Belgium’s Umicore Sees 2021 Core Revenue Topping Expectations
The group mentioned it was off to a powerful begin to 2021 and now sees earnings for the yr approaching 1 billion euros ($1.2 billion), because of larger rhodium and palladium costs and strong demand throughout companies.
That’s far above analysts’ consensus forecast of 686 million euros, in accordance with a ballot on the corporate’s web site.
“In Rechargeable Battery Supplies, quantity progress is materializing as anticipated with significantly robust traction in Europe, leading to a extra favorable combine,” the corporate mentioned, forecasting adjusted group revenue could be larger within the first half of the yr than within the second.
It additionally expects its catalysis enterprise to greater than double earnings, and “distinctive earnings” in its recycling division as a result of firm’s potential to course of rising volumes of supplies wealthy in complicated platinum group metals (PGMs).
The brand new steering additionally assumes no deterioration in demand within the automotive business due, for example, to the pandemic, Umicore mentioned.
In February, the maker of catalytic converters and battery supplies for carmakers, mentioned it anticipated a lift from electrical automobiles to drive “substantial” group-level progress.
The group, which competes with Britain’s Johnson Matthey and Germany’s BASF reported EBIT at 536 million euros in 2020, up 5% from a yr earlier.
Umicore is because of publish first quarter outcomes on April 29.
(Reporting by Pawel Goraj. Modifying by Himani Sarkar and Mark Potter)