Aurubis generates very good results in first half of fiscal year 2014/15

According to preliminary figures, Aurubis AG generated operating consolidated earnings before taxes of € 180 million (previous year: € 27 million) in the first half of the current fiscal year 2014/15. The main contributing factors were a good business trend and positive extraordinary effects of about € 50 million.

“A very good market environment, especially on the concentrate and sulfuric acid markets, and a favorable raw material input mix with high throughputs supported the results. Furthermore, there were positive extraordinary effects that are expected to neutralize again in the course of the year to some extent,” commented Dr. Bernd Drouven, Chairman of the Aurubis AG Executive Board, about the results.
The positive extraordinary effects of about € 50 million primarily arose from low precious metal inventories as at the balance sheet date owing to delayed shipments of copper concentrates. This led to high earnings that will balance out again as the year goes on in the course of expected inventory increases.
For the second half of the fiscal year, we expect the fundamentally intact market environment to continue. Declining demand in China could place pressure on the copper markets and on the cathode premiums; this development remains to be seen.

We continue to expect a good production performance from our plants, though the third quarter will be impacted by several short, scheduled maintenance and repair shutdowns.
“All in all, we expect considerably higher operating earnings compared to the previous year, with positive effects on the ROCE accordingly,” Dr. Drouven said, reinforcing the forecast he made at the Annual General Meeting on March 19.
IFRS consolidated earnings before taxes amounted to € 175 million (previous year: € -120 million after adjustments pursuant to IAS 8) in the first half of fiscal year 2014/15, mainly due to the positive business trend and increasing metal prices in euros. Lower metal prices had led to negative effects on earnings in the previous year. In contrast to operating earnings, IFRS earnings include measurement effects due to copper price fluctuations and other factors. Therefore, the operating earnings are decisive for Aurubis in assessing the business performance and managing the company.

Aurubis will release the complete report on the first half of fiscal year 2014/15 on May 12, 2015 as planned.