Aluminium Bahrain (Alba), the world’s largest aluminium smelter w/o China, has reported a profit of BD29.9 million ($79.5 million) for the second quarter of 2023 versus a profit of BD181.9 million ($483.9 million) for same period in 2022, down 83.6% year-over-year (YoY).

 

The Company reported basic and diluted earnings per share of fils 21 for Q2 2023 versus basic and diluted Earnings per share of fils 128 in Q2 2022. The total comprehensive income for Q2 2023 stood at BD34.4 million ($91.5 million) versus BD201.9 million ($536.9 million) for the same period in 2022, down by 83% YoY. 

 

Gross Profit for Q2 2023 was BD67.9 million versus BD208 million for the same period in 2022,  down by 67% YoY. With regards to the revenue from contracts with customers in Q2 2023, Alba generated BD387 million ($1,029.3 million) versus BD520.4 million ($1,384 million) in Q2 2022, down by 25.6% YoY. 

 

First Half results

For the First Half of 2023, Alba reported a profit of BD77.4 million ($205.7 million), down 76.5% YoY versus a profit of BD328.7 million (US$874.3 million) for the same period in 2022. Basic and diluted earnings per share was fils 55 for H1 2023 versus fils 232 for the same period in 2022. Total comprehensive income for H1 2023 was BD79.8 million, down by 78% YoY, compared to BD357.9 million in H1 2022. Gross profit was BD147.8 million versus BD386 million in H1 2022 – down by 62% YoY.  Alba generated in H1 2023 revenue from contracts with customers of BD757 million ($2,013.2 million) versus BD975.3 million ($2,593.9 million) in H1 2022 - down by 22.4% YoY. 

 

Total equity as at June 30, 2023 stood at BD1,771.2 million ($4,710.6 million), down by 3%, versus BD1,822.5 million ($4,847 million) as at December 31, 2022. Alba’s total assets as of June 30, 2023 were BD2,669.2 million ($7,099 million) versus BD2,617.2 million ($6,961 million) as at December 31, 2022 - up by 2%. 

 

Alba’s Board of Directors has proposed to pay an interim cash dividend of Fils 13.28 per share (excluding the treasury shares) amounting to BD18,801,617 to Alba’s shareholders.

 

Strong performace 

“We have maintained our position amidst mixed macroeconomic backdrop and delivered a strong performance in the second quarter over many operational metrics,” said Alba Chairman Shaikh Daij Bin Salman Bin Daij Al Khalifa. 

 

Alba’s production reached 405,628 metric tonnes (MT), an increase of 9,085 (MT) versus Q2 2022; sales volume topped 392,258 MT, up by 3,816 MT versus Q2 2022; and value added products touched 70% of total sales (70% in Q2 2022) underlining a solid demand for these products.

  

“This performance would have allowed us to beat Q2 2022 financial performance if LME prices and premia were to remain the same (LME prices and premia combined have dropped by 61% year-over-year).  Our financial resilience has allowed us to return capital to our shareholders with Fils 13.28 per share as interim cash dividend amounting to BD18,801,617.

 

“As we look forward, we remain optimistic to stay on course as we progress with Line 7’s feasibility study,” he said.

 

Alba’s Chief Executive Officer Ali Al Baqali said: “Through our ongoing cost discipline and operational improvements, we have performed well despite the bearish market sentiment and delivered a good performance when compared to our peers.

 

“In a changing macroeconomic landscape, we remain focused to deliver on what we really have control on: safety, productivity and cost,” he added.  –TradeArabia News Service