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1.1.-31.03. |
| Amounts (in NOK million) |
2009 |
2008 |
2008 |
| Operating revenues |
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1 838 |
2 065 |
8 939 |
| EBITA* |
|
116 |
180 |
942 |
| EBITA-margin* |
|
6,3 % |
8,7 % |
10,5 % |
| *Before amortisation, write-down of inventory in Sapa Profiles, restructuring and significant impairments |
| In the first quarter, Elkem's operating revenues was NOK 1,838 million (NOK 2,065 million)1. EBITA came to NOK 116 million, a reduction of NOK 64 million relative to the same period in 2008. EBITA for Elkem Solar in the first quarter was NOK -159 million, whereof depreciation amounted to NOK 63 million in the quarter. The other silicon-related units, excluding Elkem Solar, experienced weak markets, which resulted in a decline in profits of NOK 129 million compared with the first quarter of 2008. |
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www.elkem.com |
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Elkem is one of the world leaders in the environment-friendly manufacture of metals and materials.
Its main products are energy, silicon, special ferrosilicon alloys for the foundry industry, carbon and microsilica. Elkem also invests heavily in the solar industry.
The company has production facilities in Europe, North and South America, Africa and Asia, and an extensive network of sales offices in its main markets. | |
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Elkem Energy had a significantly higher profit than in the first quarter of 2008, primarily because of a positive EBITA from trading compared with losses during the same period last year. In addition, the merger of Elkem Fornybar Energi with Norsk Grønnkraft AS yielded a positive contribution to profit of NOK 54 million. Power production in the quarter amounted to 750 GWh, compared with 837 GWh in the corresponding period last year due to a planned higher production in the previous quarter as a result of price expectations and a lower inflow of water and lower levels of accumulated snow. The lower production volume was counteracted by higher realised prices. There was a positive EBITA from trading of NOK 27 million, which was NOK 81 million higher than in the same period in 2008.
For the
silicon-related units, the aggregate profit was lower than in the first quarter of 2008, due to NOK 82 million in higher recognised costs at Elkem Solar and significantly weaker markets for
silicon-related products. Furthermore, in the same period last year Elkem had a positive
non-recurring effect related to the sale of the calcium carbide business at Pryor in the USA. The
ramp-up programme at Elkem Solar is proceeding according to plan, and in the first quarter tonnage was delivered from the industrial plant to the market. The volume of silicon and ferrosilicon taken out by customers in Europe and Asia was low and resulted in the shutdown of capacity at the majority of Elkem's factories in Norway. The level of activity is regularly adapted to the market trend, and at the close of the first quarter the
silicon-related businesses, excluding Elkem Solar, operated altogether at about 70 % capacity utilisation. The carbon activities experienced decreasing demand in the same way as other
silicon-related business and manufactured at a reduced production rate in the first quarter.
1 Figures in parantheses are for the corresponding period in the previous year.