Eramet forecast growth in Q3 2021, and EBITDA revised

Eramet provides updates on its strong growth in Q3 2021 turnover and the revised forecast EBITDA.

1. Turnover of EUR 1.1bn (+34% vs. Q3 2020), with the growth of more than 40% in the Mining and Metals division. 2. Increase in manganese alloys volumes produced (+11%) with a favorable mix and continued organic growth in manganese ore production in Gabon (+27%). 3. Excellent growth dynamics in Weda Bay nickel ore production with nearly 4 Mwmt over the quarter. 4. Increase in mineral sands production in Senegal (+11%). 5. Decrease in ferronickel production in New Caledonia (-19%), notably resulting from the deterioration in the health situation in the territory since early September. 6. Very favorable price environment in Q3 2021, particularly for manganese alloys. The impact of the increase in energy costs on the Group’s activities remains limited to date. 7. Decline in Aubert & Duval (A&D) turnover (-14%) in an aerospace market environment which is still depressed and factoring in the impact of the fire that occurred in a workshop of the Pamiers plant in early September; increase in Erasteel sales (+40%).

Forecast EBITDA revised up over the year, considering the excellent dynamics for manganese alloys and a revised consensus for 2021 of average manganese ore (CIF China 44%) prices at USD 5.1/dmtu and LME nickel prices at USD 8.3/lb2, forecast EBITDA would be close to EUR 1bn in 2021.