In the nine months of 2024, ElvalHalcor recorded operational profitability (a-EBITDA) of EUR 180 million, with high operating cash flows, despite the ongoing subdued economic activity in Europe. This was accompanied by a net debt decrease of EUR 171 million and a working capital improvement of EUR 121.5 million over the respective period in 2023. The upward trend applied to sales as well: sales volume increased by 4.4%, primarily driven by the aluminium segment, which benefited from increased shipments of products catering to the rigid packaging market.
More specifically, the aluminium segment achieved a 7.7% increase in sales volume for products aimed at rigid packaging and for foil products after the weak first quarter of 2024, capitalising on the new investments in its aluminium rolling division. At the same time, reduced demand in most sectors of the economy, but mainly in construction and industrial applications, affected copper segment sales volumes, which fell 2.8%. Nevertheless, the improved product mix, the stable conversion prices, low energy prices, and efforts to optimise the production process and reduce costs positively affected the profitability of the segment.
Commenting on the financial results, the General Manager of the Aluminium Segment, Nikolas Carabateas, stated: “During the nine months of 2024, the strategic investments made in previous years made an impact. Despite the increasingly adverse geopolitical and economic conditions, the Segments's sales volume increased by 7.7%, especially in the last quarters. Operational profitability remains strong, except for foil's Q1’24 results, which were weak, especially when compared to the strong Q1’23. Following the successful completion of our investment program, our efforts are focused on optimising the segment's working capital, an objective which has been achieved to a significant extent, contributing to the generation of free cash flow surplus. Finally, our customer-centric philosophy ensures our continuous growth.”
Panos Lolos, General Manager of the Copper Segment, stated: “The Copper Segment continues to demonstrate resilience to changes in the economic environment, maintaining strong performance into Q3’24. Despite challenges in the construction segment, which negatively affected the demand for corresponding products, we achieved a marginal increase in operational profitability during the nine months of 2024 compared to the corresponding period last year. Cost containment and cost reduction strategies, as well as production optimisation, were the key pillars of our efforts. In addition, our subsidiary, Sofia Med, contributed significantly to the segment’s results, gaining market shares by exploiting its competitive advantages. With its focus on developing innovative high-added value products, the high quality of its services and implementing its investment plan, Sofia Med’s position was strengthened further in a competitive market, where demand moved downwards."