AMG Advanced Metallurgical Group N.V. Reports Second Quarter 2021
Results
Coronavirus Update
- AMG regrets to inform you that on
July 15, 2021, AMG experienced its first COVID related fatality
among its more than 3,000 employees since the beginning of the
pandemic. Active cases at AMG have receded to a very low level. We
continue to apply all safety measures at our disposal with the
highest degree of attention in order to ensure our employees are
working in the lowest risk environment possible.
Strategic Highlights
- The construction of AMG Vanadium’s second spent catalyst
recycling facility in Zanesville, Ohio, AMG’s largest capital
project, is proceeding as planned.
- In Nuremberg,
Germany, AMG Titanium Alloys & Coatings has started the
construction of a plant to produce vanadium electrolytes from spent
catalysts, targeting the vanadium battery market.
- AMG Engineering
is building AMG’s first industrial battery, a Hybrid Lithium
Vanadium Redox Flow Battery System for use in one of our operating
units to flatten production-driven spikes in electricity demand and
thereby reduce CO2 emissions and energy costs.
- The new all-solid-state-battery (ASSB) materials pilot plant of
AMG Lithium in Frankfurt, Germany, has provided samples to all of
the major battery manufacturers working on the emerging
transformation to ASSB technology.
Financial Highlights
- Revenue increased by 44% to $298.4 million in the second
quarter 2021 from $207.6 million in the second quarter 2020.
- EBITDA was $31.4
million in the second quarter of 2021, over four times higher than
second quarter 2020 EBITDA of $7.8 million, marking the fourth
straight quarter of sequential improvement.
- Cash from
operating activities was $23.0 million in the second quarter of
2021, and $42.9 on a year-to-date basis, more than double the total
cash from operating activities for full year 2020.
- Net income attributable to shareholders was $3.6 million in the
second quarter of 2021 compared to a net loss of $12.5 million in
the second quarter of 2020.
- AMG’s liquidity as of June 30,
2021, was $511 million, with $341 million of unrestricted cash and
$170 million of revolving credit availability.
- AMG declares an interim dividend of
€0.10 per ordinary share, to be paid in the third quarter of
2021.
- In April 2021,
AMG issued 3.1 million new shares, generating $119 million of net
proceeds and increasing liquidity to approximately $500 million.
With this equity raise, in combination with cash on hand and strong
projected cash flow from operations, AMG can fully fund its current
strategic projects while maintaining strong liquidity.
Amsterdam, 28
July 2021
(Regulated Information) --- AMG
Advanced Metallurgical Group N.V. (“AMG”, EURONEXT AMSTERDAM:
“AMG”) reported second quarter 2021 revenue of $298.4 million, a
44% increase over $207.6 million in the second quarter
of 2020. EBITDA for the second quarter of 2021 was $31.4
million, the fourth straight quarter of sequential growth after the
pandemic low point of $7.8 million in the second quarter of
2020.
Dr. Heinz Schimmelbusch, Chairman of the
Management Board and CEO, said, “With regard to COVID, active cases
at AMG have receded to a very low level; however it is with our
deepest regret that I have to inform you that AMG experienced its
first COVID-related fatality. We continue to apply all safety
measures at our disposal with the highest degree of attention in
order to ensure our employees are working in the lowest risk
environment possible.
“All three of AMG’s segments performed well in
the second quarter, and global demand for our products continued to
strengthen throughout the first half of 2021.
“Market prices for materials across the
Company’s portfolio have continued to increase, most notably for
our Clean Energy Materials segment, which has delivered EBITDA
growth of more than 22% quarter-over-quarter for each of the last
five quarters.
“EBITDA for the AMG Critical Materials
Technologies segment was $9.6 million for the quarter, the fourth
straight quarter of sequentially increasing EBITDA, while achieving
a consistent book to bill ratio despite ongoing weakness of the
aerospace sector.
“In 2007 we introduced AMG to the public markets
as a producer of “critical” materials. The real meaning of
“criticality” has become more apparent over time, and in
particular, materials associated with electricity storage are now
perceived as especially critical, because increased electricity
storage is required in order to enable higher utilization of
renewable energy production.
“All of AMG’s strategic projects cluster in our
Clean Energy Materials segment and all of these projects are
proceeding as planned. Each of these projects is oriented toward
growing our production of electricity storage materials or
increasing our footprint in the circular economy.
- AMG Vanadium’s second spent
catalyst recycling facility in Zanesville, Ohio, the largest
capital project AMG has undertaken to date, is scheduled to come in
on time and on budget.
- AMG Lithium has
signed the engineering contracts and has purchased the site and
long-lead items for the battery grade lithium hydroxide refinery in
Bitterfeld, Sachsen-Anhalt, Germany.
- After extensive tests, a new plant
to produce vanadium oxide and vanadium electrolyte materials from
spent catalysts is under construction at AMG Titanium Alloys &
Coatings in Nuremberg, Germany.
- AMG Engineering
is building AMG’s first industrial battery, a Hybrid Lithium-
Vanadium Redox Flow Battery System for use in one of our operating
units to flatten production-driven spikes in electricity demand and
thereby reduce CO2 emissions and energy costs. The market potential
for this battery concept is very large.”
Key Figures
In 000’s US
dollars |
|
|
Q2 ‘21 |
Q2 ‘20 |
Change |
Revenue |
$298,374 |
$207,610 |
44 |
% |
Gross profit |
48,499 |
20,541 |
136 |
% |
Gross margin |
16.3 |
% |
9.9 |
% |
|
|
|
|
|
Operating profit
(loss) |
3,691 |
(6,690) |
N/A |
Operating
margin |
1.2 |
% |
(3.2%) |
|
|
|
|
|
|
Net income (loss) attributable to
shareholders |
3,566 |
(12,510) |
N/A |
|
|
|
|
EPS - Fully
diluted |
0.11 |
(0.44) |
N/A |
|
|
|
|
EBIT
(1) |
20,462 |
(2,901) |
N/A |
EBITDA
(2) |
31,401 |
7,756 |
305 |
% |
EBITDA margin |
10.5 |
% |
3.7 |
% |
|
|
|
|
|
Cash from operating activities |
23,018 |
20,333 |
13 |
% |
Notes:
(1) EBIT is defined as earnings
before interest and income taxes. EBIT excludes restructuring,
asset impairment, inventory cost adjustments, environmental
provisions, exceptional legal expenses, equity-settled share-based
payments, and strategic expenses. Beginning January 1, 2021, AMG
has altered its calculation of adjusted EBIT to no longer include
the impact of foreign exchange. This alteration was made in
consideration of a change in the Company’s hedging policy and to
better align the reported adjusted EBITDA with the calculation for
our bank covenant calculations. Starting January 2021, the Company
is no longer hedging certain intergroup balance sheet exposures
which will result in higher volatility in our financial results
from foreign exchange which we believe is not representative of our
operating performance. Foreign exchange gain in the second quarter
of 2021 was $0.9 million. Because of this hedging policy change, we
did not retroactively apply this change to the prior year figures,
otherwise it would have resulted in an increase to the prior period
EBIT of $0.5 million.(2) EBITDA is defined as EBIT
adjusted for depreciation and amortization.
Operational Review
AMG Clean Energy Materials
|
Q2 ‘21 |
Q2 ‘20 |
Change |
Revenue |
$90,135 |
$53,054 |
70 |
% |
Gross profit |
13,822 |
1,818 |
660 |
% |
Gross profit before
non-recurring items |
16,122 |
4,020 |
301 |
% |
Operating loss |
(7,415) |
(5,481) |
(35%) |
EBITDA |
12,554 |
1,279 |
882 |
% |
AMG Clean Energy Materials’ revenue increased by $37.1 million,
or 70%, to $90.1 million, driven mainly by higher sales volumes of
vanadium, tantalum and lithium concentrate, as well as higher
prices in vanadium and lithium concentrate.
Gross profit before non-recurring items during
the quarter increased by $12.1 million compared to the same period
in the prior year, largely due to the improving price environment
and increasing global demand for our products.
SG&A expenses in the second quarter of 2021
were $9.6 million, $2.3 million higher than the second quarter of
2020 due to higher strategic project costs and increased variable
compensation expense.
During the quarter, AMG discovered additional
slag quantities at its decommissioned site in New Jersey. This
material was primarily located below surface level and was
inconsistent with earlier estimates. As such, AMG recorded an
adjustment to its environmental provision of $11.7 million
associated with these higher quantities, and management does not
expect any additional remediation to be required. This adjustment
negatively impacted operating loss for the period.
The second quarter 2021 EBITDA increased by
$11.3 million, to $12.6 million from $1.3 million in the second
quarter of 2020, due to the improved gross profit as noted
above.
AMG Critical Minerals
|
Q2 ‘21 |
Q2 ‘20 |
Change |
Revenue |
$76,793 |
$47,908 |
60 |
% |
Gross profit |
13,732 |
6,141 |
124 |
% |
Gross profit before non-recurring
items |
13,397 |
6,186 |
117 |
% |
Operating profit |
7,009 |
1,194 |
487 |
% |
EBITDA |
9,220 |
3,648 |
153 |
% |
AMG Critical Minerals’ revenue increased by $28.9 million, or
60%, to $76.8 million, driven by higher sales volumes and higher
sales prices across all three business units.
Gross profit before non-recurring items increased by 117% in the
second quarter due to increased revenue from each business
unit.
SG&A expenses in the second quarter of 2021 increased by
$1.9 million, to $6.8 million, primarily due to higher personnel
costs in the current period.
The second quarter 2021 EBITDA margin was 12.0%, compared to
7.6% in the same period in the prior year, due to increased
profitability as noted above.
AMG Critical Materials Technologies
|
Q2 ‘21 |
Q2 ‘20 |
Change |
Revenue |
$131,446 |
$106,648 |
23 |
% |
Gross profit |
20,945 |
12,582 |
66 |
% |
Gross profit before non-recurring
items |
21,059 |
13,045 |
61 |
% |
Operating profit (loss) |
4,097 |
(2,403) |
N/A |
EBITDA |
9,627 |
2,829 |
240 |
% |
AMG Critical Materials Technologies' second quarter 2021 revenue
increased by $24.8 million, or 23% compared to the same period in
2020. This increase was due to higher revenue from engineering and
heat treatment services businesses, and higher sales volumes of
titanium aluminides and chrome metal, both of which have begun to
recover from the second quarter 2020 pandemic low. Consequently,
second quarter 2021 gross profit before non-recurring items
increased by $8.0 million, or 61%, to $21.1 million.
SG&A expenses increased by $1.9 million, or
12%, in the second quarter of 2021 compared to the same period in
2020, due to higher personnel costs and higher professional fees
during the quarter.
AMG Critical Materials Technologies’ EBITDA
increased to $9.6 million during the quarter, compared to $2.8
million in the second quarter of 2020. This was primarily due to
higher profitability related to increased activity in the
engineering and heat treatment services businesses, as well as the
higher sales volumes of titanium aluminides and chrome metal. Since
the second quarter of 2020, AMG Critical Materials Technologies’
EBITDA has experienced sequential growth quarter-over-quarter.
Order backlog was $190.6 million as of June 30,
2021, in line with $190.7 million as of March 31, 2021. The Company
signed $57.3 million in new orders during the second quarter of
2021, representing a 0.92x book to bill ratio. The quarter
benefited from strong orders of remelting and induction
furnaces.
Financial Review
Tax
AMG recorded an income tax benefit of $5.6
million in the second quarter of 2021, compared to a benefit of
$0.4 million in the same period in 2020. This variance was mainly
driven by movements in the Brazilian real offset partially by
higher pre-tax income compared to the prior period. The effects of
the Brazilian real caused an $12.4 million non-cash deferred tax
benefit in the second quarter of 2021 (2020: $3.3 million expense).
Movements in the Brazilian real exchange rate impact the valuation
of the Company’s net deferred tax positions related to our
operations in Brazil.
AMG paid taxes of $2.5 million in the second
quarter of 2021, compared to a tax refund of $2.4 million in the
second quarter of 2020 which was largely due to international
COVID-19 tax measures that enabled AMG to delay most of its tax
payments during the prior year’s quarter and higher taxable income
in the current year.
Exceptional Items
AMG’s second quarter 2021 gross profit of $48.5
million includes exceptional items, which are not included in the
calculation of EBITDA.
A summary of exceptional items included in gross
profit in the second quarters of 2021 and 2020 are below:
Exceptional items included in gross profit
|
Q2 ‘21 |
Q2 ‘20 |
Change |
Gross profit |
$48,499 |
$20,541 |
136 |
% |
Inventory cost adjustment |
1,497 |
1,093 |
37 |
% |
Restructuring expense |
334 |
370 |
(10 |
%) |
Asset impairment (reversal) expense |
(640) |
81 |
N/A |
Strategic
project expense |
888 |
1,166 |
(24 |
%) |
Gross profit excluding exceptional
items |
50,578 |
23,251 |
118 |
% |
AMG had a $1.5 million non-cash expense during the second
quarter of 2021 as a result of inventory cost adjustments
associated with price movements at the beginning of the second
quarter which has been adjusted in EBITDA. During the quarter, the
Company incurred expenses for expansion projects which are not yet
operational. AMG is adjusting EBITDA for these exceptional
charges.
Liquidity
|
June 30,2021 |
December 31,2020 |
Change |
Senior secured debt |
$363,487 |
$364,640 |
—% |
Cash
& cash equivalents |
341,102 |
207,366 |
64% |
Senior secured net debt |
22,385 |
157,274 |
(86%) |
Other
debt |
21,235 |
19,876 |
7% |
Net debt excluding municipal bond |
43,620 |
177,150 |
(75%) |
Municipal bond debt |
319,590 |
319,699 |
—% |
Restricted cash |
143,357 |
208,919 |
(31%) |
Net debt |
219,853 |
287,930 |
(24%) |
AMG had a net debt position of $219.9 million as
of June 30, 2021. This decrease was mainly due to the additional
issuance of shares which generated $119 million of net proceeds
offset by the significant investment in growth initiatives during
the quarter, especially in our vanadium expansion in Ohio.
AMG continued to maintain a strong balance sheet
and adequate sources of liquidity during the second quarter. As of
June 30, 2021, the Company had $341 million in unrestricted cash
and cash equivalents and $170 million available on its revolving
credit facility. As such, AMG had $511 million of total liquidity
as of June 30, 2021.
Net Finance Costs
AMG’s second quarter 2021 net finance costs were
$4.8 million compared to $6.3 million in the second quarter of
2020. This decline was mainly driven by favorable foreign exchange
movements.
AMG capitalized $3.8 million of interest costs
in the second quarter of 2021 compared to $3.7 million in the
prior year, driven by interest associated with the Company’s
tax-exempt municipal bond supporting the vanadium expansion in
Ohio.
SG&A
AMG’s second quarter 2021 SG&A expenses were
$33.2 million compared to $27.2 million in the second quarter of
2020, with the variance driven largely by strategic project and
personnel costs. The prior period personnel cost had been reduced
by cost reduction efforts in response to the onset of the
pandemic.
Outlook
Given the current market conditions, we
reiterate our confidence in being able to exceed $120 million
in EBITDA for full year 2021, as we announced in May, and we expect
to continue to sequentially improve our EBITDA quarter-over-quarter
for the remainder of the year.
|
Q2 ‘21 |
Q2 ‘20 |
Net income (loss) |
$4,272 |
($12,606) |
Income tax benefit |
(5,580) |
(413) |
Net finance cost * |
4,761 |
5,802 |
Equity-settled share-based payment
transactions ** |
1,194 |
1,254 |
Restructuring expense |
334 |
370 |
Inventory cost adjustment |
1,497 |
1,093 |
Asset impairment (reversal) expense |
(640) |
81 |
Environmental provision*** |
11,651 |
55 |
Strategic project expense **** |
2,525 |
1,166 |
Others |
448 |
297 |
EBIT |
20,462 |
(2,901) |
Depreciation and amortization |
10,939 |
10,657 |
EBITDA |
31,401 |
7,756 |
*Beginning January 1, 2021, AMG has altered its
calculation of adjusted EBITDA to no longer include the impact of
foreign exchange. This alteration was made in consideration of a
change in the Company’s hedging policy and to better align the
reported adjusted EBITDA with the calculation for our bank covenant
calculations. Starting January 2021, the Company is no longer
hedging certain intergroup balance sheet exposures which will
result in higher volatility in our financial results from foreign
exchange which we believe is not representative of our ongoing
operating performance. Foreign exchange gain in the second quarter
of 2021 was $0.9 million. Because of this hedging policy change, we
did not retroactively apply this change to the prior year figures,
otherwise it would have resulted in an increase to the prior period
adjusted EBIT of $0.5 million.
**Amount includes variable compensation expense
which settled in shares in 2021.
***Shieldalloy Metallurgical Corporation
(“SMC”), AMG’s subsidiary, has completed the removal of low-level
radioactive materials, primarily including slag, from the former
storage yard of SMC’s decommissioned Newfield, NJ site. During the
quarter, AMG discovered additional slag quantities that were
primarily located below surface level and were inconsistent with
earlier estimates. As such, AMG recorded an adjustment to its
environmental provision of$11.7 million associated with these
higher quantities, and management does not expect any additional
remediation to be required. This adjustment negatively impacted
operating loss for the period.
****The Company is in the ramp-up phase for
three significant strategic expansion projects, including AMG
Vanadium’s expansion project, the joint venture with Shell, and the
lithium expansion in Germany, which incurred project expenses
during the quarter but are not yet operational. AMG is adjusting
EBITDA for these exceptional charges.
AMG Advanced Metallurgical Group N.V. |
|
|
Condensed Interim Consolidated Income
Statement |
|
|
|
|
|
For the quarter ended June
30 |
|
|
In thousands of US dollars |
2021 |
2020 |
|
Unaudited |
Unaudited |
Continuing
operations |
|
|
Revenue |
298,374 |
|
207,610 |
|
Cost of sales |
249,875 |
|
187,069 |
|
Gross profit |
48,499 |
|
20,541 |
|
|
|
|
Selling, general and
administrative expenses |
33,232 |
|
27,209 |
|
|
|
|
Environmental expense |
11,651 |
|
55 |
|
Other income, net |
(75) |
(33) |
Net other operating
expense |
11,576 |
|
22 |
|
|
|
|
Operating profit
(loss) |
3,691 |
|
(6,690) |
|
|
|
Finance income |
(264) |
(419) |
Finance cost |
5,025 |
|
6,748 |
|
Net finance cost |
4,761 |
|
6,329 |
|
|
|
|
Share of loss of associates and
joint ventures |
(238) |
— |
|
|
|
|
Loss before income
tax |
(1,308) |
(13,019) |
|
|
|
Income tax benefit |
(5,580) |
(413) |
|
|
|
|
Profit (loss) for the
period |
4,272 |
(12,606) |
|
|
|
Profit (loss) attributable to: |
|
|
Shareholders of the Company |
3,566 |
|
(12,510) |
Non-controlling interests |
706 |
|
(96) |
Profit (loss) for the
period |
4,272 |
|
(12,606) |
|
|
|
Earnings (loss) per
share |
|
|
Basic earnings (loss) per share |
0.11 |
|
(0.44) |
|
Diluted earnings (loss) per share |
0.11 |
|
(0.44) |
|
|
|
|
AMG Advanced
Metallurgical Group N.V. |
|
|
Condensed Interim
Consolidated Income Statement |
|
|
|
|
|
For the six
months ended June 30 |
|
|
In thousands of US
dollars |
2021 |
2020 |
|
Unaudited |
Unaudited |
Continuing
operations |
|
|
Revenue |
562,360 |
|
485,900 |
|
Cost of sales |
466,997 |
|
422,199 |
|
Gross
profit |
95,363 |
|
63,701 |
|
|
|
|
Selling,
general and administrative expenses |
66,325 |
|
62,096 |
|
|
|
|
Environmental expense |
11,711 |
|
55 |
|
Other income, net |
(173) |
(86) |
Net other operating expense
(income) |
11,538 |
|
(31) |
|
|
|
Operating
profit |
17,500 |
|
1,636 |
|
|
|
|
Finance income |
(474) |
(1,291) |
Finance cost |
13,889 |
|
13,028 |
|
Net finance
cost |
13,415 |
|
11,737 |
|
|
|
|
Share of loss of associates and
joint ventures |
(625) |
— |
|
|
|
Profit
(loss) before income tax |
3,460 |
|
(10,101) |
|
|
|
Income tax
(benefit) expense |
(6,490) |
16,102 |
|
|
|
|
Profit
(loss) for the period |
9,950 |
|
(26,203) |
|
|
|
Profit (loss)
attributable to: |
|
|
Shareholders of the Company |
8,665 |
|
(26,078) |
Non-controlling interests |
1,285 |
|
(125) |
Profit
(loss) for the period |
9,950 |
|
(26,203) |
|
|
|
Earnings
(loss) per share |
|
|
Basic earnings
(loss) per share |
0.29 |
|
(0.92) |
Diluted earnings
(loss) per share |
0.28 |
|
(0.92) |
AMG Advanced Metallurgical
Group N.V. |
|
|
Condensed Interim Consolidated
Statement of Financial Position |
|
|
|
|
|
|
|
|
In thousands of US dollars |
June 30,
2021 Unaudited |
December 31, 2020 |
Assets |
|
|
Property, plant and equipment |
625,467 |
|
551,926 |
|
Goodwill and other intangible assets |
41,985 |
|
43,207 |
|
Derivative financial instruments |
659 |
|
1,894 |
|
Other investments |
32,404 |
|
27,527 |
|
Deferred tax assets |
65,688 |
|
58,081 |
|
Restricted cash |
143,357 |
|
208,919 |
|
Other assets |
9,817 |
|
8,496 |
|
Total non-current
assets |
919,377 |
|
900,050 |
|
Inventories |
191,638 |
|
152,306 |
|
Derivative financial instruments |
4,688 |
|
5,961 |
|
Trade and other receivables |
151,374 |
|
122,369 |
|
Other assets |
61,821 |
|
44,821 |
|
Current tax assets |
5,439 |
|
5,108 |
|
Cash and cash equivalents |
341,102 |
|
207,366 |
|
Assets held for sale |
1,474 |
|
1,005 |
|
Total current assets |
757,536 |
|
538,936 |
|
Total assets |
1,676,913 |
|
1,438,986 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AMG Advanced Metallurgical Group N.V. |
|
|
|
|
|
Condensed Interim Consolidated
Statement of Financial Position |
|
|
|
|
(continued) |
|
|
|
|
In thousands of US dollars |
June 30,
2021 Unaudited |
December 31, 2020 |
|
|
Equity |
|
|
|
|
Issued capital |
905 |
|
831 |
|
|
|
Share premium |
608,194 |
|
489,546 |
|
|
|
Treasury shares |
(71,481) |
(80,165) |
|
|
Other reserves |
(96,192) |
(110,593) |
|
|
Retained earnings (deficit) |
(181,757) |
(184,139) |
|
|
Equity attributable to
shareholders of the Company |
259,669 |
|
115,480 |
|
|
|
|
|
|
|
|
Non-controlling interests |
27,867 |
|
25,790 |
|
|
|
Total equity |
287,536 |
|
141,270 |
|
|
|
|
|
|
|
|
|
|
Liabilities
Loans and borrowings |
|
|
|
|
Loans and borrowings |
676,142 |
|
673,262 |
|
|
|
Lease liabilities |
44,296 |
|
47,092 |
|
|
|
Employee benefits |
181,275 |
|
197,158 |
|
|
|
Provisions |
15,387 |
|
15,322 |
|
|
|
Deferred revenue |
23,282 |
|
4,361 |
|
|
|
Other liabilities |
14,677 |
|
8,237 |
|
|
|
Derivative financial instruments |
3,369 |
|
4,389 |
|
|
|
Deferred tax liabilities |
4,605 |
|
5,398 |
|
|
|
Total non-current
liabilities |
963,033 |
|
955,219 |
|
|
|
Loans and borrowings |
20,670 |
|
23,392 |
|
|
|
Lease liabilities |
4,450 |
|
4,789 |
|
|
|
Short-term bank debt |
7,500 |
|
7,561 |
|
|
|
Deferred revenue |
|
|
19,212 |
|
1,623 |
|
|
|
Other liabilities |
83,425 |
|
66,182 |
|
|
|
Trade and other payables |
225,726 |
|
164,999 |
|
|
|
Derivative financial instruments |
2,951 |
|
10,264 |
|
|
|
Advance payments from customers |
32,323 |
|
29,885 |
|
|
|
Current tax liability |
9,614 |
|
7,480 |
|
|
|
Provisions |
20,473 |
|
26,322 |
|
|
|
Total current
liabilities |
426,344 |
|
342,497 |
|
|
|
Total liabilities |
1,389,377 |
|
1,297,716 |
|
|
|
Total equity and
liabilities |
1,676,913 |
|
1,438,986 |
|
|
|
AMG Advanced Metallurgical Group N.V. |
|
|
|
Condensed Interim Consolidated Statement
of Cash Flows |
|
|
|
For the six
months ended June 30 |
|
|
|
In thousands of US dollars |
2021 |
2020 |
|
|
Unaudited |
Unaudited |
|
Cash from operating
activities |
|
|
|
Profit (loss) for the period |
9,950 |
|
(26,203) |
|
|
Adjustments to reconcile net profit (loss)
to net cash flows: |
|
|
|
Non-cash: |
|
|
|
Income tax (benefit) expense |
(6,490) |
16,102 |
|
|
Depreciation and amortization |
21,902 |
|
21,135 |
|
|
Asset impairment (reversal) expense |
(776) |
98 |
|
|
Net finance cost |
13,415 |
|
11,737 |
|
|
Share of loss of associates and joint ventures |
625 |
|
— |
|
|
(Gain) loss on sale or disposal of property, plant and
equipment |
(91) |
114 |
|
|
Equity-settled share-based payment transactions |
2,127 |
|
2,744 |
|
|
Movement in provisions, pensions, and government grants |
2,647 |
|
(6,432) |
|
Working capital and deferred revenue adjustments |
14,171 |
|
4,724 |
|
|
Cash generated from operating
activities |
57,480 |
|
24,019 |
|
|
Finance costs paid, net |
(10,053) |
(8,826) |
|
Income tax (paid) received |
(4,499) |
1,461 |
|
|
Net cash from operating
activities |
42,928 |
|
16,654 |
|
|
|
|
|
|
Cash used in investing
activities |
|
|
|
Proceeds from sale of property, plant and
equipment |
1,055 |
|
6 |
|
|
Acquisition of property, plant and
equipment and intangibles |
(78,606) |
(46,480) |
|
Investments in associates and joint
ventures |
(1,000) |
(1,000) |
|
Change in restricted cash |
65,562 |
|
37,254 |
|
|
Interest received on restricted cash |
25 |
|
1,067 |
|
|
Capitalized borrowing cost |
(7,795) |
(7,417) |
|
Other |
19 |
|
3 |
|
|
Net cash used in investing
activities |
(20,740) |
(16,567) |
|
AMG Advanced Metallurgical Group
N.V. |
|
|
Condensed Interim Consolidated Statement
of Cash Flows |
|
|
(continued) |
|
|
For the six
months ended June 30 |
|
|
In thousands of US
dollars |
2021 |
2020 |
|
Unaudited |
Unaudited |
Cash from (used) in financing
activities |
|
|
Proceeds from issuance of debt |
2,411 |
|
6,370 |
|
Payment of transaction costs related to
debt |
(390) |
— |
|
Repayment of borrowings |
(3,127) |
(2,281) |
Net proceeds from (repurchase of) common
shares |
121,569 |
|
(638) |
|
Dividends paid |
(3,858) |
(6,167) |
Payment of lease liabilities |
(2,608) |
(2,167) |
Contributions by non-controlling
interests |
648 |
|
368 |
|
Net cash from (used) in financing
activities |
114,645 |
|
(4,515) |
|
|
|
Net increase (decrease) in cash
and cash equivalents |
136,833 |
|
(4,428) |
|
|
|
Cash and cash equivalents at January
1 |
207,366 |
|
226,218 |
|
Effect of exchange rate fluctuations on
cash held |
(3,097) |
(1,479) |
|
Cash and cash equivalents at June
30 |
341,102 |
|
220,311 |
|
This press release contains inside information within the
meaning of Article 7(1) of the EU Market Abuse Regulation.
This press release contains regulated
information as defined in the Dutch Financial
Markets Supervision Act (Wet op het financieel toezicht).
About
AMG
AMG is a global critical materials company at
the forefront of CO2 reduction trends. AMG produces highly
engineered specialty metals and mineral products and provides
related vacuum furnace systems and services to the transportation,
infrastructure, energy, and specialty metals & chemicals end
markets.
AMG Clean Energy Materials combines our
recycling and mining operations producing materials for
infrastructure and energy storage solutions while reducing the CO2
footprint of both suppliers and customers. Clean Energy Materials
spans the vanadium, lithium, and tantalum value chains. AMG
Critical Materials Technologies combines our leading vacuum furnace
technology line with high-purity materials serving global leaders
in the aerospace sector. AMG Critical Minerals consists of our
mineral processing operations in antimony, graphite, and silicon
metal.
With approximately 3,000 employees, AMG operates
globally with production facilities in Germany, the United Kingdom,
France, the United States, China, Mexico, Brazil, India, Sri Lanka,
and Mozambique, and has sales and customer service offices in
Russia and Japan (www.amg-nv.com).
For
further
information,
please
contact:AMG
Advanced
Metallurgical
Group
N.V. +1
610
975
4979Michele
Fischermfischer@amg-nv.com
Disclaimer
Certain statements in this press release are not
historical facts and are “forward looking.” Forward looking
statements include statements concerning AMG’s plans, expectations,
projections, objectives, targets, goals, strategies, future events,
future revenues or performance, capital expenditures, financing
needs, plans and intentions relating to acquisitions, AMG’s
competitive strengths and weaknesses, plans or goals relating to
forecasted production, reserves, financial position and future
operations and development, AMG’s business strategy and the trends
AMG anticipates in the industries and the political and legal
environment in which it operates and other information that is not
historical information. When used in this press release, the words
“expects,” “believes,” “anticipates,” “plans,” “may,” “will,”
“should,” and similar expressions, and the negatives thereof, are
intended to identify forward looking statements. By their very
nature, forward-looking statements involve inherent risks and
uncertainties, both general and specific, and risks exist that the
predictions, forecasts, projections and other forward-looking
statements will not be achieved. These forward-looking statements
speak only as of the date of this press release. AMG expressly
disclaims any obligation or undertaking to release publicly any
updates or revisions to any forward-looking statement contained
herein to reflect any change in AMG's expectations with regard
thereto or any change in events, conditions, or circumstances on
which any forward-looking statement is based.
- Second Quarter 2021 Earnings Press Release
AMG Critical Materials NV (EU:AMG)
Historical Stock Chart
From Jul 2024 to Aug 2024
AMG Critical Materials NV (EU:AMG)
Historical Stock Chart
From Aug 2023 to Aug 2024