Middle East: Alba reports strong Q2CY'24 results; EBITDA jumps over 40%

Aluminium Bahrain B.S.C. (Alba), a leading global aluminium smelter, reported a significant profit of BD68.5 million ($182.2 m) for Q2 2024, a 129.2% increase from BD29.9 m($79.5 m) in Q2 2023. For the first half of 2024, Alba's profit rose to BD93 m ($247.3 m), reflecting a 20.2% increase compared to BD77.4 m($205.7 m) in H1 2023.

Gross profit in Q2 and H1 2024

For Q2 2024, Alba's Gross Profit was BD102 m ($271.2 m), a 50.1% increase from BD67.9 m($180.6 m) in Q2 2023. For the first half of 2024, Gross Profit rose to BD159.2 m ($423.5 m), up 7.7% from BD147.8 m ($393 m) in H1 2023.

Mixed revenue trends in Q2 and H1 2024

In Q2 2024, revenue reached BD407 m ($1,082.3 m), a 5.2% increase from BD387 m ($1,029.4 m) in Q2 2023. However, for the first half of 2024, revenue declined by 2% YoY to BD741.5 m ($1,972.1 m) from BD757 m ($2,013.2 m) in H1 2023.

LME Prices Gains

LME prices rose by 11% YoY in Q2 2024 and 1% in H1 2024, significantly drove Alba's revenue and profits. However, these gains were partially mitigated by lower premiums, which declined by 21% in Q2 and 32% in H1 compared to the previous year.

Operational highlights

Alba's operational highlights for the period include a sales volume of 397,538 t, marking a 1% increase y-o-y. Production saw a slight decrease of 0.5% y-o-y, reaching 403,747 t. Value-added sales comprised 73% of total shipments, with VAP at 288,312 t in Q2 2024 compared to 272,944 t in Q2 2023.