the
Alouette smelter (20%) and of AMAG components.]


About the AMAG Group

AMAG is a leading Austrian premium supplier of high-quality aluminium cast
and flat rolled products for highly varied industries such as the
aircraft, automotive, sports equipment, lighting, mechanical engineering,
construction and packaging industries. The Canadian smelter Alouette, in
which AMAG holds a 20 % interest, produces high-quality primary aluminium,
while maintaining an exemplary net ecological impact. At AMAG components,
based in Übersee am Chiemsee (Germany), ready-to-install metal parts are
also manufactured for the aircraft industry.


Investor contact Press contact
Christoph M. Gabriel Leopold Pöcksteiner
Head of Investor Relations Head of Corporate Communications
AMAG Austria Metall AG AMAG Austria Metall AG
Lamprechtshausener Straße 61 Lamprechtshausener Straße 61
5282 Ranshofen, Austria 5282 Ranshofen, Austria
Phone: +43 (0) 7722-801-3821 Phone: +43 (0) 7722-801-2205
Email: investorrelations@amag.at Email: publicrelations@amag.at
Website: www.amag-al4u.com  



The forecasts, budgets and forward-looking assessments and statements
contained in this publication were compiled on the basis of all
information available to AMAG as of April 12, 2024. In the event that the
assumptions underlying these forecasts prove to be incorrect, targets be
missed, or risks materialise, actual results may diverge from those
currently anticipated. We are not obligated to revise these forecasts in
the light of new information or future events.

This publication was prepared and the data contained in it verified with
the greatest possible care. Nevertheless, misprints and rounding and
transmission errors cannot be ruled out entirely. In particular, AMAG and
its representatives do not assume any responsibility for the completeness
and correctness of information included in this publication. This
publication is also available in German. In cases of doubt, the
German-language version takes precedence.

This publication does not comprise either a recommendation or a
solicitation to either purchase or sell securities of AMAG.  

[3]^[1] See WIFO Economic Forecast 1/2024, March 2024

[4]^[2] See Commodity Research Unit, Aluminium Market Outlook, January
2024 & Aluminium Rolled Products Market Outlook, February 2024


24.04.2024 CET/CEST This Corporate News was distributed by EQS Group AG.


Language: English
Company: AMAG Austria Metall AG
Lamprechtshausener Straße 61
5282 Ranshofen
Phone: +43 7722 801 0
Fax: +43 7722 809 498
E-mail: investorrelations@amag.at
Internet: www.amag-al4u.com
Listed: Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt,
Munich, Stuttgart; Vienna Stock Exchange (Official Market)
EQS News ID: 1886501

End of News EQS News Service

1886501  24.04.2024 CET/CEST


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