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Norsk Hydro : Sapa (joint venture) - Announcement of results for the fourth quarter 2015

Compared to the previous quarter, underlying EBIT for Sapa declined mainly due
to seasonally lower demand.

Underlying EBIT for Sapa increased compared to the same quarter of the
previous year mainly due to the effects of the improvement programs,
continued growth in North American demand and increased added value
operations. Underlying EBIT for the fourth quarter was negatively affected by
Sapa's measures to address, and consequences of, unsanctioned quality testing
practices in North America.

The restructuring program initiated in 2013, targeting annual synergies of
around NOK one billion by the end of 2016, reached its target in 2015, one
year ahead of time. In addition to the factors mentioned above, reported EBIT
for the fourth quarter was affected by charges related to restructuring
activities, partly offset by unrealized gains from derivatives.

Underlying EBIT for 2015 improved compared with 2014 supported mainly by
internal improvements and strong performance in the North American operation.
Positive effects from a weakening Norwegian krone was offset by sharply
falling metal premiums.

Net interest-bearing debt at the end of 2015 amounted to roughly NOK 1.8
billion, which is at the same level as when the Sapa joint venture was
established on September 1, 2013.

| Key Figures - Sapa (50%) Fourth quarter 2015 Third quarter 2015 Fourth quarter 2014 Year 2015 Year 2014 |
| NOK million, except sales volumes |
| Revenue* 6 410 6 948 5 921 27 626 23 105 |
| Underlying EBITDA 245 367 171 1 364 958 |
| Underlying EBIT 64 202 (27) 704 326 |
| Underlying Net Income (loss) 70 120 (22) 454 199 |
| Sales volumes (kmt) 156 171 161 682 699 |
| Earnings before financial items and tax (EBIT) 44 87 (339) 264 (158) |
*Historical revenues have been reclassified


Demand for extruded products in North America decreased by 9 percent compared
to the previous quarter, due to seasonality. Compared to the same quarter of
the previous year demand increased 1 percent as a result of increased
building and construction activity and strong automotive demand. For the
full year, North American extrusion demand grew 5 percent over 2014.

In Europe, extruded products demand declined 7 percent compared with the
previous quarter, due to seasonality. Demand was overall stable both for the
full year and the quarter when compared to the previous year. A weak European
building and construction market was offset by most other segments.

Demand for extruded products is expected to seasonally improve going into the
first quarter of 2016.

Investor contact
Contact Pål Kildemo
Cellular +47 97096711
E-mail Pal.Kildemo@hydro.com

Press contact
Contact Halvor Molland
Cellular +47 92979797
E-mail Halvor.Molland@hydro.com

Certain statements included within this announcement contain forward-looking
information, including, without limitation, those relating to (a) forecasts,
projections and estimates, (b) statements of management's plans, objectives
and strategies for Hydro, such as planned expansions, investments or other
projects, (c) targeted production volumes and costs, capacities or rates,
start up costs, cost reductions and profit objectives, (d) various
expectations about future developments in Hydro's markets, particularly
prices, supply and demand and competition, (e) results of operations, (f)
margins, (g) growth rates, (h) risk management, as well as (i) statements
preceded by "expected", "scheduled", "targeted", "planned", "proposed",
"intended" or similar statements.

Although we believe that the expectations reflected in such forward-looking
statements are reasonable, these forward-looking statements are based on a
number of assumptions and forecasts that, by their nature, involve risk and
uncertainty. Various factors could cause our actual results to differ
materially from those projected in a forward-looking statement or affect the
extent to which a particular projection is realized. Factors that could cause
these differences include, but are not limited to: our continued ability to
reposition and restructure our upstream and downstream aluminium business;
changes in availability and cost of energy and raw materials; global supply
and demand for aluminium and aluminium products; world economic growth,
including rates of inflation and industrial production; changes in the
relative value of currencies and the value of commodity contracts; trends in
Hydro's key markets and competition; and legislative, regulatory and
political factors.

No assurance can be given that such expectations will prove to have been
correct. Hydro disclaims any obligation to update or revise any forward
looking statements, whether as a result of new information, future events or

This information is subject of the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.



This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Norsk Hydro via Globenewswire


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