Overview
Sweden aluminium recycler's Q4 sales volume rose 17%
Adjusted EBIT for Q4 beat analyst expectations
Profit for the period rose to SEK 251 mln
Outlook
Granges expects sales volume to grow at a low-to-mid single-digit rate
Company anticipates aluminum price increase to weigh on operating cash flow
Granges aims for lower capital expenditure and optimizing mix, price, and productivity, but do not expect to compensate for currency hits
Result Drivers
SALES VOLUME GROWTH - Co reported a 17% increase in Q4 sales volume, driven by market share gains and new business across regions
MARKET SHARE GAINS - Granges Americas and Asia achieved market share gains, offsetting weak demand in some sectors
SUSTAINABILITY IMPROVEMENTS - Co achieved best-ever sustainability performance with lower carbon emissions and higher recycling volumes
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 EPS
SEK 2.31
Q4 Net Income
SEK 251 mln
Q4 Adjusted EBIT
Beat
SEK 373 mln
SEK 324.08 mln (4 Analysts)
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the aluminum peer group is "buy"
Wall Street's median 12-month price target for Granges AB is SEK170.00, about 11.3% above its January 28 closing price of SEK152.70
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 10 three months ago
Press Release: ID:nMFN6x1Szj
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)