Romanian aluminium producer Alro posts losses in H1
The Romanian group Alro (BVB: ALR), one of the largest vertically integrated aluminium producers in Europe, announced a net loss of RON 164mn (EUR 33mn) in the first half of the year, compared to a net profit of RON 15.3mn (over EUR 3mn) in the same period of last year, according to the half-year financial results published on August 9.
The group's turnover decreased by 26% y/y to RON 1.55bn (EUR 310mn) billion in the first semester of 2023, compared to RON 2.1bn, as a result of the falling aluminium quotations of the London Metal Exchange (LME) and the closure of the Alum alumina refinery.
"On the other hand, 2023 was characterized by a slowdown in sales and low demand in many industrial sectors," the report reads.
The company's management assured that the investments will continue despite the adverse circumstances in order to change the business model towards a more sustainable one.
"We invested in our eco-recycling facility to support aluminium production with low electricity consumption. In fact, in June, we inaugurated an USD 11mn investment in technology and environmental protection at the eco-recycling facility that will help us increase production at this facility, with a positive impact on production costs," said Marian Nastase, president of the company's managing board.