Neo Performance down as falling rare metals revenue weigh on Q4 results

Neo Performance Materials

15/03/2024 15:37

** Shares of industrial materials maker Neo Performance
Materials  NEO.TO  down 6.8% at C$6.31
    ** Company reports Q4 adj. net loss of $5.68 mln, or 13
cents per share, vs adj. net income of $16.1 mln, or 39 cents
per share, a year earlier
    ** Reports Q4 2023 revenue of $128,668 vs $159,168 a year
ago
    ** Declining rare earth prices and lower volumes in China
due to the slowing economic activity negatively impacted the
results for the year 2023, company says
    ** "In Q4, our results were particularly negatively impacted
by our rare metals segment..."
    ** Rare metals revenue down 55% and 4.4%, respectively, in
the quarter and year ended Dec. 31, especially neodymium and
praseodymium
    ** The magnequench segment, which produces
neodymium-iron-boron magnets, saw volume increase of 7.8%
year-on-year
    ** Company sees steady pricing and demand for hafnium in
2024, driven by demand for memory chips and superalloys
    ** So far this year, shares down 17.56% YTD

 (Reporting by Seher Dareen in Bengaluru)
 ((Seher.Dareen@thomsonreuters.com;))