Report on the financial key performance indicators of the voestalpine Group

This report is a translation of the original report in German, which is solely valid.

In the first half of the business year 2021/22, the voestalpine Group saw a marked year-over-year increase in its key performance indicators (KPIs). While the KPIs for the first half of the business year 2020/21 were affected by the fallout from the COVID-19 lockdowns, in the reporting period the Group benefited from the very solid development of demand in its key customer segments. Solely the volatile order call-ups of the automotive industry had a potentially dampening effect on the delivery volumes of both the Steel Division and the Metal Forming Division. Prices developed dynamically across all product groups, also on account of the sharp increases in the cost of raw materials. On this basis, the revenue of the voest­alpine Group jumped by 37.8% to EUR 7,042.9 million in the first half of the business year 2021/22, up from EUR 5,110.1 million in the first half of the business year 2020/21.

The results for the reporting period shed light not only on the positive economic environment but also on voestalpine’s clear focus on actions aimed at both lowering costs and boosting efficiency. Consequently, EBITDA skyrocketed by 165.8%, from EUR 395.0 million a year earlier to EUR 1,049.8 million in the reporting period. The jump in earnings was particularly pronounced in the Steel Division, which benefited from the positive economic environment in the steel sector. Consoli­dated EBIT, which at EUR –215.0 million was still substantially negative in the previous business year, soared to EUR 650.6 million in the first half of the business year 2021/22. Note, however, that the prior-year figure includes EUR –198.5 million in non-recurring effects (i.e., impairment losses) at voestalpine Texas, voestalpine Tubulars as well as voestalpine Special Wire. Given highly satisfactory financial results, which came in at EUR –39.5 million (previous year: EUR –52.5 million) thanks to the Group’s push to extinguish liabilities, the profit before tax for the first half of the business year 2021/22 is EUR 611.1 million (previous year: EUR –267.5 million). Based on a tax rate of 20.5%, the profit after tax is EUR 485.7 million (previous year: EUR –275.8 million).

Highly positive cash flow generation in the previous business year’s second half, had a particularly strong impact on net financial debt. While it was still EUR 3,491.0 million as of September 30, 2020, it fell within 12 months to EUR 2,743.5 million as of September 30, 2021. This is more or less unchanged from the level (EUR 2,742.8 million) shown as of the March 31, 2021, annual reporting date. By contrast, the voestalpine Group substantially boosted its equity base year over year: Equity increased from EUR 5,270.6 million as of September 30, 2020, to EUR 6,077.5 million as of September 30, 2021. As of March 31, 2021, equity was EUR 5,649.9 million. The gearing ratio (net financial debt as a percentage of equity) fell accordingly from 66.2% as of September 30, 2020 (or 48.5% as of March 31, 2021) to 45.1% as of September 30, 2021.

The number of employees (FTE, full-time equivalents) in the voestalpine Group rose by 2.4%, from 47,917 as of September 30, 2020, to 49,068 as of September 30, 2021. This increase is due to the dramatic improvement in the capacity utilization of the company’s key production plants. Compared with the March 31, 2021, reporting date (48,654), this equates to a 0.9% increase in the number of employees.

Net financial debt can be broken down as follows: