Its EBITDA (earnings before interest, taxes, depreciation and amortization) reached RON336 million in January-September 2017, higher than RON167 million in the same period in 2016.
„Alro’s third-quarter financial results continued the positive evolution in the first half of 2017 and confirm, once again, that the complex investment program implemented by the company helped it boost the operational efficiency, enter complex markets, such as the aeronautics and automotive, and benefit from the increase in the global aluminium market this year”, said Marian Nastase, Chairman of Alro’s board.
Nastase also said Alro optimized its raw material costs, boosted its productivity and extended its portfolio of customers.
In January-September 2017, the aluminum price on the London Metal Exchange continued to record a growth trend, with an average $1,924/ton compared with an average $1,570/ton in the first nine months of 2016.
In the context of favourable market conditions, Alro boosted its gross margin to 21%, compared with 12% in the same period in 2016, and its operating profit reached RON273 million, versus RON111 million in January-September 2016.
In the first nine months of 2017, Alro’s primary aluminium sales rose 19%, and processed aluminium sales grew 18%.
Alro’s investments almost doubled year-on-year, at $24.5 million, in January-September 2017, aiming to increase the portfolio of customers and setting off a project co-financed from EU funds. Furthermore, Alro continued investments in boosting energy efficiency, enhancing the quality of products and in upkeep works needed for manufacturing.
Alro earmarked $41million for investments for the whole of 2017 and will monitor the evolution of raw material costs to keep its competitiveness on global markets.
Alro is a subsidiary of Vimetco N.V., a global, vertically-integrated primary and processed aluminum producer. Alro is the largest aluminum producer in Continental Europe (except for Russia and Scandinavia).