Mytilineos SA on Thursday reported an increase in operating and net profitability in the January-September 2023 period and said that it recorded its best ever quarterly performance in profitability in the third quarter of the year.
Specifically, turnover was 4.088 billion euros in the nine-month period, from 4.573 billion in the same period last year, an 11% decline reflecting a significant de-escalation in energy and metals prices. EBITDA jumped 36% to 723 million euros, while net profits soared 48% to 462 million.
Net debt, on an adjusted basis, came in at 1.372 billion euros, excluding 231 million of non-recourse debt. Adjusted Net debt to EBITDA stood at 1.37x, a level on par with or better than investment grade companies, a fact that is reflected to a certain extent in the yields of Mytilineos’ bonds, with most recent being the successful issuance of a 7-year Common Bond Loan amounting to 500m with an interest rate of 4.0%.
Following the historically high performance of 2022, Mytilineos manages to remain firmly on a growth trajectory, steadily conquering higher levels of results, despite the significant decrease in energy and metal prices that characterized the first nine months of 2023.
The synergies between the Energy and Metals Sectors and the wider benefits arising from the recent corporate transformation of Mytilineos Energy & Metals are becoming increasingly visible in the face of a particularly demanding wider context. The intensifying geopolitical instability is having a critical impact on energy markets as economies try to adjust to the new high interest rates environment, which could potentially last longer, undermining growth prospects.
During 2023, in addition to strong financial performance, Mytilineos continued to steadily advance its strategic goals through a series of acquisitions such as Watt & Volt, Unison, EfAEnergy and Volterra that further strengthen the Company's Energy pillar while accelerating the penetration of the promising North American market in the Renewable Energy Sources (RES) area. At the same time, in the Metallurgy Sector, the acquisition of IMERYS BAUXITES strengthens the vertically integrated model and lays the foundations for further development of this activity.