Slide 1: Third Quarter 2024 Results
Driving innovation of critical materials essential to a sustainable future Third Quarter 2024 Results November 7, 2024 NASDAQ: GSM NASDAQ: GSM
Slide 2: Forward-Looking Statements and Non-IFRS Financial Metrics
Forward-Looking Statements and Non-IFRS Financial Metrics This presentation contains forward-looking statements within the meaning of Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. Forward-looking
Slide 3: Q3 2024 Business Review
Q3 2024 Business Review NASDAQ: GSM
Slide 4: Solid Third Quarter Despite Headwinds
SOLID THIRD QUARTER DESPITE HEADWINDS Financial Performance Current Market Environment • Index prices softened during Q3 for most of our product • Posted improved Q3 Adj. EBITDA despite market headwinds segments • Sales prices improved in Q3 due to higher Q2 index prices • Demand remains broadly mut
Slide 5: Improved Pricing Resulted in a Solid Quarter
IMPROVED PRICING RESULTED IN A SOLID QUARTER Sales of $434M Decrease from 2Q Adjusted EBITDA of $60M Increase from 2Q Operating Operatingcash cashflow flowof of$200m $11M Increase from 2Q Free cash flow of $(10)M Increase from 2Q NASDAQ: GSM 5
Slide 6: Silicon Metal
SILICON METAL Outlook: Soft demand continues, EU impacted by imports from China, US market impacted by sluggish demand and increased imports; Chemicals markets stable, auto and construction remains challenging; Anticipate improvement in H2 2025 Silicon Metal Shipment Trends Q/Q by Region Adj. EBITDA
Slide 7: Silicon Based Alloys
SILICON BASED ALLOYS Outlook: US market improvement expected due to FeSi trade cases; EU steel production muted; EU FeSi standard prices at near 4-year lows due to demand and imports Silicon Alloys Shipment Trends Q/Q by Region Adj. EBITDA Evolution Q/Q ($m) Europe (1)% Other (10)% N. America (1)% T
Slide 8: Manganese Based Alloys
MANGANESE BASED ALLOYS Outlook: Despite soft demand, expect spreads to remain positive; Underlying steel demand is soft Manganese Alloys Shipment Trends Q/Q by Region Adj. EBITDA Evolution Q/Q ($m) Europe (24)% Other 9% N. America 11% Total (21)% Index pricing trends ($/mt) Volume trends NASDAQ: GSM
Slide 9: Q3 2024 Financial Review
Q3 2024 Financial Review NASDAQ: GSM
Slide 10: Improved Adj. EBITDA and Margins
IMPROVED ADJ. EBITDA AND MARGINS Q3 2024 Q2 2024 Q/Q (in USD million, except EPS) Sales decreased slightly due to lower volumes, partially offset by improved pricing Sales $433.5 $451.0 in silicon metal and manganese alloys Raw materials & $(256.2) $(264.3) energy for prod. Raw materials and energy
Slide 11: Adjusted EBITDA Bridge Q3-24 vs. Q2-24 ($m)
ADJUSTED EBITDA BRIDGE Q3-24 VS. Q2-24 ($m) • Average selling prices across core products increased 8.4%: Silicon metal 4.8%, silicon-based alloys -0.2% and Mn-based alloys 15.5% • Total volume decreased 12.8%: Silicon metal -9.5%, silicon-based alloys -3.1% and Mn-based alloys -20.8% • Costs increa
Slide 12: Cash Flow Summary
CASH FLOW SUMMARY Working capital increased due to inventory Q3 2024 Q2 2024 Q/Q (in USD millions) build-up ahead of French operations idling in fourth quarter and reduction in accounts EBITDA $52.9 $67.0 payables Non-cash items & $(15.6) $(11.7) Other CAPEX decreased by $1 million to $21 million En
Slide 13: Net Cash and Debt Evolution
NET CASH AND DEBT EVOLUTION Adjusted Gross and Net Cash ($m) Adj. Gross Debt Net Cash $237 $239 • Net cash balance remained positive of $32 million, reduction from prior quarter • Cash balance of $121 million as of Sept 30, 2024 $89 $81 $79 $81 Continued with minimal leverage $64 $32 0.4x Q3-23 Q4-2
Slide 14: Q3 2024 Corporate Update
Q3 2024 Corporate Update NASDAQ: GSM
Slide 15: Key Takeaways
KEY TAKEAWAYS REITERATING ADJUSTED EBITDA GUIDANCE OF $150M TO $170M Strong third quarter performance • Improved manganese alloy and silicon metal pricing versus second quarter • Adjusted EBITDA grew 5% and margins expanded by 100bps over the prior quarter U.S. Commerce Department announced duties o
Slide 16: Q&A
Q&A NASDAQ: GSM
Slide 17: Appendix - Supplemental Information
Appendix ─ Supplemental Information NASDAQ: GSM
Slide 18: Quarterly Sales and Adjusted EBITDA
QUARTERLY SALES AND ADJUSTED EBITDA Quarterly Sales $ millions Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2023 Q3 2024 Silicon Metal 184 161 195 198 168 169 204 194 Silicon Alloys 127 137 133 115 107 113 105 102 Mn Alloys 97 62 78 59 60 66 98 90 Other Business 40 41 50 45 32 44 44 49 Total R
Slide 19: Investor Relations and Media Inquiries
Investor Relations Media Inquiries Alex Rotonen Cristina Feliu Roig Vice President, Investor Relations Vice President, Communications & Public Affairs investor.relations@ferroglobe.com NASDAQ: GSM corporate.comms@ferroglobe.com NASDAQ: GSM