2013-03-19 07:02:56 -
Key Highlights
* Revenue was $275.2 million in the fourth quarter 2012, an 11% decrease from
the same period in 2011; full year revenue was $1,215.6 million, a 10%
decrease from 2011
* EBITDA[1] was $17.7 million in the fourth quarter 2012, a 29% decrease from
the same period in 2011; full year EBITDA was $84.8 million, a 23% decrease
from the full year 2011
* EPS on a fully diluted basis was ($0.13) in the fourth quarter 2012 up from
($0.47) in the same period in 2011; full year EPS was $0.09
* The Advanced Materials Division generated revenue of $174.0 million and
EBITDA of $10.0 million in Q4 2012; full year revenue and EBITDA were $791.3
million and $50.3 million, respectively
* The Engineering Systems Division generated revenue of $69.2 million and
EBITDA of $7.2 million in Q4 2012; full year revenue and EBITDA were $273.8
million and $19.3 million, respectively
* Graphit Kropfmühl generated revenue of $31.9 million and EBITDA of $0.5
million in Q4 2012; full year revenue and EBITDA were $150.5 million and
$15.2 million, respectively
* As of 31 December 2012, cash on the balance sheet was $121.6 million, net
debt was $194.2 million
Amsterdam, 19 March 2013 (Regulated Information) --- AMG Advanced Metallurgical
Group N.V. ("AMG", EURONEXT AMSTERDAM: "AMG") reported fourth
quarter 2012
revenue of $275.2 million an 11% decrease from $308.6 million in the fourth
quarter 2011.
EBITDA decreased 29% to $17.7 million in the fourth quarter 2012 from $24.8
million in the fourth quarter 2011. Net loss attributable to shareholders for
the fourth quarter 2012 was $3.5 million, or ($0.13) per fully diluted share.
Net loss attributable to shareholders for the fourth quarter 2011 was $13.2
million, or ($0.47) per fully diluted share.
Full year 2012 revenue decreased 10% to $1,215.6 million, from $1,351.3 million
in 2011. EBITDA decreased 23% to $84.8 million in 2012 compared to $110.1
million in 2011. Net income attributable to shareholders for the full year
2012 was $2.4 million, or $0.09 per fully diluted share a 54% decrease compared
to net income attributable to shareholders for the full year 2011 of $5.2
million, or $0.19 per fully diluted share.
Dr. Heinz Schimmelbusch, Chairman of the Management Board and CEO, commented:
"2012 was a year of change for AMG. We simplified our corporate structure
through the acquisition and merger with Graphit Kropfmühl, streamlined the
Management Board, and made changes in operational management. These changes
should enable AMG to react more quickly to the ongoing sluggishness in global
markets. This environment particularly affected AMG in the fourth quarter of
2012 as the sharp contraction in European economy resulted in lower revenue and
earnings. Despite this, AMG generated positive net cash flow during the quarter
through reductions in SG&A, and increased discipline in capital investment."
Key Figures
In 000's US Dollar
Q4 '12 Q4 '11 Change FY '12 FY '11
Change
Revenue $275,176 $308,574 (11%) $1,215,602 $1,351,306 (10%)
--------------------------------------------------------------------------------
Gross profit 41,398 50,515 (18%) 196,468 237,976 (17%)
Gross margin 15.0% 16.4% 16.2% 17.6%
--------------------------------------------------------------------------------
Operating profit 4,051 9,778 (59%) 34,311 69,536 (51%)
Operating margin 1.5% 3.2% 2.8% 5.1%
Net (loss) income
attributable to
shareholders (3,528) (13,197) 73% 2,392 5,160 (54%)
--------------------------------------------------------------------------------
EPS- Fully diluted ($0.13) ($0.47) $0.09 $0.19
EBIT ( (1)) 7,407 16,424 (55%) 53,266 80,282 (34%)
EBITDA ((2)) 17,712 24,779 (29%) 84,824 110,142 (23%)
EBITDA margin 6.4% 8.0% 7.0% 8.2%
--------------------------------------------------------------------------------
Notes:
1. EBIT is defined as earnings before interest and tax and excludes
nonrecurring items
2. EBITDA is defined as earnings before interest, tax, depreciation and
amortization and excludes nonrecurring items
Operational Review - Fourth Quarter 2012
Advanced Materials Division
Q4 '12 Q4 '11 Change
--------------------------------------------------------
Revenue $174,049 $198,714 (12%)
Gross profit 23,415 19,201 22%
Operating profit (loss) 6,844 (10,864) N/A
EBITDA 10,015 6,026 66%
Capital expenditures 10,812 10,740 1%
The Advanced Materials Division's fourth quarter 2012 revenue decreased $24.7
million, or 12%, to $174.0 million. The decrease in revenue was primarily the
result of 30%, 26% and 20% decreases in revenue from ferrovanadium, chrome and
antimony, respectively, partially offset by a 61% increase in tantalum revenue,
compared to the fourth quarter 2011.
The fourth quarter 2012 gross margin improved to 13% from 10% in the fourth
quarter 2011. The improvement in gross margin was driven by cost improvements
in aluminum master alloys and ferrovanadium and an increase in tantalum pricing.
The fourth quarter 2012 EBITDA increased $4.0 million to 6% of revenue from 3%
of revenue in the fourth quarter 2011. The EBITDA increase was the result of
the $4.2 million increase in gross profit and the $1.2 million decrease in
personnel expenses, slightly offset by a $0.5 million decrease in the impact of
foreign currency exchange.
Capital expenditures were $10.8 million for the fourth quarter 2012, a slight
increase from the fourth quarter 2011. Growth capital investments made in the
fourth quarter included $3.7 million for the expansion of the spent catalyst
recycling facility for ferrovanadium production, $1.0 million related to
expansion of the Brazilian tantalum mine and $4.4 million of maintenance capital
investment.
Engineering Systems Division
Q4 '12 Q4 '11 Change
------------------------------------------------------
Revenue $69,207 $72,851 (5%)
Gross profit 16,176 21,800 (26%)
Operating (loss) profit (301) 6,028 N/A
EBITDA 7,195 11,772 (39%)
Capital expenditures 163 6,289 (97%)
The Engineering Systems Division's fourth quarter 2012 revenue decreased $3.6
million, or 5%, to $69.2 million. Revenue from casting and sintering furnace
systems increased 32% to $13.8 million and revenue from remelting furnaces,
primarily for the aerospace industry, increased 1% to $15.1 million. These
increases were more than offset by 91% and 27% decreases in solar silicon and
heat treatment furnace revenue, respectively, compared to the fourth quarter
2011.
Order backlog increased 2% to $165.3 million as of December 31, 2012, from
$162.2 million as of September 30, 2012. The division generated order intake of
$67.8 million in the fourth quarter 2012, a 2% decrease compared to the fourth
quarter 2011 and a 0.98x book to bill ratio. Turbine blade coating systems were
the largest portion of the order intake accounting for 25% of the total.
The fourth quarter 2012 gross margin decreased to 23% from 30% in the fourth
quarter 2011. Unfavorable product mix and lower revenues, resulting in a
decline in the economies of scale, were the primary drivers of the decrease in
gross margin.
The fourth quarter 2012 EBITDA decreased $4.6 million, to 10% of revenue from
16% of revenue in the fourth quarter 2011. The EBITDA decrease was primarily
the result of the $5.6 million decrease in gross profit.
Capital expenditures were $0.2 million in the fourth quarter 2012, 97% less than
the fourth quarter 2011. Capital investments in the fourth quarter were
primarily maintenance capital expenditures for the Heat Treatment Services
business.
Graphit Kropfmühl
Q4 '12 Q4 '11 Change
---------------------------------------------------------
Revenue $31,920 $37,009 (14%)
Gross profit 1,807 9,514 (81%)
Operating (loss) profit (2,492) 22,155 N/A
EBITDA 502 6,981 (93%)
Capital expenditures 3,259 3,152 3%
Graphit Kropfmühl's fourth quarter 2012 revenue decreased $5.1 million, or 14%,
to $31.9 million. Silicon metal revenue decreased $4.8 million, or 20%, due to
a 46% decline in volumes due to postponed shipments, slightly offset by a
favorable shift in average selling price. Natural graphite revenue decreased
$0.3 million, or 2%, primarily because of a decrease in average selling price.
The fourth quarter 2012 gross margin decreased to 6% from 26% in the fourth
quarter 2011. The decrease in gross margin was primarily the result of lower
shipments of silicon metal and lower prices for natural graphite products.
The fourth quarter 2012 EBITDA decreased by $6.5 million to 2% of revenue from
19% of revenue in the fourth quarter 2011. The EBITDA decrease was the result
of the decline in gross profit and the increase in SG&A due to merger expenses.
Capital expenditures were $3.3 million in the fourth quarter 2012, 3% more than
the fourth quarter 2011. Capital expenditures included upgrading the electric
arc furnaces in the silicon metal operation and expanding high purity natural
graphite processing capacity.
Operational Review - Year 2012
Advanced Materials Division
FY '12 FY '11 Change
-----------------------------------------------------
Revenue $791,329 $871,939 (9%)
Gross profit 112,766 118,931 (5%)
Operating profit 28,902 19,639 47%
EBITDA 50,326 50,377 -
Capital expenditures 32,331 29,064 11%
The Advanced Materials Division's 2012 revenue decreased by $80.6 million, or
9%, to $791.3 million. Decreases in average selling prices and volumes for
antimony and aluminum master alloys and decreases in volumes for ferrovanadium
and coatings were the primary cause for the decline in total revenue.
2012 gross margin remained constant at 14% compared to 2011, as the decline in
revenue was offset by improved product mix and a reduction in operating costs.
2012 EBITDA remained consistent with 2011 at $50.3 million, or 6% of revenue.
This was due to a $6.2 million decrease in gross profit, offset by a $9.4
million decline in SG&A expenses. SG&A expenses decreased 11% to $78.1 million
in 2012 due to lower selling expenses and incentive compensation.
2012 capital expenditures were $32.3 million, 11% more than 2011. The division
invested in growth capital expenditures in its ferrovanadium, antimony and
tantalum operations during 2012 in an effort to increase capacity and ensure
security of raw material supply.
Engineering Systems Division
FY '12 FY '11 Change
-----------------------------------------------------
Revenue $273,789 $313,830 (13%)
Gross profit 60,698 83,707 (27%)
Operating profit (2,933) 20,424 N/A
EBITDA 19,286 33,969 (43%)
Capital expenditures 5,410 13,386 (60%)
The Engineering Systems Division's 2012 revenue decreased $40.0 million, or 13%
to $273.8 million. The decrease was the result of an 83% decline in solar
silicon revenue, slightly offset by a 16% increase in revenue from remelting
furnaces, primarily for the aerospace industry, and an 8% increase in Heat
Treatment Services revenue. 2012 order intake was $276.0 million, down 6% from
2011.
2012 gross margin decreased to 22% from 27% in 2011 due to unfavorable product
mix and lower revenues, resulting in a decline in economies of scale.
2012 EBITDA decreased by 43%, to $19.3 million or 7% of revenue due to a $23.0
million decrease in gross profit slightly offset by an $8.7 million decrease in
SG&A expenses. SG&A expenses decreased 15% to $51.5 million due to a decline in
professional fees and research and development spending.
2012 capital expenditures were $5.4 million, 60% less than 2011. The division
limited investments to maintenance capital expenditures and additional capacity
for the Heat Treatment Services facilities during 2012.
Graphit Kropfmühl
FY '12 FY '11 Change
-----------------------------------------------------
Revenue $150,484 $165,537 (9%)
Gross profit 23,004 35,338 (35%)
Operating profit 8,342 37,014 (77%)
EBITDA 15,212 25,796 (41%)
Capital expenditures 10,369 9,472 9%
GK's 2012 revenue decreased by $15.1 million, or 9%, to $150.5 million. The
decrease was the result of lower silicon metal and natural graphite pricing and
volume.
2012 gross margin decreased to 15% from 21% in 2011 due to lower pricing,
silicon metal production issues, and lower output that caused a decline in
economies of scale.
2012 EBITDA decreased 41% to $15.2 million, or 10% of revenue due to a $12.3
million decrease in gross profit and a $0.4 million, or 3%, increase in SG&A.
Gross profit included an increase of $1.7 million of depreciation expense in
2012 related to revalued assets, which is not included in EBITDA.
Capital expenditures were $10.4 million in 2012, 9% more than 2011. GK invested
in upgrading and expanding its natural graphite production capabilities and
furnace upgrades in the silicon metal operation.
Financial Review
Taxes
AMG recorded a tax expense of $10.8 million, or a 99% effective tax rate in
2012, compared to a tax expense of $18.7 million, or a 69% effective tax rate,
in 2011. The high 2012 tax rate is due to a significant portion of
restructuring and asset impairment expenses for which a tax benefit cannot be
booked. Excluding these non-recurring non-deductible expenses, the effective
tax rate would have been 40%.
SG&A
AMG's fourth quarter 2012 SG&A expenses were $34.0 million, compared to $42.5
million in the fourth quarter 2011, a decrease of 20%. The $8.5 million
decrease was primarily due to a $7.5 million noncash charge that occurred in
2011 for the write down of assets related to Timminco.
For the full year 2012, AMG's SG&A expenses were $145.6 million, compared to
$170.8 million in 2011, a decrease of 15%. The $25.2 million decrease was due
to an $11.1 million decrease in personnel costs, $7.5 million decline in noncash
charges related to Timminco in 2011 and a $2.7 million decrease in professional
fees.
Non-Recurring Items
AMG's 2012 operating profit of $34.3 million includes non-recurring items, which
are not included in the calculation of EBITDA. These items are comprised of
income and expense items, that in the view of management, do not arise in the
normal course of business and items that, because of their nature and/or size,
should be presented separately to enable better analysis of the results.
A summary of non-recurring items affecting the 2012 and 2011 results is
presented below:
For the twelve months
ended
December December
2012 2011
--------------------------------------------------------------------------------
Non-recurring items included in operating profit:
Provisions for Timminco receivables and notes - 7,541
Restructuring expense 6,151 2,526
Environmental expense 1,772 5,886
Impairment of ESD assets 9,891 14,992
Reversal of impairment of GK assets - (16,909)
Bargain purchase gain on acquisition - (5,361)
--------------------------------------------------------------------------------
Total non-recurring items included in operating profit 17,814 8,675
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Non-recurring losses from investment in Timminco - 17,706
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
Non-recurring losses (gains) from revaluation of
Timminco convertible debt included in finance costs - 2,624
--------------------------------------------------------------------------------
Currency Fluctuations
AMG transacts business in many currencies other than the U.S. dollar, the
Company's reporting currency. AMG's financial statements are prepared in U.S.
dollars, so fluctuations in the exchange rates between the U.S. dollar and other
currencies have an effect both on the results of operations and on the reported
value of assets and liabilities as measured in U.S. dollars. The depreciation
in the value of the U.S. dollar as of December 31, 2012 compared to September
30, 2012, resulted in an increase in the assets and liabilities on the balance
sheet of $15.0 million and $9.6 million, respectively. The net result of the
appreciation in the value of the U.S. dollar in the fourth quarter 2012 compared
to the fourth quarter 2011, resulted in a decrease in revenue and EBITDA of $6.2
million and $0.5 million, respectively.
Liquidity
December 31, 2012 December 31, 2011 Change
--------------------------------------------------------------------------------
Total debt $315,844 $268,621 18%
Cash & short-term investments 121,639 79,571 53%
--------------------------------------------------------------------------------
Net debt 194,205 189,050 3%
AMG had a net debt position of $194.2 million as of December 31, 2012. AMG's
net debt position increased $5.2 million since December 31, 2011 primarily due
to $48.1 million in capital investments, $18.6 million of net cash interest
payments, $15.3 million in Graphit Kropfmühl share purchases, $12.6 million of
cash tax payments, $3.1 million for severance and other restructuring payments
reduced by $84.8 million of EBITDA and a $9.9 million decrease in working
capital and provisions. Including the $121.6 million of cash, AMG had $172.4
million of total liquidity as of December 31, 2012.
Cash Flow
For the twelve months ended
------------------------------------------------------------------------------
December December
2012 2011
------------------------------------------------------------------------------
Net cash flows from operations $65,637 $45,039
------------------------------------------------------------------------------
Capital expenditures (48,109) (51,922)
Acquisitions, net of cash (166) (29,345)
Cash flows used in other investing (264) (1,455)
------------------------------------------------------------------------------
Net cash flows used in investing activities (48,539) (82,722)
------------------------------------------------------------------------------
Cash flows generated from financing activities 21,661 27,824
------------------------------------------------------------------------------
Cash flows from operations were $65.6 million in 2012 compared to cash flows
from operations of $45.0 million in 2011. The 2012 cash flows from operations
are primarily the result of $84.8 million in EBITDA and a $9.9 million decrease
in working capital less $18.6 million in net cash interest payments and $12.6
million in cash tax payments.
Cash used in investing activities was $48.5 million in 2012, of which $15.8
million was maintenance capital investments. The $34.2 million decrease
compared to 2011 is composed of a $29.2 million decrease in acquisitions and a
$3.8 million decrease in capital expenditures. In 2011, AMG acquired KB Alloys
and AMG Intellifast for $29.1 million. AMG's acquisition of Graphit Kropfmühl
is classified as a financing activity in 2012.
Cash generated from financing activities was $21.7 million in 2012, a $6.2
million decrease from 2011. This decrease was primarily attributable to the
acquisition of 11.8% of Graphit Kropfmühl's outstanding common shares in 2012
for $15.3 million, including related costs, reduced by a $9.0 million increase
in net proceeds from issuance of debt and repayment of borrowings in 2012. AMG
increased the capacity of its credit facility in 2012. The proceeds of this
expansion of credit were used to fund the Brazilian mine expansion and the
acquisition of Graphit Kropfmühl shares as well as to retire Graphit Kropfmühl's
external debt.
Outlook
AMG is implementing changes to its reporting and operational structure in 2013.
Effective January 1, 2013, to better coordinate organizational responsibilities
and value chains, and improve transparency, AMG has realigned its three
operating units as follows: AMG Processing, AMG Mining and AMG Engineering. AMG
Processing contains the "conversion" activities, i.e. purchasing and upgrading
of high performance materials. AMG Mining includes AMG's mine based material
value chains, i.e. tantalum, niobium, antimony, graphite and silicon. AMG
Engineering contains the same operating activities as in 2012. AMG will provide
segment reporting for these three entities on a go forward basis.
In this environment of slow global growth, AMG is implementing measures to
improve cash flow through reductions in capital investment and improved working
capital management. In 2013 AMG is targeting an increase in operating margins
through SG&A cost reductions, operational realignment and more streamlined
management decision-making. Despite the low growth environment, this should
generate increased cash flow and EBITDA leading to a reduction in net debt in
2013.
AMG Advanced Metallurgical Group N.V.
Consolidated Income Statement
For the three months ended December
31
In thousands of US Dollars 2012 2011
Continuing operations
Revenue 275,176 308,574
Cost of sales 233,778 258,059
Gross profit 41,398 50,515
Selling, general and administrative
expenses 34,011 42,457
Restructuring expense 1,349 30
Asset impairment expense (reversal) 3,553 (1,917)
Environmental (reversal) expense (1,228) 5,504
Other income, net (338) (5,337)
Operating profit 4,051 9,778
Finance expense 8,045 6,867
Finance income (196) (1,464)
Foreign exchange loss 771 838
Net finance costs 8,620 6,241
Share of income (loss) of
associates and joint ventures 1,896 (13,514)
Loss before income tax (2,673) (9,977)
Income tax expense 1,994 2,155
Loss for the period (4,667) (12,132)
Attributable to:
Shareholders of the Company (3,528) (13,197)
Non-controlling interests (1,139) 1,065
(4,667) (12,132)
Earnings per share
Basic earnings per share (0.13) (0.47)
Diluted earnings per share (0.13) (0.47)
AMG Advanced Metallurgical Group
N.V.
Consolidated Income Statement
For the year ended December 31
In thousands of US Dollars 2012 2011
Continuing operations
Revenue 1,215,602 1,351,306
Cost of sales 1,019,134 1,113,330
Gross profit 196,468 237,976
Selling, general and administrative
expenses 145,569 170,772
Restructuring expense 6,151 2,526
Asset impairment expense (reversal) 9,891 (1,917)
Environmental expense 1,772 5,886
Other income, net (1,226) (8,827)
Operating profit 34,311 69,536
Finance expense 26,256 26,370
Finance income (1,051) (5,457)
Foreign exchange loss 581 1,366
Net finance costs 25,786 22,279
Share of income (loss) of
associates and joint ventures 2,353 (20,265)
Profit before income tax 10,878 26,992
Income tax expense 10,808 18,702
Profit for the year 70 8,290
Attributable to:
Shareholders of the Company 2,392 5,160
Non-controlling interests (2,322) 3,130
70 8,290
Earnings per share
Basic earnings per share 0.09 0.19
Diluted earnings per share 0.09 0.19
AMG Advanced Metallurgical Group N.V.
Consolidated Statement of Financial
Position
As at December 31
In thousands of US Dollars 2012 2011
Assets
Property, plant and equipment 288,269 263,586
Goodwill 24,751 23,535
Intangible assets 13,971 14,557
Investments in associates and
joint ventures 7,351 5,085
Derivative financial instruments 527 1
Deferred tax assets 28,777 29,142
Restricted cash 11,888 11,074
Notes receivable 227 250
Other assets 18,463 17,866
Total non-current assets 394,224 365,096
Inventories 211,531 228,887
Trade and other receivables 177,232 188,103
Derivative financial instruments 3,229 3,956
Other assets 40,066 35,184
Cash and cash equivalents 121,639 79,571
Total current assets 553,697 535,701
Total assets 947,921 900,797
Equity
Issued capital 743 742
Share premium 382,176 381,921
Other reserves 32,823 26,771
Retained earnings (deficit) (205,015) (203,976)
Equity attributable to shareholders of
the Company 210,727 205,458
Non-controlling interests 6,818 15,160
Total equity 217,545 220,618
Liabilities
Loans and borrowings 265,553 210,448
Employee benefits 92,844 90,078
Provisions 31,852 27,019
Deferred revenue 2,724 -
Government grants 472 732
Other liabilities 6,690 9,276
Derivative financial instruments 11,082 8,122
Deferred tax liabilities 28,102 26,434
Total non-current liabilities 439,319 372,109
Loans and borrowings 20,333 17,436
Short term bank debt 29,958 40,737
Government grants 55 34
Other liabilities 58,934 51,673
Trade and other payables 125,342 128,493
Derivative financial instruments 3,900 10,661
Advance payments 26,989 30,204
Deferred revenue 2,533 -
Current taxes payable 8,623 14,468
Provisions 14,390 14,364
Total current liabilities 291,057 308,070
Total liabilities 730,376 680,179
Total equity and liabilities 947,921 900,797
AMG Advanced Metallurgical Group N.V.
Consolidated Statement of Cash Flows
For the year ended December 31
In thousands of US Dollars 2012 2011
Cash flows from operating activities
Profit for the year 70 8,290
Adjustments to reconcile net profit to net cash
flows:
Non-cash:
Income tax expense 10,808 18,702
Depreciation and amortization 31,558 29,625
Amortization of purchase accounting adjustment to
inventory - 235
Asset impairment expense (reversal) 9,891 (1,917)
Net finance costs 25,786 22,279
Share of (profit) loss of associates and joint
ventures (2,353) 20,265
Loss on sale or disposal of property, plant and
equipment 327 50
Equity-settled share-based payment transactions 1,724 3,438
Movement in provisions, pensions and government
grants 9,088 9,266
Working capital adjustments
Change in inventories 17,698 (19,963)
Change in trade and other receivables 25,535 (24,749)
Change in prepayments (8,353) 8,440
Change in trade payables and other liabilities (26,159) 18,699
Other 1,189 (1,380)
--------------------
Cash flows from operating activities 96,809 91,280
Finance costs paid (19,123) (14,593)
Finance costs received 522 2,530
Income tax paid, net (12,571) (34,178)
--------------------
Net cash flows from operating activities 65,637 45,039
Cash flows used in investing activities
Proceeds from sale of property, plant and equipment 332 609
Acquisition of subsidiaries (net of cash acquired
$133 and $3,856, respectively) (166) (29,345)
Acquisition of property, plant and equipment and
intangibles (48,109) (51,922)
Related party loans - (5,002)
Change in restricted cash (671) 1,369
Other 75 1,569
--------------------
Net cash flows used in investing activities (48,539) (82,722)
--------------------
AMG Advanced Metallurgical Group N.V.
Consolidated Statement of Cash Flows (continued)
For the year ended December 31
In thousands of US Dollars 2012 2011
Cash flows from financing activities
Proceeds from issuance of debt 72,078 227,511
Payment of transaction costs related to debt issuance - (10,848)
Repayment of borrowings (35,126) (188,740)
Acquisition of non-controlling interests (15,291) (111)
Other - 12
--------------------
Net cash flows from financing activities 21,661 27,824
--------------------
Net increase (decrease) in cash and cash equivalents 38,759 (9,859)
Cash and cash equivalents at January 1 79,571 89,311
Effect of exchange rate fluctuations on cash held 3,309 119
--------------------
Cash and cash equivalents at December 31 121,639 79,571
About AMG
AMG creates and applies innovative metallurgical solutions to the global trend
of sustainable development of natural resources and CO(2) reduction. AMG
produces highly engineered specialty metal products and advanced vacuum furnace
systems for the Energy, Aerospace, Infrastructure and Specialty Metals and
Chemicals end markets.
AMG Processing develops and produces specialty metals, alloys and high
performance materials. AMG is a significant producer of specialty metals, such
as ferrovanadium, ferronickel-molybdenum, aluminum master alloys and additives,
chromium metal and ferrotitanium, for Energy, Aerospace, Infrastructure and
Specialty Metal and Chemicals applications. Other key products include
specialty alloys for titanium and superalloys, coating materials and vanadium
chemicals.
AMG Engineering designs, engineers and produces advanced vacuum furnace systems
and operates vacuum heat treatment facilities, primarily for the Aerospace and
Energy (including solar and nuclear) industries. Furnace systems produced by
AMG include vacuum remelting, solar silicon melting and crystallization, vacuum
induction melting, vacuum heat treatment and high pressure gas quenching,
turbine blade coating and sintering. AMG also provides vacuum case-hardening
heat treatment services on a tolling basis.
AMG Mining produces critical materials utilizing its secure raw material sources
in Africa, Asia, Europe and South America. AMG Mining produces critical
materials such as high purity natural graphite, tantalum, antimony and silicon
metal. These materials are of significant importance to the global economy and
are available in limited supply. End markets for these materials include
electronics, energy efficiency, green energy and infrastructure.
With over 3,200 employees, AMG operates globally with production facilities in
Germany, the United Kingdom, France, Czech Republic, United States, China,
Mexico, Brazil, Turkey, Poland, India and Sri Lanka and has sales and customer
service offices in Belgium, Russia and Japan (www.amg-nv.com).
For further information, please contact:
AMG Advanced Metallurgical Group N.V. +1 610 975 4901
Jonathan Costello
Vice President of Corporate Development and Corporate Communications
jcostello@amg-nv.com
Disclaimer
Certain statements in this press release are not historical facts and are
"forward looking." Forward looking statements include statements concerning
AMG's plans, expectations, projections, objectives, targets, goals, strategies,
future events, future revenues or performance, capital expenditures, financing
needs, plans and intentions relating to acquisitions, AMG's competitive
strengths and weaknesses, plans or goals relating to forecasted production,
reserves, financial position and future operations and development, AMG's
business strategy and the trends AMG anticipates in the industries and the
political and legal environment in which it operates and other information that
is not historical information. When used in this press release, the words
"expects," "believes," "anticipates," "plans,"
"may," "will," "should," and
similar expressions, and the negatives thereof, are intended to identify forward
looking statements. By their very nature, forward looking statements involve
inherent risks and uncertainties, both general and specific, and risks exist
that the predictions, forecasts, projections and other forward looking
statements will not be achieved. These forward looking statements speak only as
of the date of this press release. AMG expressly disclaims any obligation or
undertaking to release publicly any updates or revisions to any forward looking
statement contained herein to reflect any change in AMG's expectations with
regard thereto or any change in events, conditions, or circumstances on which
any forward looking statement is based.
[1] EBITDA is defined as earnings before interest, tax, depreciation and
amortization and excludes nonrecurring items
AMG Q4 2012:
hugin.info/138060/R/1686191/552667.pdf
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Source: AMG Advanced Metallurgical Group N.V. via Thomson Reuters ONE
[HUG#1686191]
