ELVALHALCOR Pursues Greater Involvement in Defense Sector Amid ReArm Europe

ELVALHALCOR anticipates minimal impact on its operations from the tariffs imposed by the White House this year. Simultaneously, the company is keen on expanding its role in the defense sector due to the massive ReArm Europe initiative announced by the EU. During its annual financial results presentation for 2024, ELVALHALCOR’s management reported a 4.3% increase in sales to 585,000 tons. Additionally, net debt decreased by €170 million, while EBITDA remained nearly stable at €238 million. A dividend of €0.09 per share was also announced. Last year, the international market remained relatively stable, with metal prices increasing—aluminum specifically rose by 7.5%. On the other hand, energy costs stabilized, reducing production expenses for ELVALHALCOR. Notably, energy costs dropped from 17% of total costs in 2023 to 12% last year. Looking ahead to this year, the management expressed interest in enhancing its participation in the defense sector as part of the large-scale ReArm Europe plan, which aims to mobilize €800 billion in capital. “Currently, this sector represents a small portion of our sales, but we have the potential to increase our share and will seize the opportunity if it arises,” commented the management. Regarding developments in the U.S. and tariffs, ELVALHALCOR stated that no significant changes are expected in its sales within that market, which accounts for 8% of its total volumes. “Our customers in the U.S. have no alternative, and the additional cost will be passed on to end consumers,” noted the management. Orders have remained steady recently, confirming these statements.