By Nina Kienle
German metal supplier and copper recycler, Aurubis, is anticipating an increase in operating pretax profit for fiscal 2024. Despite challenges such as metals theft and weaker demand from cable and wire customers impacting its fourth-quarter results this year, the company remains optimistic.
Improved Forecast Aurubis disclosed that it expects operating pretax profit for the year ending September 2024 to range between €380 million and €480 million ($417.3 million-$527.1 million).
2019 Performance Confirming preliminary figures released last month, Aurubis reported a decline in operating pretax profit for the year ended September 30. The profit fell from €532 million to €349 million.
Impacts of Alleged Fraud and Metals Theft Back in September, Aurubis mentioned that it would face significant financial losses due to alleged fraud and metals theft. These criminal activities resulted in a metals shortfall of €169 million, slightly less than the earlier estimate of €185 million which was disclosed in August. However, the company received €30 million in insurance reimbursements which partly offset the losses.
Fourth Quarter Performance Aurubis experienced an after-tax loss of €26 million in the fourth quarter compared to a profit of €126 million in the same period last year. Additionally, the company's revenue dropped from €4.24 billion to €4.11 billion.
Dividend Proposal Aurubis plans to propose a dividend per share of €1.40 for fiscal 2023 at the next annual general meeting, a decrease from the previous year's dividend of €1.80.