Romanian aluminum producer Alro Slatina recorded a net profit of RON 223.4 million (EUR 48 million) in the first nine months of this year, 3.5 times higher compared to the same period last year.

The company benefitted from higher aluminum prices on the international markets and the local currency’s depreciation.

It recorded sales revenues of RON 1.58 billion (EUR 340 million) in the first nine months of this year, up 17.7% over the same period last year.

The higher sales and profit were related to the increase in primary aluminum prices on the London Metal Exchange, from an average of USD 1,570 per ton in the first nine months of 2016 to USD 1,924 per ton in the same period of this year. The average price exceeded USD 2,000 per ton in the third quarter.

Alro also increased the volumes sold this year. The company’s operating profit thus went up some 2.5 times to RON 266.6 million (EUR 58.6 million). It also reported net earnings from foreign exchange differences worth RON 38.4 million (EUR 8.2 million).

Russian investor Vitali Machitski controls Alro through the Dutch firm Vimetco, Alro is listed on the Bucharest Stock Exchange. Its market capitalization reached RON 2.26 billion (EUR 487 million) on Wednesday, as the shares dropped over 5%.

editor@romania-insider.com