Umicore publishes its 2023 Integrated Annual Report

Driving transformation for the future - Seite 2

 

Strong cash flows and margins in a tough year

Umicore’s 2023 results demonstrated the Group’s resilience even with significant headwinds from lower PGM (platinum group metals) prices, higher inflation and after having raised its investments for future growth, notably in Battery Materials. Umicore delivered a strong adjusted EBITDA margin of 25% – in line with the 2030 RISE Strategy margin of more than 20% – and a strong operational free cash flow of € 332 million. Those results were achieved thanks to financial discipline, accelerated efficiencies through the launch of its “Efficiency for Growth” program and by expanding the strategic hedging of metals in terms of the duration and proportion of such contracts to the benefit of more predictable cash flows. Slightly higher earnings at Energy & Surface Technologies were due to a one-off contribution from Battery Materials. Catalysis delivered record results for the third consecutive year, while Recycling again reported very high returns on invested capital well above pre-2020 levels.

ESG

Umicore’s Climate Transition Plan underlines our commitment to climate action, resilience and transparency. As such, Umicore progressed in the decarbonization of its activities, with more than 40%  of its electricity needs covered by renewable energy. Its European activities, which include two of Umicore’s largest sites worldwide and located in Belgium, were powered by 57% of renewable electricity. In terms of responsible sourcing, Umicore expanded its sustainable sourcing frameworks and third-party auditing from cobalt to nickel and lithium. 

Note

Umicore is committed to fully disclosing its value to, and impact on, society with increased transparency and additional reporting frameworks. The report is published in accordance with the GRI¹ Standards. The extra-financial reporting is aligned with the EU Taxonomy², SASB³ and TCFD⁴.

To read the full report, please visit our annual report webpage. The Dutch version is available here.

About Umicore

Umicore is a circular materials technology company that focuses on application areas where its expertise in materials science, chemistry and metallurgy makes a real difference. Its activities are henceforth organized into four Business Groups: Battery Materials, Catalysis, Recycling and Specialty Materials. Each Business Group is divided into market-focused business units offering materials and solutions at the cutting edge of new technological developments and essential to everyday life.