Aurubis retains annual outlook as quarterly profit surges 24%

HAMBURG -Aurubis AG, Europe’s largest copper producer, posted an almost 24% leap in its quarterly revenue on Friday and confirmed its earnings estimates for full monetary yr regardless of rising vitality prices.

Aurubis posted working earnings earlier than taxes (working EBT) within the third quarter ended June 30 of 103 million euros ($105.38 million), from 83 million euros within the year-ago interval.

The producer additionally confirmed its forecast of full-year 2021/22 working EBT of between 500 million and 600 million euros, elevated in April from its earlier forecast of 400 million to 500 million euros, regardless of the difficult geopolitical state of affairs and the related marked rise in vitality costs.

The German business faces an unsure winter as Russia is slicing its huge fuel deliveries to Germany.

“We at present have ample provide of vitality in any respect of our websites, permitting us to supply with none restrictions,” Chief Govt Officer Roland Harings stated, including that the forecast relies on the belief that Aurubis websites will proceed to have entry to an unrestricted provide of vitality.

Aurubis is benefiting from elevated steel costs particularly for copper, tin, and nickel whereas demand for copper merchandise rose significantly. Greater refining expenses for different recycling supplies additionally supported.

A deliberate upkeep shutdown in its important Hamburg smelter, decrease refining expenses for copper scrap and considerably increased vitality prices notably for electrical energy and fuel burdened, however have been offset by the optimistic drivers.

“Because of the present vitality value traits, we might be reporting a market improve in vitality prices in fiscal yr 2021/22,” it stated. “Lively vitality administration and the (state help scheme) CO2 electrical energy worth compensation, which takes impact with a time lag, have partly absorbed the value will increase.”

Aurubis expects to see “persevering with excessive demand” for all copper merchandise for the rest of the 2021/22 yr.