News Insights

Afarak Group SE has released its financial statements for the full year 2024, demonstrating a significant decline in both revenue and earnings compared to 2023. Revenue fell to EUR 128.6 million, a 16.3% decrease from the previous year, while EBITDA decreased by approximately 85% to EUR 2.6 million. The second half of 2024 also saw a drop in revenue to EUR 57.2 million, down from EUR 58.3 million in H2 2023, and a negative EBITDA of EUR -1.6 million, contrasting sharply with a positive EBITDA in the previous period. Despite a 25.2% increase in speciality alloys processed material sold and a slight increase in tonnage mined, overall financial performance has been pressured due to reduced turnover and profitability.

The company has issued a profit warning indicating the sharp decline in financial performance, which includes expectations of a significant drop in EBITDA and overall earnings for the year. The challenges are compounded by the anticipation of sanctions against Russian materials impacting the low carbon ferro-chrome market, although an uptick in demand for aeronautics and defense applications may offer some recovery potential later in the year. The personnel count remained stable at 602, reflecting the company's continued commitment to its workforce despite the financial setbacks.