ABU DHABI, 23rd of August / WAM / The Emirates Global Aluminium, announced its profits during the first half of the current year, which reached its highest levels, as net profits amounted to about 5.9 billion dirhams, compared to 1.7 billion dirhams during the first half of 2021.
The company’s net profit during the first half of 2022 exceeded the net profit achieved in the whole of 2021, which was a record for the company in itself.
Adjusted earnings before interest, taxes, depreciation and amortization amounted to 7.6 billion dirhams during the first half of 2022, compared to 3.5 billion dirhams during the same period last year.
Cast aluminum sales increased by 11%, reaching 1.31 million tons, compared to 1.18 million tons during the first half of 2021.
EGA implemented plans to improve production and meet logistical challenges at the global level, and provided its products to more than 400 customers in more than 50 countries.
Sales of value-added products or “high-quality aluminum” increased by 5%, reaching 1.07 million tons, compared to 1.02 million tons during the first half of 2021.
Sales of “high-quality aluminum” amounted to 82% of total sales, compared to 86% during the first half of 2021 as a result of the company’s focus on improving the EBITDA ratio of sales in light of the large fluctuations in the prices of alloys.
The aluminum segment’s EBITDA margin from our operations reached 41%, compared to 32% during the first half of 2021, ahead of the leading global companies in the same sector.
The production of Al Taweelah alumina refinery increased to 1.15 million tons, compared to 1.09 million tons during the first half of 2021, despite the suspension of periodic maintenance operations. EGA’s alumina refinery provided 45% of the company’s alumina needs during this period.
In addition, bauxite ore exports from Guinea increased by 11%, reaching 6.49 million tons, compared to 5.85 million tons during the first half of 2021.
During the first half of 2022, aluminum prices reached their highest levels over the past ten years. Despite the decline in the price of aluminum on the London Stock Exchange during the first half, the company’s average price reached $3,063 per ton.
Abdul Nasser bin Kalban, CEO of Emirates Global Aluminium, said: “After our distinguished performance during the year 2021, I indicated that at EGA we can provide the best and we have been able to improve our operational performance along the value chain, from mining to logistics. Net profit for the first half of this year The net profit for the whole of last year, thanks to our performance that enabled us to take advantage of market conditions.”
He added, “We focused on strengthening our operations, attracting more customers, and improving our products during the first half in order to increase our revenues, control costs, and lay down appropriate plans for our business growth in the future. We will continue to focus on providing competitive returns in the aluminum sector in light of the developments in the aluminum market on a global level.” .
For his part, Zuhair Al Rajaraji, Chief Financial Officer, EGA, said: “Our success reflects the efforts we have made to enhance financial flows under good market conditions, which contributed to achieving significant returns for our shareholders and the distribution of interim cash dividends of $600 million in addition to strengthening our position. financial for the future stage of the institutional process.
EGA repaid 2.9 billion dirhams of the main corporate loan early after the end of the first half of 2022. Since January 2021, EGA has repaid 6.5 billion dirhams of debt before its due date, and has repaid 968 million dirhams in accordance with scheduled payments.
The company distributed interim cash dividends of 2.2 billion dirhams to shareholders after the end of the first half of this year.
At the local level, EGA sold 141,000 tons of aluminum, accounting for 11% of total sales, to local customers who use aluminum in multiple industries from auto parts to window frames for the local market and export, which contributed to enhancing the success of one of the most important industrial sectors. In the UAE and enabling local companies to implement the “Make in the UAE” initiative.