PARIS (Agefi-Dow Jones)–The mining group Eramet published sharply higher first-half results on Wednesday and maintained most of its production targets for 2022.
The group, however, warned that prices are likely to fall in its markets in the second half amid an economic slowdown and fears of recession. Despite these uncertainties, Eramet slightly raised its gross operating surplus (Ebitda) target for 2022, to around 1.6 billion euros, instead of 1.5 billion euros.
Eramet still plans to increase its manganese ore production in Gabon to 7.5 million tonnes, and nickel ore production of around 15 million wet tonnes (Mth) in Indonesia. Exports of nickel ore in New Caledonia are on the other hand expected at 3.5 Mth, instead of more than 4 Mth previously.
In the first half, the group’s Ebitda increased to 982 million euros, against 301 million euros a year earlier according to republished data. The group benefited from the strong rise in metal prices and an increase in its sales volumes.
Net income also rose sharply, to 677 million euros in the past half year, against 53 million euros a year earlier. Turnover jumped 79% over the period, to 2.64 billion euros.
Among the highlights of the second quarter, Eramet signed the contract for the sale of its subsidiary Aubert & Duval with the consortium formed by Tikehau ACE Capital, a subsidiary of the asset management company Tikehau Capital, and the aeronautical groups Airbus and Safran.
The operation should be completed by the end of the year. Eramet announced last February that it had signed a memorandum of understanding to sell Aubert & Duval to Airbus, Safran and Tikehau ACE Capital on the basis of an enterprise value of 95 million euros.
-Thomas Varela, Agefi-Dow Jones; +331 41 27 47 99; [email protected] ed: LBO
(Alice Doré contributed to this article.)
ERAMET FINANCIAL RELEASES:
https://www.eramet.com/en/investors/publications-and-press-releases
Agefi-Dow Jones The financial newswire
Dow Jones Newswires
July 27, 2022 13:03 ET (17:03 GMT)