Slide 1: Second quarter 2025 Investor presentation
Second quarter 2025 Investor presentation July 22, 2025
Slide 2: Table of contents / Cautionary note
Table of contents Second quarter results 2025 3 Cautionary note Certain statements included in this announcement contain forward-looking information, Additional slides 23 including, without limitation, information relating to (a) forecasts, projections and estimates, (b) statements of Hydro manageme
Slide 3: Performance and capital discipline supporting strong results
Performance and capital discipline supporting strong results Eivind Kallevik, President & CEO July 22, 2025
Slide 4: Safety our key priority
Safety our key priority TRI1) per million hours worked HRI2) per million hours worked 12 months rolling average 12 months rolling average 5 3 4 2 3 2.57 average since Q2’20 1.08 average since Q2’20 2 1.96 per 1 end-Q2’253) 1 0.61 per end-Q2’253) 0 0 Q1’20 Q1’21 Q1’22 Q1’23 Q1’24 Q1’25 Q1’20 Q1’21 Q1
Slide 5: Q2 2025 highlights
Q2 2025 highlights Adjusted EBITDA NOK 7.8 billion Free cash flow NOK 5 billion, adjusted RoaCE1) 12% Strong results amid uncertain markets Reducing 2025 capital expenditure target by NOK 1.5 billion, to NOK 13.5 billion Introducing external hiring freeze and structured review of white collar workfo
Slide 6: Increased uncertainty and unpredictability
Increased uncertainty and unpredictability Geopolitics and conflicts U.S. tariffs and trade war Russia/Ukraine Israel/Gaza Israel/U.S./Iran 6
Slide 7: Addressing market uncertainty with decisive measures
Addressing market uncertainty with decisive measures Reducing CAPEX guidance for 2025 External hiring freeze and structured review • Current market and regulatory uncertainty challenges • Current market and regulatory uncertainty make it demand forecasting, capacity planning, and long-term even more
Slide 8: Robust sourcing portfolio amid challenging wind and solar markets
Robust sourcing portfolio amid Norway: Power sourcing for Hydro smelters1) Consumption, TWh challenging wind and solar markets 18 Total consumption 16 Gap to fill 14 12 10 External PPAs Termination of Nordic Impairments from updating 8 6 power purchase agreement return requirements in Brazil 4 Curre
Slide 9: Strong improvement drive
Strong improvement drive Hydro improvement program ahead of target for 2025 NOK billion, 2024 baseline • Improvements achieved through Commercial commercial activities and growth Expanding greener sales and customer outreach excellence program projects • Key drivers include new aluminium • About 50
Slide 10: Financial update
Financial update Trond Olaf Christophersen Executive Vice President & CFO
Slide 11: Easing global alumina balance, Guinea continues to strengthen bauxite position
Easing global alumina balance, Guinea continues to strengthen global bauxite position Easing global alumina balance due to Pax prices stabilized in Q2 2025 after China increasingly dependent on capacity expansion in 2025 year long run Guinean bauxite imports Estimated global balance Platts alumina i
Slide 12: Tariffs and volatility reshaping the global aluminium markets
Tariffs and volatility reshaping the global aluminium markets Estimated global balance LME aluminium price Regional premiums Primary production, million tonnes1) (‘000) NOK per tonne USD per tonne (`000) NOK per tonne 2.2 40,000 4,000 1 400 1.9 3,800 1 300 3,600 1 200 35,000 3,400 1 100 3,200 1 000
Slide 13: Extrusion sales volumes bottoming out
Extrusion sales volumes bottoming out B&C and industrial segments improving from low levels, headwinds in automotive and transport moderating External market forecasts1) Extrusion sales volumes Year over Year Q2 2025 vs Q2 2024 Extrusion market growth per quarter and annually Hydro Extrusions segmen
Slide 14: Adj. EBITDA down on lower upstream prices
Adj. EBITDA down on lower upstream prices, partly offset by lower raw material cost and higher upstream volumes Q2 2025 vs Q1 2025 NOK billion 9.5 1.4 7.8 3.7 0.0 0.3 0.0 1.7 1.0 1.0 0.9 0.2 0.1 CO2 compensation Other Eliminations Adj. EBITDA Realized aluminium Upstream volumes Raw material cost Ext
Slide 15: Key financials
Key financials NOK million Q2 2025 Q2 2024 Q1 2025 Year 2024 Revenue 53 116 50 944 57 094 203 636 Reported EBITDA 6 889 6 044 10 815 26 543 Adjusting items to EBITDA 902 (205) (1 299) (225) Adjusted EBITDA 7 790 5 839 9 516 26 318 Reported EBIT 4 375 3 557 8 016 16 487 Adjusted EBIT 5 302 3 353 6 99
Slide 16: Hydro Bauxite & Alumina
Hydro Bauxite & Alumina Implied alumina cost and margin USD/mt Lower results, mainly driven by lower alumina price and higher costs, partly offset by currency effects 587 397 400 181 54 55 Key figures Q2 2025 Q2 2024 Q1 2025 342 345 406 Alumina production, kmt 1 516 1 492 1 465 Total alumina sales,
Slide 17: Hydro Aluminium Metal
Hydro Aluminium Metal All-in implied primary cost and margin USD/mt1,4) 525 450 475 Results down driven by higher alumina prices and negative currency effects, partly offset by higher all-in metal prices. 2 275 9) 9) 2 400 2 450 2 250 9) 9) 2 500 2 3009) 2 000 1 850 2 050 Key figures Q2 2025 Q2 2024
Slide 18: Metal Markets
Metal Markets Results down due to lower results from sourcing and trading activities, partly offset by increased results from recyclers Key figures Q2 2025 Q2 2024 Q1 2025 Recycling production, kmt 209 202 192 Metal products sales, kmt 1) 659 682 612 Adjusted EBITDA Recycling (NOK million) 136 41 63
Slide 19: Hydro Extrusions
Update on Friday, 4th Hydro Extrusions Results down on lower margins, partly offset by higher sales volumes and strong cost measures Key figures Q2 2025 Q2 2024 Q1 2025 External sales volumes, kmt 264 262 255 Adjusted EBITDA, NOK million 1 260 1 377 1 174 Adjusted EBIT, NOK million 489 609 350 Adjus
Slide 20: Hydro Energy
Hydro Energy Results up on higher production volumes and higher price area gains Key figures Q2 2025 Q2 2024 Q1 2025 Power production, GWh 2136 1929 2 743 Net spot sales, GWh 47 (146) 641 Southwest Norway spot price (NO2), NOK/MWh 682 519 776 Adjusted EBITDA, NOK million 1069 611 1 180 Adjusted EBIT
Slide 21: Net debt increase of NOK 0.4 billion during Q2
Net debt increase of NOK 0.4 billion during Q2 Increase in net debt due to shareholder distributions which offsets a positive free cash flow NOK billion Free cash flow: Excludes hedging collateral (LT/ST restricted cash) and net purchases of money market funds Collateral: Includes collateral for sho
Slide 22: Our priorities
Our priorities 1. 2. 3. 4. 5. Health and safety Maintain Deliver on Execute Seize first robustness while Recycling, Extrusions, on decarbonization opportunities maneuvering and renewable growth and technology in greener aluminium uncertain markets ambitions road map at premium pricing Accelerating g
Slide 23: Additional slides
») Hydro Additional slides
Slide 24: Key figures – Outlook Q3 2025
Key figures – Outlook Q3 2025 Note that the information on this page is based on forward looking information from current point in time and changes might occur during the coming quarter Bauxite & Alumina Aluminium Metal Metal Markets • Seasonally lower recycling volumes • Alunorte production at name
Slide 25: Revenue drivers through Q2 2025
Revenue drivers through Q2 2025 LME aluminium price Regional standard ingot premiums Platts alumina index (PAX) NOK/mt USD/mt USD/mt USD/mt % of LME 1 400 35,000 4,000 900 35% 1 300 3,800 1 200 800 3,600 1 100 30% 30,000 3,400 1 000 700 3,200 3,000 900 600 25,000 2,800 800 25% 2,600 700 500 2,400 60
Slide 26: Market raw material costs in Q2 2025
0.0 0.5 1.0 2.0 2.5 0.0 0.2 0.4 0.6 0.8 1.2 1.4 1.6 1.8 1.5 1.0 Q2-21 Q2-21 Q3-21 Q3-21 Q4-21 Q4-21 Q1-22 Q1-22 Q2-22 Q2-22 Q3-22 Q3-22 Q4-22 Q4-22 Q1-23 Q1-23 Q2-23 Q2-23 Q3-23 Q3-23 Q4-23 Q4-23 Q1-24 Q1-24 Q2-24 Q2-24 Caustic soda (indexed) Q3-24 Q3-24 Source: Thomson Reuters, PACE, IHS Markit, Pl
Slide 27: Key performance metrics Q2 2025
Key performance metrics Q2 2025 Adjusted EBITDA Free cash flow1) Adjusted RoaCE2) NOK million NOK billion 12-month rolling % 9,516 5,0 12.0% 10.7% 7,790 5,839 2,8 4.4% 1,3 2Q24 1Q25 2Q25 2Q24 1Q25 2Q25 2Q24 1Q25 2Q25 Upstream costs3,4) Extrusion volumes Improvement program status USD per tonne Thous
Slide 28: Hedging status
Hedging status Aluminium hedges in place for 2025-2027 Strategic hedging status1) NOK Billions • 2025: 225 kt remaining at a price of ~2500 USD/t • 2026: 460 kt hedged at a price of ~2750 USD/t • 2027: 100 kt hedged at a price of ~2600 USD/t Settlements • Pricing mainly in NOK. Net USD exposure hedg
Slide 29: Significant exposure to commodity and currency fluctuations
Significant exposure to commodity and currency fluctuations Aluminium price sensitivity +10 USD/mt1) Currency sensitivities NOK million USD BRL EUR 160 Sustainable effect (NOK million) +1.00 NOK/USD +0.10 NOK/BRL +1.00 NOK/EUR 110 AEBITDA 4,730 (510) (130) AEBITDA Adjusted net income One-off reevalu
Slide 30: Bauxite & Alumina sensitivities
Bauxite & Alumina sensitivities Annual sensitivities on adjusted EBITDA Revenue impact • Realized alumina price lags PAX by one month +10 USD/mt1) +10 USD/mt1) +10 USD/mt1) +10 USD/mt1) +0.1 USD/MMBtu1) Cost impact NOK million Bauxite 550 • ~2.45 tonnes bauxite per tonne alumina • Pricing partly LME
Slide 31: Aluminium Metal sensitivities
Aluminium Metal sensitivities Annual sensitivities on adjusted EBITDA Revenue impact • Realized price lags LME spot by ~1-2 months +10 USD/mt1) +10 USD/mt1) +10 USD/mt1) +10 USD/mt1) +10 EUR/mt2) • Realized premium lags market premium by ~2-3 months NOK million Cost impact 220 160 Alumina • ~1.9 ton
Slide 32: Energy EBITDA development
Energy EBITDA development • Production and market prices strongly linked to hydrological Adjusted EBITDA and NO2 spot price NOK million conditions 4.926 NOK/MWh 5.000 2.500 • Seasonal market variations in demand and supply. Gains or losses 3.791 4.000 3.540 2.000 may occur from delink between area p
Slide 33: Metal Markets earnings drivers
Metal Markets earnings drivers • Recyclers Adjusted EBITDA MM • Revenue impact – volume, LME and product premiums NOK million1) • Cost impact • Scrap and standard ingot premiums above LME 750 700 • Raw material mix 650 • Freight cost – proximity to market 600 • Energy consumption and prices 550 500
Slide 34: Extrusions earnings drivers
Extrusions earnings drivers Adjusted EBITDA per tonne1), NOK • Contract structure 7,500 • Margin business based on conversion price 7,000 • LME element passed on to customers 6,500 • Mostly short-term contract, typically ranging from spot to 12 months, 6,000 few longer-term contracts with floating p
Slide 35: Additional information
») Hydro Additional information
Slide 36: Adj. EBITDA up on higher aluminium and energy prices
Adj. EBITDA up on higher aluminium and energy prices and eliminations, partly offset by FX and raw material cost Q2 2025 vs Q2 2024 NOK billion 1.8 7.8 0.1 0.3 1.7 0.4 0.5 0.3 1.1 0.0 0.4 5.8 0.0 CO2 compensation Other Eliminations Adj. EBITDA Realized Upstream Raw material cost Extrusion and Energy
Slide 37: Income statements
Income statements NOK million Second quarter Second quarter First quarter First half First half Year 2025 2024 2025 2025 2024 2024 Revenue 53 116 50 944 57 094 110 210 98 490 203 636 Share of the profit (loss) in equity accounted investments (197) 113 58 (139) 158 (516) Other income, net 1 042 1 392
Slide 38: Balance sheet
Balance sheet NOK million June 30 March 31 December 31 September 30 June 30 March 31 December 31 September 30 2025 2025 2024 2024 2024 2024 2023 2023 Cash and cash equivalents 18 809 18 945 15 049 18 875 18 886 19 622 24 618 19 105 Short-term investments 3 051 2 943 3 467 3 928 3 760 4 968 2 641 2 1
Slide 39: Adjusting items to EBITDA, EBIT and net income
Adjusting items to EBITDA, EBIT and net income NOK million (+=loss/()=gain) Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Year 2024 Unrealized derivative effects on LME related contracts Hydro Bauxite & Alumina 3 8 (7) (18) 4 14 (15) Unrealized derivative effects on raw material contracts Hydro Ba
Slide 40: Operating segment information
Operating segment information Adjusted EBIT NOK million Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Year 2023 Year 2024 Hydro Bauxite & Alumina (221) 88 (610) (269) 43 841 2 761 4 216 4 404 772 (1 013) 7 861 Hydro Energy 677 805 712 755 1 103 545 575 1 085 1 119 1
Slide 41: Operating segment information
Operating segment information EBIT NOK million Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Year 2023 Year 2024 Hydro Bauxite & Alumina (399) (30) (570) (4 223) 81 844 2 834 4 153 4 464 726 (5 222) 7 911 Hydro Energy 466 628 677 634 1 047 1 180 22 637 891 818 2 406
Slide 42: Operating segment information
Operating segment information Total revenue NOK million Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Year 2023 Year 2024 Hydro Bauxite & Alumina 8 320 8 830 8 423 9 948 10 200 11 905 14 306 17 808 16 634 11 152 35 521 54 219 Hydro Energy 3 452 2 162 3 299 2 644 2 8
Slide 43: Operating segment information
Operating segment information Internal revenue NOK million Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Year 2023 Year 2024 Hydro Bauxite & Alumina 3 031 3 260 3 019 3 141 3 238 3 597 4 599 5 174 5 785 2 977 12 542 16 608 Hydro Energy 1 818 1 905 1 683 1 586 1 665
Slide 44: Operating segment information
Operating segment information Return on average capital employed 1) (RoaCE) Reported RoaCE Adjusted RoaCE 2024 2023 2022 2021 2020 2019 2018 2024 2023 2022 2021 2020 2019 2018 Hydro Bauxite & Alumina 21.5% (12.7%) 1.3% 11.9% 5.4% 1.9% 4.6% 21.4% (2.5%) 1.8% 12.0% 5.9% 2.5% 6.0% 2) Hydro Energy 6.7%
Slide 45: Operating segment information
Operating segment information Depreciation, amortization and impairment NOK million Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Year 2023 Year 2024 Hydro Bauxite & Alumina 659 729 703 4 523 761 775 649 753 731 748 6 614 2 938 Hydro Energy 48 49 49 50 49 66 51 66 6
Slide 46: Operational data
Operational data Hydro Bauxite & Alumina Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Year 2023 Year 2024 Alumina production (kmt) 1 550 1 542 1 522 1 571 1 503 1 492 1 463 1 516 1 465 1 516 6 185 5 973 Sourced alumina (kmt) 686 553 692 909 1 080 1 231 1 247 1 164
Slide 47: Operational data
Operational data Hydro Aluminium Metal 1) Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Year 2023 Year 2024 Realized aluminium price LME, USD/mt 2 291 2 273 2 146 2 129 2 248 2 377 2 429 2 450 2 547 2 548 2 218 2 374 Realized aluminium price LME, NOK/mt 2) 23 566 24
Slide 48: Hydro Extrusions, information by business area
Hydro Extrusions, information by business area Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year Q1 Q2 Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year Q1 Q2 Precision Tubing 2023 2023 2023 2023 2023 2024 2024 2024 2024 2024 2025 2025 Extrusion Europe 2023 2023 2023 2023 2023 2024 2024 2024 2024 2024 2025 2025 Volume (kmt) 31 32
Slide 49: Investor Relations in Hydro
Investor Relations in Hydro Martine Rambøl Hagen Head of Investor Relations Next event t: +47 91708918 e: martine.rambol.hagen@hydro.com Q3 2025 Elitsa Blessi Investor Relations Officer October 24, 2025 t: +47 91775472 e: elitsa.blessi@hydro.com Mathias Gautier Investor Relations Officer For more in
Slide 50: Hydro
Hydro Industries that matter