Aperam update on Q1 2025 market & financial trends
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17:35:16 03/04/2025
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Le 03 avril 2025 à 07:02
Aperam S.A.
/ Mot-clé(s) : Autres
Aperam update on Q1 2025 market & financial trends
03-Avr-2025 / 06:59 CET/CEST
Aperam update on Q1 2025 market & financial trends
Luxembourg, April 3, 2025 (07:00 CEST) – In preparation of the upcoming quarterly results release scheduled for Wednesday, 30 April 2025, we would like to remind market participants of the standing guidance, earnings drivers and events that should be considered.
The Q1 2025 outlook, as specified in the Q4 2024 presentation, the management podcast and during the conference call was:
Q1 2025 group adjusted EBITDA lower than Q4 2024 (EUR116m) despite seasonally higher shipments in Europe and the first time consolidation of Universal. These positive effects will be more than offset by pricing pressure in Europe, a clearly negative valuation effect and the seasonal trough in Brazil.
The Aperam compiled Q1 2025 adjusted EBITDA consensus stands at EUR87m (average) currently. The consensus is updated & published at: https://www.aperam.com/investors/news-contacts/results
Higher net financial debt versus the EUR544m reported at year end 2024 due to the acquisition of Universal Stainless & Alloy Products for USD537m (€518m) and seasonally higher net working capital. Capex was guided at EUR200m for 2025 with a higher share being spent in Q1. As a consequence of higher NWC and a high capex spend we project a negative free cash flow for first quarter2025.
Additional items
Volume seasonality
Europe: Normal seasonality with higher Q1 volumes compared to Q4, which was partly due to restocking. Demand remains at a depressed level overall. In Brazil Q1 forms the seasonal trough with lower shipments qoq.
Current trading & outlook
In Europe pricing pressure remained high in Q1 and realized pricing declined versus Q4. Recent political initiatives improved the sentiment, but actual trading remains unchanged so far. In Brazil demand remains solid as we harvest positive effects from the hot rolling mill upgrade. Q2 is a seasonally stronger quarter.
Commodity prices & valuation effect
For the group we guided for a meaningful negative valuation effect of EUR15 – 20m versus Q4.
Universal Stainless
Full consolidation started with closing on 23 January 2025 – reported within the Alloys & Specialties segment. Q1 performance reflects the clogged aerospace supply chain in the USA.
Leadership Journey Phase 5
On track to realise the target gains of EUR75m in 2025.
Please note that forward guidance for adjusted EBITDA, cash flow and net debt is always provided on a stable commodity price assumption.
Commodity prices & FX
DEC 24
JAN 25
FEB 25
MAR 25
Nickel LME
USD/t
15,434
15,883
15,284
16,025
Ferrochrome
USD/t
2,466
2,491
2,524
2,568
EU Stainless Scrap
USD/t
1,314
1,318
1,294
1,356
EU Stainless CR 2mm 304
USD/t
2,675
2,652
2,676
2,747
USD/EUR
x
1.05
1.07
1.04
1.08
USD/BRL Source: Bloomberg, CRU
x
6,10
5.78
5.77
5.77
The Q1 2025 Financial performance will be published post market close on Wednesday, 30 April 2025.
Aperam management will host a conference call for members of the investment community to discuss the Q1 2025 financial performance on 30 April 2025 at 18:30 CEST
The Capital Markets Day initially planned for June has to be postponed for scheduling reasons. We will inform you as soon as a new date has been set.
Forward Looking Statements
This document may contain forward-looking information and statements about Aperam SA and its subsidiaries. These statements include financial projections and estimates and their underlying assumptions, statements regarding plans, objectives and expectations with respect to future operations, products and services, and statements regarding future performance. Forward-looking statements may be identified by the words ‘’believe’’, ‘’expect’’, ‘’anticipate’’, ‘’target’’ or similar expressions. Although Aperam’s management believes that the expectations reflected in such forward-looking statements are reasonable, investors and holders of Aperam’s securities are cautioned that forward-looking information and statements are subject to numerous risks and uncertainties, many of which are difficult to predict and generally beyond the control of Aperam, that could cause actual results and developments to differ materially and adversely from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainties include those discussed or identified in Aperam’s filings with the Luxembourg Stock Market Authority for the Financial Markets (Commission de Surveillance du Secteur Financier). The information is valid only at the time of release and Aperam does not assume any obligation to update or revise its forward-looking statements on the basis of new information, future events, subject to applicable regulation.
Contact
Investor Relations / Thorsten Zimmermann: IR@aperam.com Communication / Ana Escobedo Conover: Ana.Escobedo@aperam.com
Diffusion d’une information Réseau Financier transmis par EQS Group. Le contenu relève de la responsabilité de l’émetteur.
Aperam S.A. est un acteur mondial de l’acier inoxydable, électrique et spécialisé. L’activité est organisée en quatre segments principaux : Acier inoxydable et aciers électriques, Services et Solutions, Alliages et Aciers Spéciaux, et Recyclage et Renouvelables.
Aperam S.A. dispose d’une capacité d’acier inoxydable et électrique plat de 2,5 Mt au Brésil et en Europe et est un leader dans les produits de spécialité à haute valeur ajoutée. En plus de son réseau industriel, réparti sur 16 sites de production au Brésil, en Belgique, en France, aux Etats-Unis, en Inde et en Chine, Aperam S.A. dispose d’un réseau de distribution, de traitement et de services hautement intégré et d’une capacité unique à produire des aciers inoxydables et spéciaux à faible empreinte carbone à partir de biomasse, de déchets d’acier inoxydable et de déchets d’alliages à haute performance.
Avec Bioenergia et sa capacité unique à produire du charbon de bois issu de sa propre sylviculture certifiée FSC® et avec ELG, un leader mondial de la collecte, du commerce, du traitement et du recyclage de ferrailles d’acier inoxydable et d’alliages à haute performance, Aperam S.A. place le développement durable au coeur de son activité, aidant ses clients du monde entier à exceller dans l’économie circulaire.
