Robust Aluminum Prices Boosted Norsk Hydro Record Q2 Results

SEATTLE (Scrap Monster): Norwegian aluminum giant Norsk Hydro ASA announced record results for second quarter 2021, mainly driven by strong performance and positive market sentiments.

The robust aluminum prices and volumes contributed to improved margins and volumes in Extrusions, surpassing the record set in the initial quarter of the year. Incidentally, the LME aluminum cash prices had touched the highest level in almost a decade during the quarter. In order to further improve the Extrusions performance, the company has decided to make investment in a new press capacity in Cressona, U.S. and Nenzing, Austria. The above investments will boost capacity by around 30,000 kt.

The better than expected results from Hydro Energy boosted the EBITDA. The continuation of global recovery from pandemic crisis resulted in strong global demand for aluminum metal. However, these positive outcomes were partly offset by escalating raw material costs and negative currency impacts.

Hilde Merete Aasheim, President and CEO, Norsk Hydro said that the company’s target to deliver return on capital above 10% over the cycle is progressing well. The improvement program too is running ahead of schedule. The company facilities have been operating largely as normal during the second quarter, he added.

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