voestalpine generated gross sales of 16.68 billion euros in 2023/24 (as of the tip of March). The decline was 8.5 %. Based on the brand new CFO Gerald Mayer, who has been in workplace since April 1, that is “50 % every as a result of declines in quantity and value,” as he stated on the annual press convention on Wednesday.
Mayer put the truth that web revenue truly fell by 82.4 % to 207 million euros into perspective: “It’s important to learn the numbers in the best context.” 2022/23 was a file yr. Ebitda (earnings earlier than curiosity, taxes, depreciation and amortization) was consistent with the long-term common. Mayer due to this fact spoke of a “stable” consequence, and when it comes to debt (decrease than ever) and fairness ratio (45 %), voestalpine is “very nicely positioned,” additionally to handle the investments in inexperienced manufacturing within the coming years.
The explanation for the huge drop in earnings is primarily goodwill write-downs, together with on the German subsidiary Buderus, which is up on the market, and the automotive elements division within the Metallic Forming division, as Mayer defined. In complete, the write-downs quantity to 400 million euros.
The dividend might be lowered from EUR 1.50 to EUR 0.70 per share. Nevertheless, the payout ratio is 120 %. The corporate selected this dividend proposal as a result of “the consequence was influenced by one-off results and we generated a stable money circulate,” stated CEO Herbert Eibensteiner.
“Europe weakest market”
Eibensteiner categorised the markets geographically: “Europe was the weakest market” – primarily as a result of stagnating improvement in Germany. Within the USA, there was higher improvement than anticipated, with sturdy progress regardless of inflation and excessive rates of interest. Development in Asia fell due to the issues within the Chinese language actual property sector. South America was additionally affected by slower financial progress.
So far as the enterprise areas are involved, rail infrastructure, aviation and storage expertise developed nicely. Building, mechanical engineering and the patron items business declined. The previous space ought to proceed to be constructive within the present monetary yr, whereas the latter ought to stay “at the least on the present stage”. A continued secure improvement is anticipated within the automotive business and the vitality sector.
The variety of workers has risen barely throughout the group to 51,589. In Austria, there are round 24,000. Regardless of the weak economic system, Eibensteiner stated that the quantity in Austria would stay kind of secure. “We will breathe simple,” he stated, referring to 1,500 “man-years” of time beyond regulation that might be lowered.
As reported, voestalpine is investing round 1.5 billion euros in two electrical arc furnaces in Linz and Donawitz. The one in Linz is scheduled to enter operation in 2027. “The development websites are operating in keeping with plan,” stated Eibensteiner. The essential prerequisite for that is the development of the 220 kV energy line within the central Linz space. Final autumn, nevertheless, the Federal Administrative Court docket granted suspensive impact to the attraction by opponents of the mission. Now everyone seems to be ready for the ultimate resolution on the choice that the road might be constructed.
Hubert Zajicek, head of the metal division, stated {that a} listening to had lately taken place on this case, which considerations the community operator APG. “We’re assured that the choice might be confirmed.” This needs to be printed within the subsequent few days. There’ll due to this fact be no delays within the electrical arc furnace mission. For instance, the conveyor belt bridge for transporting uncooked supplies has already been constructed.
Writer
Alexander Zens
Editor Enterprise
Alexander Zens
