EANS-News

AMAG Austria Metall AG in H1 2019: Growth in shipments; lower aluminium price affects earnings - Seite 2

Net income after taxes stood at EUR 18.9 million during the first six months of
2019 (H1 2018: EUR 33.0 million).

Cash flow from operating activities more than tripled year-on-year, from EUR
19.2 million to EUR 63.7 million, especially thanks to aluminium price trends
and lower inventories. As cash flow from investing activities at EUR -39.0
million reported hardly any change compared with the first half of 2018 (EUR -
37.3 million), free cash flow rose significantly from EUR 18.2 million in the
first half of 2018 to EUR 24.7 million in the period under review.

For this reason, net financial debt registered only a slight change even after
the payment of the attractive dividend of EUR 42.3 million, remaining at a solid
level of EUR 332.7 million as of June 30, 2019 (December 31, 2018: EUR 311.3
million).

The AMAG Group's equity of EUR 595.1 million (December 31, 2018: EUR 620.9
million) and equity ratio of 38.9 percent (December 31, 2018: 39.8 percent) also
underscore the solid balance sheet structure of AMAG Austria Metall AG.

Outlook for 2019:
According to current forecasts by CRU market research institute, global demand
in 2019 for primary aluminium and aluminium rolled products is expected to grow
by 1 % and 3 % respectively. Annual growth rates of 3 to 4 % are expected over
the next five years.

Gerald Mayer, CEO of AMAG: "The medium-term outlook for aluminium and its alloys
offers a promising basis for our growth strategy, which we will consistently
pursue. With the most modern aluminium rolling mill in Europe, our technological
expertise and our focus on aluminium recycling, we are ideally positioned to
benefit long-term from growing demand for aluminium."

AMAG could stand to gain from the abolition of additional US import duties on
aluminium for supplies from Canada through its interest in the Canadian Alouette
smelter, unless the US premium level is adjusted to reflect this tariff effect.

The ramp-up in the Rolling Division is progressing well, leading to the
expectation of year-on-year growth in shipments.

Experience shows that prices for aluminium and raw materials can exhibit high
volatilities over the course of the year. In connection with the general
economic development, the trade conflicts and the sales development of the
customers, there are also forecast uncertainties that could influence the demand
and price development in the second half of 2019.

For the aforementioned reasons, an earnings forecast is only possible in the
form of a considerable bandwidth. For the 2019 financial year, the Management
Board expects EBITDA for the AMAG Group in a range between EUR 125 million and