Hydro slips on profit miss, tougher outlook

Norsk Hydro ASA

Today 08:19

    ** Shares in Norsk Hydro  NHY.OL  fall 7% after the
Norwegian aluminium producer posted its Q3 print below
expectations, and said it expects higher costs and lower
realised metal prices at its smelting business in the fourth
quarter
    ** Adjusted EBITDA rose more than 50% year-on-year to 9.09
billion crowns ($974.3 million) in the quarter, but missed
analysts' 9.53 billion-crown forecast
    ** The company expects aluminium premiums to decline and
smelting costs to increase by 500-800 million crowns in the
fourth quarter
    ** JPM says that Hydro reported a disappointing quarter and
flagged a tougher outlook, with lower capex only partly
offsetting concerns over costs and earnings
    ** RBC echoes the view, adding that it expects rising costs
and operational challenges to weigh on Hydro's earnings despite
lower spending
    ** Share price is at its lowest in more than a year 

    (Reporting by Jesus Calero)
((mailto:jesus.calero@thomsonreuters.com))