AMAG Austria triumphantly traverses through all odds of 2024, flagging strong fiscal output and committed sustainability drive

AMAG Austria Metall AG is a leading sustainable manufacturer and supplier of premium rolled aluminium products, including sheets, strips and plates, recycled aluminium alloy castings, and ready-to-install components. The company, with production sites at Ranshofen in Austria, Übersee and Karlsruhe in Germany, and Sept-Îles in Canada, is known for delivering exceptionally high-quality products used in a wide range of industries, such as aerospace, automotive, mechanical engineering, packaging, architecture, electrical, and sports industries.

Standing firm to the commitment to building a greener future, the company every year strives to strengthen its sustainability efforts throughout the supply chain and operations while focusing on a circular economy and clean technology. 2024 has also been a remarkable year for the company, marking successful sustainable initiatives alongside robust operational and financial performance.

Financial results (so far)

Throughout the first three quarters of 2024, AMAG Group has demonstrated impressive resilience amid the subdued global economic environment, especially in Europe. From starting the year with a revenue of EUR 335.8 million in Q1 2024 to achieving EUR 370.9 million in Q4 2024, the company has shown its dedication to the aluminium business, triumphing over all odds and challenges. While the aluminium price rally in Q2 and Q3 contributed to this growth, AMAG's proactive efforts to expand its business also played a key role in its success. Shipments grew from 104,200 tonnes in Q1 to 109,100 tonnes in Q3,

EBITDA rose from EUR 17.2 million to EUR 52.2 million, and net income after taxes heightened from EUR 13.3 million to EUR 20.9 million.

Over the three quarters, AMAG's total revenue reached EUR 1,078 million, EBITDA at EUR 147.6 million and net income at EUR 54.3 million. Although these figures showed year-on-year declines, they demonstrated a positive upward trend each quarter.

AMAG's depreciation and amortisation increased to EUR 66.8 million in the first three quarters, compared to EUR 63.8 million during the corresponding period of the previous year. This year, until the third quarter, AMAG invested EUR 69.0 million versus EUR 75.4 million a year earlier.

Crucial agreements & investments paving the path towards sustainability

• At the beginning of 2024, AMAG and Audi partnered for almost two decades. Under this partnership, Audi will secure premium aluminium from AMAG's Ranshofen production site. Audi uses AMAG's aluminium coils to produce outer skin components and interior structural components. The initial processing of components occurs at the Audi plant in Györ, Hungary. Years ago, Audi had an agreement with AMAG to reuse the aluminium scrap generated during production, with the closed loop system in mind, and to return it to the value chain by recycling it in Ranshofen.
• AMAG Austria Metall AG in Ranshofen, Austria, has invested EUR 50 million in a state-of-the-art surface treatment line to strengthen its position as a leading manufacturer of high-quality aluminium surfaces. Equipped with highly efficient devices, AMAG's new surface treatment line facilitates surface cleaning of hot-rolled and cold-rolled aluminium strips while optimising production capacity, efficiency, and quality, given the growing demand for top-grade and precision-processed aluminium rolled products.
• Around the middle of the year, AMAG Austria Metall AG signed a long-term power purchase agreement (PPA) with ImWind, to secure green electricity for its headquarters in Ranshofen, Upper Austria, for the next 15 years to decarbonise its aluminium production process. ImWind will start supplying green electricity to AMAG from the end of 2024, meeting 20 per cent of the annual electricity required. ImWind will produce about 18 megawatts of electricity through new wind turbines, reducing more than 26,000 tonnes of carbon emissions, equivalent to the carbon emissions of more than 10,000 cars per year, compared to conventional electricity generation. 
• As part of the decarbonisation effort, AMAG Austria announced expanding its rooftop photovoltaic plant to double with the help of Energie AG, a modern and efficient energy and service group, in a bid to make a significant shift from using natural gas to green electricity at Ranshofen production site.
• To contribute more to climate protection, AMAG joined over 1,000 companies and signed the Antwerp Declaration, which calls for a European Industrial Deal. It is a strategised movement for the European Union Green Deal while safeguarding the manufacturing industries. By adding voice to this movement, AMAG underscores the critical importance of ensuring that the path to a greener future also secures the economic viability of the basic materials sector across the continent.

The movement aims to secure improved infrastructure in energy, advanced digitalisation, recycling, and carbon capture, utilisation, and storage (CCUS) through ten key actions, including eliminating regulatory inconsistencies, simplifying cross-border documentation, and introducing new legislative incentives for clean technologies.

Financial outlook for 2024

AMAG Austria Metall AG expects steady financial output for the rest of the year even amidst an uneven global economy. According to AMAG, the economy in the eurozone is expected to grow by just 0.8 per cent, in contrast to a noticeable GDP growth of 2.5 per cent in the United States. The company believes its strong positioning in the market with timeless sustainability drives will enable it to achieve solid revenue and earnings. They may not exceed the previous year's record but are likely to see a steady performance.