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11 AUGUST 2022 AL CIRCLE

Alro achieves a turnover of RON2.1 billion with 39% increased sales, thanks to higher aluminium product demand

EDITED BY : DEBANJALI SENGUPTA 2MINS READ

Alro Group, one of the largest vertically integrated aluminium producers in Europe by capacity, has booked a net profit of RON 15.3 million for the first half of 2022 ended June 30, compared to a net loss of RON 47.6 million a year ago. The Group’s turnover has increased to RON 2.1 billion during H1 from RON 1.5 billion during the same period last year, thanks to the higher demand for aluminium on the international markets and LME price hike. Aluminium demand mainly stood high in the first quarter of 2022, especially flat-rolled and extruded products.

Alro achieves a turnover of RON2.1 billion with 39% increased sales, thanks to higher aluminium product demand

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Alro’s EBITDA also recorded a rise to RON 219.6 million in H1 2022 from RON 144.4 million in H1 2021. All this could be achieved by swift and decisive measures taken at the Group’s level to mitigate the effects of continued energy price rally. Alro continued to put all its efforts at reducing the use of electric power by ramping up the practice of recycling and improving energy efficiency of equipment and technological process.

"In H1 2022, the demand slowed down, new highest levels of inflation and record levels for interest rates materialized, all these adding further pressure on the companies and forcing us to prove adaptability and change our business model starting in 2022. Accordingly, we decided to temporarily suspend the production activity of three electrolysis halls at Alro beginning January 2022 and the entire alumina production at Alum, starting August 2022,” Alro chairman of the board of directors Marian Nastase said.

In terms of operational performance, Alro’s processed aluminium production rose 8.40 per cent year-on-year from 54,736 tonnes to 59,328 tonnes in H1 2022. But primary aluminium production decreased from 146,152 tonnes in H1 2021 to 118,638 tonnes in H1 2022.

The World of Aluminium Extrusions

In the upstream sector, both bauxite and alumina output plunged year-on-year from 632,176 tonnes to 481,569 tonnes and from 258,491 tonnes to 99,487 tonnes, respectively.

However, sales reflected strong growth of 39 per cent over the year from RON 1.5 billion to RON 2.1 billion.

Tagged with:

Aluminium Europe LME

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EDITED BY : DEBANJALI SENGUPTA 2MINS READ

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