Depreciation & amortisation (B)                             (36)         (35)     (35)         (71)         (71) 
Operating income (A)                                        235          140      14           375          48 
Operating margin (%)                                        18.5%        11.9%    1.7%         15.3%        2.6% 
Financing costs, (net)                                      (6)          4        9            (2)          2 
Income before taxes                                         229          144      23           373          50 
Income tax expense                                          (16)         (28)     (2)          (44)         - 
Effective tax rate %                                        6.6%         19.5%    8.3%         11.6%        (0.4)% 
Net income attributable to equity holders of the parent     213          116      21           329          50 
 
Basic earnings per share (EUR)                              2.67         1.45     0.27         4.12         0.63 
Diluted earnings per share (EUR)                            2.66         1.44     0.27         4.10         0.63 
 
Weighted average common shares outstanding (in thousands)   79,878       79,895   79,816       79,878       79,816 
Diluted weighted average common shares outstanding (in      80,196       80,203   80,218       80,196       80,218 
thousands) 

APERAM CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS


                                                             Three Months Ended               Six Months Ended 
(in million of EURO)                                         June 30, March 31,               June 30, 
                                                                                June 30, 2020          June 30, 2020 
                                                             2021     2021                    2021 
Operating income                                             235      140       14            375      48 
Depreciation & amortisation                                  36       35        35            71       71 
Change in working capital                                    (118)    (121)     (37)          (239)    (58) 
Income tax (paid) / refund                                   (4)      (2)       2             (6)      (1) 
Interest paid, (net)                                         (1)      (2)       (1)           (3)      (2) 
Other operating activities (net)                             (33)     56        44            23       62 
Net cash provided by operating activities (A)                115      106       57            221      120 
Purchase of PPE, intangible and biological assets (CAPEX)    (27)     (46)      (23)          (73)     (68) 
Other investing activities (net)                             (1)      (2)       -             (3)      - 
Net cash used in investing activities (B)                    (28)     (48)      (23)          (76)     (68) 
Proceeds (payments) from payable to banks and long term debt (7)      (6)       (22)          (13)     (67) 
Purchase of treasury stock (share buy back)                  (5)      -         -             (5)      - 
Dividends paid                                               (36)     (35)      (37)          (71)     (69) 
Other financing activities (net)                             (1)      (3)       (3)           (4)      (5) 
Net cash used in financing activities                        (49)     (44)      (62)          (93)     (141) 
Effect of exchange rate changes on cash                      12       (5)       (6)           7        (23) 
Change in cash and cash equivalent                           50       9         (34)          59       (112) 
 
Free cash flow before dividend and share buy-back (C = A+B)  87       58        34            145      52 

Appendix 1a - Health & Safety statistics


                            Three Months Ended 
Health & Safety Statistics  June 30, March 31, December 31, 
                            2021     2021      2020 
Frequency Rate              2.3      2.6       1.4 

Lost time injury frequency rate equals lost time injuries per 1,000,000 worked hours, based on own personnel and contractors.

Appendix 1b - Key operational and financial information


Quarter Ending                  Stainless & Electrical    Services &         Alloys &           Others & 
                                Steel                     Solutions          Specialties        Eliminations       Total 
June 30, 2021 
Operational information 
Steel Shipment (000t)           472                       189                8                  (188)              481 
Average steel selling price     2,209                     2,761              15,039                                2,579 
(EUR/t) 
 
Financial information (EURm) 
Sales                           1,078                     542                132                (480)              1,272 
Adjusted EBITDA                 212                       50                 16                 (16)               262 
Exceptional items               -                         9                  -                  -                  9 
EBITDA                          212                       59                 16                 (16)               271 
Depreciation & Amortisation     (30)                      (3)                (2)                (1)                (36) 
Operating income / (loss)       182                       56                 14                 (17)               235 
Quarter Ending                  Stainless & Electrical    Services &         Alloys &           Others & 
                                Steel                     Solutions          Specialties        Eliminations       Total 
March 31, 2021 
Operational information 
Steel Shipment (000t)           483                       208                7                  (205)              493 
Average steel selling price     1,969                     2,448              17,330                                2,325 
(EUR/t) 
 
Financial information (EURm) 
Sales                           977                       531                125                (456)              1,177 
EBITDA                          140                       45                 12                 (22)               175 
Depreciation & Amortisation     (30)                      (3)                (2)                -                  (35) 
Operating income / (loss)       110                       42                 10                 (22)               140 

Appendix 2 - Terms and definitions3

Unless indicated otherwise, or the context otherwise requires, references in this earnings release report to the following terms have the meanings set out next to them below:

Adjusted EBITDA: operating income before depreciation, amortisation and impairment expenses and exceptional items.

Adjusted EBITDA/tonne: calculated as Adjusted EBITDA divided by total steel shipments.

Average steel selling prices: calculated as steel sales divided by steel shipments.

Cash and cash equivalents: represents cash and cash equivalents, restricted cash and short-term investments.

CAPEX: relates to capital expenditures and is defined as purchase of tangible assets, intangible assets and biological assets.

EBITDA: operating income before depreciation, amortisation and impairment expenses.

EBITDA/tonne: calculated as EBITDA divided by total steel shipments.

Exceptional items: consists of (i) inventory write-downs equal to or exceeding 10% of total related inventories values before write-down at the considered quarter end (ii) restructuring (charges)/gains equal to or exceeding EUR 10 million for the considered quarter, (iii) capital (loss)/gain on asset disposals equal to or exceeding EUR 10 million for the considered quarter or (iv) other non-recurring items equal to or exceeding EUR 10 million for the considered quarter.

Financing income (costs): Net interest expense, other net financing costs and foreign exchange and derivative results.

Free cash flow before dividend and share buy-back: net cash provided by operating activities less net cash used in investing activities.

Gross financial debt: long-term debt plus short-term debt.

Liquidity: Cash and cash equivalent and undrawn credit lines.

LTI frequency rate: Lost time injury frequency rate equals lost time injuries per 1,000,000 worked hours, based on own personnel and contractors.

Net financial debt: long-term debt, plus short-term debt less cash and cash equivalents.

Net financial debt/EBITDA or Gearing: Refers to Net financial debt divided by last twelve months EBITDA calculation.

Shipments: information at segment and group level eliminates inter-segment shipments (which are primarily between Stainless & Electrical Steel and Services & Solutions) and intra-segment shipments, respectively.

Working capital: trade accounts receivable plus inventories less trade accounts payable. -----------------------------------------------------------------------------------------------------------------------

1 The financial information in this press release and Appendix 1 has been prepared in accordance with the measurement and recognition criteria of International Financial Reporting Standards ("IFRS") as adopted in the European Union. While the interim financial information included in this announcement has been prepared in accordance with IFRS applicable to interim periods, this announcement does not contain sufficient information to constitute an interim financial report as defined in International Accounting Standard 34, "Interim Financial Reporting". Unless otherwise noted the numbers and information in the press release have not been audited. The financial information and certain other information presented in a number of tables in this press release have been rounded to the nearest whole number or the nearest decimal. Therefore, the sum of the numbers in a column may not conform exactly to the total figure given for that column. In addition, certain percentages presented in the tables in this press release reflect calculations based upon

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