AMAG Austria Q1’26: High aluminium prices drive robust earnings

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Leading company in the Austrian aluminium industry, AMAG Austria Metall AG, posted its financial results for the January-March quarter (Q1) 2026, displaying a modest revenue increase but robust gains, driven by favourable pricing dynamics. The lowered raw material or alumina cost and a continued upward trend in aluminium prices, both in the London Metal Exchange (LME) and the US Midwest premiums, helped the company navigate through the trade disruptions caused by the Middle East conflict. 

AMAG CEO Dr Helmut Kaufmann noted, "The very good earnings in the first quarter of 2026 underline the stability of our business model and the high performance of our organisation. AMAG has thus once again proven itself to be a reliable company, even in a challenging and volatile environment." 

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Across its operating segments of Metal, Casting, and Rolling, as well as AMAG’s investment in the Alouette facility in Canada, supported the overall earnings growth as operational efficiency was maintained alongside product diversification in the backdrop of a global economic outlook that was largely slumped.

Financial snapshot of AMAG’s Q1 2026

Although a surge in shipment volumes hit a pause, AMAG’s Q1 2026 reported considerable year-on-year growth in earnings compared to Q1 2025:  

Revenue – EUR 403.8 million (USD 473.45 million), up 0.6 per cent Y-o-Y from EUR 401.4 million (USD 470.64 million)

EBITDA – EUR 57.1 million (USD 66.95 million), up 23.9 per cent Y-o-Y from EUR 46.1 million (USD 54.05 million)

Net income after taxes rose – EUR 26.5 million (USD 31.07 million), up 63.8 per cent Y-o-Y from EUR 16.2 million (USD 18.99 million)

Operating cash flow – EUR 168.1 million (USD 197.1 million), up 41.3 per cent Y-o-Y from EUR 119 million (USD 139.53 million)

Operating profit (EBIT) – EUR 37.9 million (USD 44.44 million), up 59.4 per cent Y-o-Y from EUR 23.8 million (USD 27.91 million)

Earnings per share (EPS) – EUR 0.75 (USD 0.88), up 63.04 per cent Y-o-Y from EUR 0.46 (USD 0.54)

A closer look at the three divisions  

The strongest performance was delivered by the Metal Division. EBITDA increased Y-o-Y by EUR 11.2 million (USD 13.13 million). Favourable alumina and aluminium price levels, coupled with high-capacity utilisation at the Canadian Alouette smelter, contributed to the growth.

The Casting Division reported a slightly positive business performance amid a persistently challenging environment. EBITDA improved by EUR 400,000 (USD 468,999) due to increased productivity and high adaptability. However, the unfavourable conditions in Europe continue to impact scrap availability and price dynamics.

The Rolling Division witnessed an increase in sales volume. This was driven by the automotive (OEM) applications, gaining 21 per cent of sales and heat exchanger products growing 12 per cent, which compensated and surpassed the offset margins formed by the underperformance in the packaging sector, which underwent a 7 per cent reduction.

EBITDA rose by EUR 1 million (USD million 1.17 million) as strong volume and product mix gains in industrial applications outweighed the pricing pressures, while cost optimisation initiatives at the Ranshofen facility continued to advance steadily.

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How did aluminium sway the upswings?

Higher aluminium prices added EUR 9.2 million (USD 10.79 million) to EBITDA, while supportive raw material and energy costs, mainly lower alumina prices, contributed another EUR 5.6 million (USD 6.57 million). Improvements in volumes and product mix delivered EUR 3.9 million (USD 4.57 million).

However, these gains were partly offset by EUR 8.1 million (USD 9.5 million) in adverse price and premium variances, which weighed on pricing strength, particularly in the Rolling Division’s industrial segment.

Outlook 2026: What comes next for AMAG?

The company projects full-year EBITDA of EUR 150-180 million (USD 175.87-211.05 million), representing a notable increase over 2025, backed by firm primary aluminium price levels and relatively stable trade conditions despite ongoing geopolitical tensions.

Among the three divisions, the Metal Division is expected to deliver strong earnings growth, boosted by full capacity utilisation and supportive pricing. Performance of the Casting Division may gradually improve, despite the challenging market environment. Meanwhile, the Rolling Division is likely to benefit from solid order momentum, particularly in automotive and heat exchanger segments, further reinforcing the sales volumes in the 2026 calendar.

AMAG Austria Metall AG recognises the persistent uncertainties arising from the geopolitical tensions from the Middle East conflict that are indirectly affecting the energy prices, raw material costs, and transport expenses. Nonetheless, an optimistic outlook remains, bolstered by the upward trend of aluminium prices that more than offset the negative market conditions, as the company’s energy price hedges translate into significant safeguards against a volatile market. 

In light of this outlook, Dr Kaufmann stated, “Expertise across all areas of the business enables high product quality, flexibility and excellent delivery reliability even under the most difficult conditions."

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