Outokumpu changes its segment reporting: Ferrochrome to be reported as a new reportable segment as of January 1, 2018
Outokumpu Oyj
Stock exchange release
November 14, 2017 at 9.00 am EET
Outokumpu will change its segment structure as of January 1, 2018 by separating Ferrochrome operations from Business Area Europe as a new reportable segment. In the new structure, Outokumpu will have four reportable segments – Europe, the Americas, Long Products and Ferrochrome. Outokumpu’s financial reporting will be changed accordingly as of the first-quarter interim statement 2018.
Ferrochrome operations are an integral part of Outokumpu’s business, and will be managed separately. Coupled with Kemi mine, ferrochrome production gives us clear competitive advantage. The change in reporting practices will also increase transparency to our operations.
The segments’ key comparison figures (sales, adjusted EBITDA, adjustments to EBITDA and EBITDA) for 2016 and January-September 2017 are included in the attached table. The full set of comparison data for 2016 and 2017, including quarterly figures, will be published during the first quarter of 2018.
For more information:
Investors: Tommi Järvenpää, tel. +358 9 421 3466, mobile +358 40 576 0288
Media: Reeta Kaukiainen, tel. +358 50 522 0924
Outokumpu Group
Outokumpu is the global leader in stainless steel. We aim to be the best value creator in stainless by 2020, through our competitive edge of customer orientation and efficiency. The foundation of our business is our ability to tailor stainless steel into any form and for almost any purpose. Stainless steel is sustainable, durable and designed to last forever. Our customers use it to create civilization’s basic structures and its most famous landmarks as well as products for households and various industries. Outokumpu employs 10,000 professionals in more than 30 countries, with headquarters in Helsinki, Finland and shares listed in Nasdaq Helsinki. www.outokumpu.com outokumpu.com/stainless-news choosestainless.outokumpu.com
| Business Area key figures | ||
| Sales | ||
| EUR million | 2016 | I–III/17 |
| Europe total | 3,767 | 3,188 |
| of which intra-group | 93 | 66 |
| Americas total | 1,325 | 1,201 |
| of which intra-group | 21 | 23 |
| Long Products total | 487 | 442 |
| of which intra-group | 153 | 131 |
| Ferrochrome total | 371 | 458 |
| of which intra-group | 269 | 354 |
| Other operations total | 567 | 387 |
| of which intra-group | 289 | 204 |
| Group total sales | 5,690 | 4,898 |
| Adjusted EBITDA | ||
| EUR million | 2016 | I–III/17 |
| Europe | 295 | 367 |
| Americas | -27 | 22 |
| Long Products | -1 | 13 |
| Ferrochrome | 80 | 161 |
| Other operations and intra-group items | -38 | -13 |
| Group total adjusted EBITDA | 309 | 549 |
| Adjustments to EBITDA | ||
| EUR million | 2016 | I–III/17 |
| Europe | -26 | - |
| Americas | 21 | - |
| Long Products | 19 | - |
| Ferrochrome | -0 | - |
| Other operations and intra-group items | 32 | 31 |
| Group total adjustments to EBITDA | 47 | 31 |
| EBITDA | ||
| EUR million | 2016 | I–III/17 |
| Europe | 270 | 367 |
| Americas | -6 | 22 |
| Long Products | 18 | 13 |
| Ferrochrome | 80 | 161 |
| Other operations and intra-group items | -6 | 18 |
| Group total EBITDA | 355 | 580 |
| Depreciation and amortization | -226 | -164 |
| Impairments | -26 | -1 |
| Group total EBIT | 103 | 415 |