Aperam, Luxembourg

Aperam : Third quarter 2015 results

Aperam announced results for the three-month period ended September 30, 2015. Highlights are: Health and Safety frequency rate of 1.2x in Q3 2015 compared to 0.8x in Q2 2015. Shipments of 455 thousand tonnes in Q3 2015, a 6% decrease compared to shipments of 486 thousand tonnes in Q2 2015. Ebitda of USD 108 million in Q3 2015, compared to Ebitda of USD 155 million in Q2 2015. Basic earnings per share of USD 0.40 in Q3 2015 and USD 1.79 for year to date September 2015 compared to USD 0.97 for year to date September 2014. Cash flow from operations amounted to USD 65 million in Q3 2015 compared to USD 78 million in Q2 2015. Net debt of USD 419 million as of September 30, 2015, representing a gearing of 19% compared to a net debt of USD 454 million as of June 30, 2015.

Prospects: Ebitda in Q4 2015 is expected to be comparable to EBITDA in Q3 2015. Net debt is expected to decrease in Q4 2015.

Financial policy: Aperam restates a base dividend of USD 1.25/share (subject to AGM approval), which is anticipated to progressively increase over time, as the company continues to improve its sustainable profitability benefiting from its strategic actions.

Timoteo Di Maulo, CEO of Aperam, commented: "As expected, the third quarter was marked by seasonality and decline in nickel price. However, Aperam was able to offset most of these impacts thanks to the agility and the resilience of its business model. For the fourth quarter, we remain cautious given the current economic environment but we are confident we will continue to deliver on the Leadership Journey and the Top Line strategy. Looking ahead, we see stainless steel fundamentals improving in our markets and we are confident in the ability of Aperam to generate sustainable cash returns. Therefore, we are happy to reinstate dividend."

Aperam, Luxembourg