Aluminium Bahrain B.S.C. (Alba) released its full-year and fourth quarter of 2015 results on Thursday, February 18, 2016.
Alba reported total sales of BD 766.7 million (US$ 2.039 billion) in 2015 versus BD 821.6 million (US$ 2.185 billion) in 2014, down by 7% YoY due to the collapse of all-in-prices. As for the fourth quarter of 2015, total sales totalled BD 176.3 million (US$ 468.9 million), down by 21% YoY, versus BD 222.2 million (US$ 590.9 million) in Q4 2014, owing to the double dip of LME and premium prices.
Net Income stood at BD 59.9 million (US$ 159.5 million) in 2015 compared to BD 96.5 million (US$ 256.5 million) in 2014 - down by 38% YoY; while the company reported a net loss of BD 15.8 million (US$ 42 million) in the fourth quarter of 2015 versus Net Profit of BD 34.6 million (US$ 92 million) for the same period in 2014, down by 54% YoY, driven primarily by lower LME prices and the one-time charge related to an Early Retirement Scheme (ERS). The ERS program was designed to optimize overall manpower levels and also provide upward mobility for the younger generation of employees. Net Profit, excluding the one-off costs relating to early retirement pay-out, stood at BD 78.2 million (US$ 208 million) in 2015 and at BD 1.9 million (US$ 5 million) in Q4 2015.
The total dividend proposed for fiscal year 2015 is BD 15.5 million (US$ 41.3 million) versus BD 37.9 million (US$ 101 million) in 2014. The Board recommended a final 2015 dividend of BD 7.8 million (US$ 20.6 million) in addition to the interim dividend already paid in September 2015 of BD 7.8 million (US$ 20.6 million).
Commenting on the full-year results of 2015, the Chairman of Alba’s Board of Directors, Daij Bin Salman Bin Daij Al Khalifa: “2015 was another great year in terms of Safety and Production with Alba producing more than 960,000 metric tonnes. Alba’s underlying performance was very strong despite difficult market conditions … As we move ahead in 2016, we remain focused to accelerate ‘Line 6 Expansion Project’ early works so we remain on schedule to produce the first hot metal by early 2019.”
2016 Alba Priorities:
• Continuous focus on safety initiatives & talent management
• Introduction of “Titan Phase 2”
• Focus on Value-Added Sales
• Increase Creep Capacity with Minimal Capital Investment
• Kick-off the early works for Line 6 Expansion Project
Alba’s Chief Executive Officer, Tim Murray added: “Despite the collapse of all-in-prices, Alba continued to outpace the industry in terms of financial performance. 2016 will be a challenging year but we will build on the success of project Titan and the success of the ERS program which have helped us to optimize our cost structure for the difficult road ahead.”
