Hydro's Fourth quarter 2009: Upstream results weak, downstream and energy activities improve
CEO Svein Richard Brandtzæg presents Hydro's preliminary 2009 results. (Photo: Craig Johnson)
Hydro had an underlying loss before financial items and tax of NOK 651 million in the fourth quarter of 2009, compared with a loss of NOK 793 million in the previous quarter, firming slightly on higher realized aluminum prices.
Hydro reached a major milestone in December with the start-up of the first cell at Qatalum, and production from all 704 cells at the world-leading aluminum plant in Qatar is expected by fourth quarter 2010.
- Fourth quarter underlying loss before financial items of NOK 651 million
- Higher realized aluminum prices, but weak alumina and trading results
- Downstream result improves for continued operations, boosted by Building Systems
- Stable demand for aluminum products, seasonal decline partly offset by restocking
- Energy result up on higher production and spot power prices
- Qatalum production started in December, on schedule for full production by fourth quarter 2010
- Divestment of Automotive Structures and Inasa rolling mill completed
- Demand for aluminum expected to grow modestly in first half 2010 against second half 2009
- Proposed dividend of NOK 0.50 per share
“The fourth quarter was marked by the on-time start-up of Qatalum, one of the world’s most cost-effective smelters, as a solid example of Hydro’s exceptional project management skills. We have seen global aluminium markets gradually improving since reaching bottom early last year, and we expect modest growth in demand in the first half of 2010. Still, the market situation continues to be demanding, and we remain cautious in our outlook for 2010,” President and Chief Executive Officer Svein Richard Brandtzæg said.
To read the rest of the press release, click here.
Source: Hydro
