Salzgitter Group delivers positive results before special items in a tough market environment

EQS-News: Salzgitter Aktiengesellschaft / Key word(s): Annual Results Salzgitter Group delivers positive results before special items in a tough market environment 21.03.2025 / 07:30 CET/CEST The issuer is solely responsible for the content of this announcement. Technology Business Unit delivering record earnings, gratifying contribution from the Aurubis participation Liquidity measures taking effect Additional package of measures to improve earnings initiated to ensure future-proof positioning Earnings forecast for the 2025 financial year: EBITDA between € 350 million and € 550 million, Earnings before taxes between € - 100 million and € + 100 million Dividend proposal to the Annual General Meeting of € 0.20 per share An economic recovery that has failed to materialize and an economic environment marked by high imports and uncompetitive energy costs weighed on the business performance of Salzgitter AG’s steel-related activities in the 2024 financial year. Running counter to these developments were the earnings contributions from the Technology Business Unit, our Aurubis AG participation as well as measures to support liquidity and earnings, the scope of which we once again expanded notably in the past financial year. Adjusted for extraordinary items totalling € - 406 million, Salzgitter AG generated positive earnings before taxes of € 109 million. The depreciation and restructuring expenses will relieve future periods. The Salzgitter Group’s external sales decreased to € 10.0 billion (2023: € 10.8 billion) due to a decline in average revenues for steel products and a weak order book in the Steel Processing Business Unit. EBITDA dropped to € 445 million (2023: € 677 million) and earnings before taxes to € - 296 million (2023: € 238 million). The results include expenses of € 406 million for restructuring, impairments and other provisions. A contribution of € 184 million from the participating investment in Aurubis AG (IFRS accounting; 2023: € 40 million) accounted for at equity bolstered earnings. Based on an after-tax result of € - 348 million (2023: € 204 million), earnings per share was calculated at € - 6.51 (2023: € 3.70). The return on capital employed (ROCE) amounted to - 3.4 % (2023: 5.6 %). Net financial debt grew to € - 574 million (2023: € - 214 million) due to increased investing activities for the green transformation. The Executive Board and Supervisory Board will put forward a proposal to the Annual General Meeting of Shareholders on May 22, 2025 to distribute dividend of € 0.20 per share.