MANAMA, BAHRAIN (Scrap Monster): Aluminum Bahrain (Alba), the owner of the fourth largest aluminum smelter in the world, has reported a 53% growth in net income in 2011 at US $564 mn and has begun work on its sixth production line. The new production capacity will increase Alba’s total production capapcity by 400,000 tons annually. The facility currently produces 881,000 tons per year.
The company director board has proposed a dividend of US $252 mn for 2011 of which US $102 mn were paid as an interim dividend in August 2011. Alba reported 3.6% growth in production and 4.5% growth in sales in 2011.
-Sales reach US$ 2,349 million in 2011 as compared to US$ 1,997 million in 2010.
-EBITDA (excluding one-time costs) at US$ 631 million in 2011 - up by 14% YoY.
-Net Income of US$ 564 million in 2011 - up by 53% as compared to US$ 368 million in 2010.
-Actual cash delivered to Shareholders in 2011 was US$ 267 million versus US$ 238 million in 2010.
-Board recommended an additional dividend of US$ 150 million bringing-up the total to US$ 252 million for 2011
Commenting on the full-year results, Alba's Chief Executive, Laurent Schmitt said: Alba's sound financial performance for 2011 was underpinned by sustained growth, enhanced productivity and higher profits thanks to our Continuous Improvement Program which was ahead of our target. Despite the social challenges faced in early 2011 coupled with some exceptional one-time costs as well as the decline of LME prices in the latter quarter of the year, Alba showed strong resilience reflected in its healthy financial performance and strong EBITDA levels. Looking ahead, Alba remains committed to future growth through pro-active initiatives that build upon developing a culture of Continuous Improvement, commitment to Operational Efficiency and Global Competitiveness.
The Chairman of Alba's Board of Directors, Mahmood Hashim Al Kooheji added: Alba is a success story not only because of the positive results achieved in 2011 but more for the strong fundamentals the company has in place that made this growth possible.