SALZGITTER AG
DGAP-News: Salzgitter Aktiengesellschaft
/ Key word(s): Quarter Results
- Pre-tax profit of ? 117.3 million in the first quarter The Salzgitter Group generated earnings before taxes of ? 117.3 million in the first quarter of the financial year 2021. Against the backdrop of a sustained recovery in the market and an uptrend in steel prices, this performance was especially attributable to the gratifying results of the Strip Steel and Trading business units, as well as a contribution of ? 42.5 million from Aurubis AG, a participating investment included at equity (IFRS accounting) (Q1 2020: ? -18.7 million). Almost all segments reported a steady increase in their monthly results over the course of the quarter. The Salzgitter Group's external sales remained stable compared with the year-earlier level (? 2,094.1 million; Q1 2020: ? 2,108.3 million). Earnings before taxes came in at ? 117.3 million (Q1 2020: ? -31.4 million). An after-tax result that stood at ? 76.6 million (Q1 2020: ? -43.7 million) brings earnings per share to ? 1.38 (Q1 2020: ? -0.83) and return on capital employed to 13.2 % (Q1 2020: -2.4 %). The equity ratio amounted to 33.0 % (Q1 2020: 35.3 %). In addition, - compared with the respective costs of procurement - the hidden reserves not evident from the balance sheet from the acquisition of our participating investment in Aurubis AG and the CO2 allowances purchased as a precautionary measure for the fourth period of the EU greenhouse gas emission trading scheme that commenced on January 1, 2021, meanwhile amount to over one billion euros. Chief Executive Officer Prof. Dr.-Ing. Heinz Jörg Fuhrmann on the current situation: "With Salzgitter AG remaining on track in the challenging past year through drawing on its own resources thanks to rigorous coronavirus management and the measures taken at an early stage to secure earnings and liquidity, I am pleased with the successful start to the year 2021! The quarterly results and improved business activity give us every reason to be optimistic about how the year will develop going forward. The key foundations have also been laid for the Salzgitter Group's long-term success: The company is robustly positioned in terms of its financial position and balance sheet, even as the coronavirus crisis diminishes. We have a well-diversified and balanced product portfolio in place. We will consistently forge ahead as a pioneer in low CO2 steel production. As part of the "Wind Hydrogen (WindH2)" project that enables us to gain valuable experience in the important field of "hydrogen from renewable energies" essential to SALCOS(R), we commissioned a 2.5 MW PEM electrolysis plant in March 2021. Germany's only cross-sector project at present will produce green hydrogen with electricity generated by wind power on the site of the steelworks in Salzgitter. Next week will already set another milestone: a groundbreaking ceremony to mark the start of the construction of a demonstration plant, that will realize the world's first direct reduction process making flexible use of natural gas and hydrogen."
Earnings before taxes (EBT) by business unit (EUR million):
Outlook - an increase in sales to more than ? 8.5 billion, - a pre-tax profit of between ? 300 million and ? 400 million, as well as - a return on capital employed (ROCE) that is tangibly above the previous year's figure.
Contact: Markus Heidler Head of Investor Relations Salzgitter AG Eisenhüttenstraße 99 38239 Salzgitter Phone +49 5341 21-6105 Fax +49 5341 21-2570 E-Mail ir@salzgitter-ag.de
12.05.2021 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. |
| Language: | English |
| Company: | Salzgitter Aktiengesellschaft |
| Eisenhüttenstraße 99 | |
| 38239 Salzgitter | |
| Germany | |
| Phone: | +49 5341 21-01 |
| Fax: | +49 5341 21-2727 |
| E-mail: | info@salzgitter-ag.de |
| Internet: | www.salzgitter-ag.de |
| ISIN: | DE0006202005 |
| WKN: | 620200 |
| Indices: | SDAX |
| Listed: | Regulated Market in Frankfurt (Prime Standard), Hanover; Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange |
| EQS News ID: | 1195379 |
| End of News | DGAP News Service |
1195379 12.05.2021
