Aurubis Reports Strong Fiscal Year Results Amid Strategic Growth Investments

Aurubis AG, a leading provider of non-ferrous metals and one of the largest copper recyclers globally, closed the 2023/24 fiscal year with strong financial results. Operating earnings before taxes (EBT) rose to €413 million, up from €349 million in the previous year. Net cash flow remained robust at €537 million, and return on capital employed (ROCE) slightly improved to 11.5%. IFRS consolidated earnings before taxes also saw a notable increase to €523 million from €165 million last year.

The multimetal company benefited from a rise in treatment and refining charges and higher metal results, while lower energy costs and the sale of the Buffalo site in the United States further bolstered results. Gains from the Aurubis copper premium and wire rod surcharges also contributed positively.

However, lower sulfuric acid revenues and reduced income from recycling material refining charges weighed on overall performance. Additionally, higher ramp-up costs for strategic projects, increased legal and consulting expenses, and staff-related costs linked to growth initiatives affected the bottom line.

Despite these challenges, Aurubis CEO Dr. Toralf Haag expressed confidence in the company's resilience, noting, "Aurubis closed out the fiscal year with robust full-year results in a volatile market environment. Our metal portfolio is key to the energy and mobility transition, enabling innovation and ongoing digitalization."

Aurubis plans to propose a dividend of €1.50 per share for the fiscal year, up from €1.40 the previous year, reflecting a payout ratio of approximately 20% of operating consolidated net income.

Aurubis continues to execute its "Metals for Progress: Driving Sustainable Growth" strategy, with around €855 million invested so far from the total €1.7 billion earmarked for projects through 2027/28. These investments aim to strengthen the core business, expand recycling capabilities, and enhance sustainability efforts.

The company's strategic initiatives include the first multimetal recycling plant in the United States, Aurubis Richmond, which aims to process up to 180,000 tonnes of complex recycling materials. Aurubis has also completed innovative projects in Belgium, including the ASPA facility at the Beerse site and the BOB plant in Olen, to enhance metal recovery efficiency.

Aurubis is expanding its smelter network through the Complex Recycling Hamburg (CRH) project, which will increase the capacity to process an additional 30,000 tonnes of recycling material. In Bulgaria, the company is expanding the copper production tankhouse at the Pirdop site to increase refined copper capacity by around 50%, and modernization at the Lünen site has boosted copper cathode production by 10%.

In line with its efforts to reduce CO2 emissions, Aurubis has expanded its industrial heat systems and installed hydrogen-ready smelter furnaces in Hamburg. Solar capacity is also being increased, with the Bulgarian site set to generate 40 megawatts of solar power per year. Aurubis was awarded the German Sustainability Award for its commitment to carbon-neutral production and the circular economy.

Aurubis remains optimistic for the 2024/25 fiscal year, anticipating solid operating earnings before taxes between €300 and €400 million, and an operating ROCE between 7% and 11%. The company believes it is well-positioned to achieve continued growth, both financially and operationally, as it advances its strategic investments in sustainable growth.