Norsk Hydro Asa · OSL:NHY
Norsk Hydro Asa — Q4 2004 Earnings Presentation
73 slides from Norsk Hydro Asa's earnings presentation, February 2005
Slide 1: Preliminary results 2004
HYDRO Preliminary results 2004
Slide 2: Highlights 2004
Norsk Hydro ASA – Preliminary results 2004 Highlights 2004 z Hydro reshaped z Strong operational performance z Improved macro environment z Solid financials 52230_E 02 2005 2 Hydro Media
Slide 3: Positive safety development
Norsk Hydro ASA – Preliminary results 2004 Positive safety development 25 20 15 10 5 0 1997 1998 1999 2000 2001 2002 2003 2004 Lost time injuries Restricted work cases Medical treatment cases Reported injuries per million hours, Hydro employees 52230_E 02 2005 3 Hydro Media
Slide 4: Strong commodity prices – weak dollar
Norsk Hydro ASA – Preliminary results 2004 Strong commodity prices – weak dollar Aluminium price Oil price USD/tonne USD/bbl NOK indexed USD 2000 45 NOK indexed USD 40 1800 35 1600 30 25 1400 20 1200 15 1000 10 1999 2000 2001 2002 2003 2004 2005 1999 2000 2001 2002 2003 2004 2005 52230_E 02 2005 4 H
Slide 5: Income from continuing operations
Norsk Hydro ASA – Preliminary results 2004 Income from continuing operations* By quarter NOK million Gains from divestments 3 638 3 100 3 135 2 991 2 480 2 342 2 224 2 005 1 851 1 809 1 417 241 2002 2003 2004 Accumulated 7 100 8 656 11 477 * Including the effect of change in accounting principles fo
Slide 6: Consolidated income statements
Norsk Hydro ASA – Preliminary results 2004 Consolidated income statements 4th quarter 4th quarter NOK million 2004 2003 Operating revenues 39 049 34 205 Operating income 6 234 6 366 Equity in net income of non-consolidated investees 89 133 Financial income (expense), net 900 358 Other income, net 59
Slide 7: Earnings per share
Norsk Hydro ASA – Preliminary results 2004 Earnings per share NOK 14.4 Gains from divestments 12 12.3 11.6 9.8 9.1 8.7 7.8 7 6.1 5.5 0.9 2002 2003 2004 Accumulated 27.5 32.5 45.1 Earnings per share from continuing operations, before effect of change in accounting principles 52230_E 02 2005 7 Hydro M
Slide 8: Record high cash earnings
Norsk Hydro ASA – Preliminary results 2004 Record high cash earnings Adjusted EBITDA NOK million 13 546 13 211 12 266 12 094 11 045 9 820 9 935 9 451 7 955 8 197 7 199 6 775 2002 2003 2004 Accumulated 31 749 38 628 51 117 52230_E 02 2005 8 Hydro Media
Slide 9: Operating income
Norsk Hydro ASA – Preliminary results 2004 Operating income Individual operating segment NOK million 4th quarter 4th quarter 2004 2003 Exploration and Production 7 116 5 332 Energy and Oil Marketing 1 072 667 Eliminations 433 (5) Oil & Energy 8 621 5 994 Metals *(2 017) 608 Rolled Products 33 61 Ext
Slide 10: Return on capital significantly improved
Norsk Hydro ASA – Preliminary results 2004 Return on capital significantly improved RoaCE, percent 13.0 8.4 7.2 2002 2003 2004 RoaCE: Earnings after tax excluding financial items, divided by average capital employed 52230_E 02 2005 10 Hydro Media
Slide 11: RoaCE by business area
Norsk Hydro ASA – Preliminary results 2004 RoaCE by business area Oil & Energy Aluminium 23.4% Adjustment for write-down of German plants Actual 16.2% 11.6% 7.0 % 4.7 % 2.7 % 3.5 % 2002 2003 2004 2002 2003 2004 52230_E 02 2005 11 Hydro Media
Slide 12: Normalized RoaCE
Norsk Hydro ASA – Preliminary results 2004 Normalized RoaCE Percent z Assumptions: - Oil price $25/bbl - Aluminium price $1500/tonne 7.9 - NOK/USD 7 6.6 - EUR/NOK 8 6.2 z Volumes and margins are not normalized z Restructuring charges and gain/loss on divestments are eliminated from normalized figure
Slide 13: Capital and exploration expenditure
Norsk Hydro ASA – Preliminary results 2004 Capital and exploration expenditure NOK billion Oil & Energy Exploration Aluminium Other 24 NOK 20-25 bn z 2004 investments as planned 20 19.5 z 2005 increase due to higher activity level - Projects on track - Robust against cost inflation 2004 plan 2004 20
Slide 14: Debt/equity ratio
Norsk Hydro ASA – Preliminary results 2004 Debt/equity ratio 0.60 0.38 0.34 0.11 2001 2002 2003 2004 Interest-bearing debt + net pension liability (tax adjusted) + operating lease commitments (discounted) – cash and cash equivalents – other liquid assets divided by shareholders’ equity + minority in
Slide 15: Proposed dividend NOK per share
Norsk Hydro ASA – Preliminary results 2004 Proposed dividend NOK 20 per share 20 10.5 11.0 9.5 10.0 7.5 8.0 1998 1999 2000 2001 2002 2003 2004 proposal 52230_E 02 2005 15 Hydro Media
Slide 16: Total Shareholder Return
Norsk Hydro ASA – Preliminary results 2004 Total Shareholder Return 2004 2000-2004 Hydro 46 % Hydro 139 % Statoil 44 % Total 100 % BG 34 % BG 70 % ExxonMobil 28 % ChevronTexaco 44 % ChevronTexaco 26 % ExxonMobil 43 % Total 26 % Alcan 30 % BP 24 % Shell 23 % Shell 20 % RoyalDutch 14 % BP 15 % Alcan 6
Slide 17: Oil & Energy – highlights
Norsk Hydro ASA – Preliminary results 2004 Oil & Energy – highlights z 2004 production target achieved z High oil & gas prices z Ormen Lange on track z Operatorship in Gulf of Mexico z Q4 exploration – 4 wells completed, all discoveries 52230_E 02 2005 17 Hydro Media
Slide 18: Oil & Energy – operating income
Norsk Hydro ASA – Preliminary results 2004 Oil & Energy – operating income NOK million Exploration and Production Energy and Oil Marketing Eliminations 8 621 7 818 7 521 7 184 6 175 5 994 5 820 5 551 5 384 5 322 4 622 3 707 3 686 3 652 3 184 3 170 2001 2002 2003 2004 Accumulated 19 177 15 947 21 143
Slide 19: Petroleum production per quarter
Norsk Hydro ASA – Preliminary results 2004 Petroleum production per quarter 1 000 boe/day 615 596 591 569 Oil Gas 540 552 173 514 482 484 489 166 176 452 147 451 448 143 156 427 419 123 104 112 116 385 88 430 442 93 115 110 422 415 91 397 396 391 74 378 364 372 373 334 328 336 338 311 2001 2002 2003
Slide 20: Production costs per barrel
Norsk Hydro ASA – Preliminary results 2004 Production costs per barrel NOK/boe 25.3 25.6 24.1 24.1 24.0 22.9 23.2 22.9 23.9 22.3 21.1 21.0 20.1 19.8 17.4 17.1 2001 2002 2003 2004 Accumulated 24.1 22.6 20.7 20.7 52230_E 02 2005 20 Hydro Media
Slide 21: Proved reserves
Norsk Hydro ASA – Preliminary results 2004 Proved reserves million boe Reserves 31.12.2003 2 288 Reserve revisions 39 New reserves 23 Sales, purchase and swaps (65) Production 2004 (209) Reserves 31.12.2004 2 076 SEC definition 52230_E 02 2005 21 Hydro Media
Slide 22: Oil & Energy – prospects
Norsk Hydro ASA – Preliminary results 2004 Oil & Energy – prospects z High oil prices expected in 2005 - Continued demand growth - Limited global spare capacity - Volatile gas markets z 2005 production target 575 000 boe/day z Increased exploration activity 52230_E 02 2005 22 Hydro Media
Slide 23: Aluminium – highlights
Norsk Hydro ASA – Preliminary results 2004 Aluminium – highlights z Improved metal markets z Mixed development in downstream sectors z Planning new world-class plant in Qatar z Aluimprover on track – cost estimate reduced z Write-down of German metal plants 52230_E 02 2005 23 Hydro Media
Slide 24: Aluminium – additional comments
Norsk Hydro ASA – Preliminary results 2004 Aluminium – additional comments z Metals - Record output, Sunndal at full capacity - Realized NOK prices up 6% vs Q4 2003, down 5% vs Q3 2004 - Demanning costs NOK 500 million charged in Q4 z Rolled Products - Shipments increased - Increased sales of high m
Slide 25: Aluminium – operating income
Norsk Hydro ASA – Preliminary results 2004 Aluminium – operating income NOK million Metals Rolled Products Extrusion and Automotive Other and eliminations 1629 1269 858 833 711 709 653 564 530 495 412 230 345 (146) (997) (1951) 2001 2002 2003 2004 Accumulated 185 1 698 2 456 1 805 52230_E 02 2005 25
Slide 26: Aluminium – prospects
Norsk Hydro ASA – Preliminary results 2004 Aluminium – prospects z Good aluminium market expected z Aluimprover to be completed z Margin pressure for Rolled Products – shifting product mix into higher margin products z Market growth expected for extrusions, but slower than 2004 z Continued initiativ
Slide 27: Hydro – priorities
Norsk Hydro ASA – Preliminary results 2004 Hydro – priorities z Continue improving operational performance z Strengthen competitive position z Deliver first class projects z Ensure profitable growth 52230_E 02 2005 27 Hydro Media
Slide 28: Additional information
Additional information
Slide 29: Adjusted income fourth quarter 2004
Norsk Hydro ASA – Preliminary results 2004 Adjusted income fourth quarter 2004 NOK million 4th quarter Adjustments Adjusted 2004 income Exploration and Production 7 116 (100) 7 016 Energy and Oil Marketing 1 072 18 1 090 Eliminations 433 (444) (11) Oil & Energy 8 621 (526) 8 095 Metals (2 017) 2 542
Slide 30: Infrequent and other special items impacting income statement fourth quarter 2004
Norsk Hydro ASA – Preliminary results 2004 Infrequent and other special items impacting income statement fourth quarter 2004 NOK million Gain sale Snøhvit Exploration and Production (100) Inventory gains Energy and Oil Marketing 18 Eliminations of unrealized gain on internal gas contract Oil & Energ
Slide 31: Adjusted income fourth quarter 2003
Norsk Hydro ASA – Preliminary results 2004 Adjusted income fourth quarter 2003 NOK million 4th quarter Adjustments Adjusted 2003 income Exploration and Production 5 332 - 5 332 Energy and Oil Marketing 667 - 667 Eliminations (5) - (5) Oil & Energy 5 994 - 5 994 Metals 608 - 608 Rolled Products 61 -
Slide 32: Infrequent and other special items impacting income statement fourth quarter 2003
Norsk Hydro ASA – Preliminary results 2004 Infrequent and other special items impacting income statement fourth quarter 2003 Item NOK million Reversal of claims accrual (77) Other infrequent items, net 46 Aluminium Inventory gain (Rolled products) (37) Unrealized losses on LME contracts 56 Provision
Slide 33: Adjusted income 2004
Norsk Hydro ASA – Preliminary results 2004 Adjusted income 2004 NOK million 2004 Adjustments Adjusted income Exploration and Production 28 363 (385) 27 978 Energy and Oil Marketing 2 650 (59) 2 591 Eliminations 131 (144) (13) Oil & Energy 31 144 (588) 30 556 Metals 830 2 561 3 391 Rolled Products 62
Slide 34: Infrequent and other special items impacting income statement 2004
Norsk Hydro ASA – Preliminary results 2004 Infrequent and other special items impacting income statement 2004 NOK million Gain on asset sales (Gjøa, Snøhvit) Exploration and Production (385) Inventory gains Energy and Oil Marketing (59) Eliminations of unrealized gain on internal gas contract Oil &
Slide 35: Consolidated income statements
Norsk Hydro ASA – Preliminary results 2004 Consolidated income statements NOK million 2004 2003 Operating revenues 155 425 133 761 Operating income 31 847 21 625 Equity in net income of non-consolidated investees 628 620 Financial income (expense), net 136 154 Other income, net 169 (1 253) Income fr
Slide 36: Adjusted EBITDA
Norsk Hydro ASA – Preliminary results 2004 Adjusted EBITDA Individual operating segment NOK million 4th quarter 2004 4th quarter 2003 Exploration and Production 9 825 7 812 Energy and Oil Marketing 1 325 1 331 Eliminations 433 (4) Oil & Energy 11 583 9 139 Metals 847 1 136 Rolled Products 217 268 Ex
Slide 37: Depreciation, depletion and amortization
Norsk Hydro ASA – Preliminary results 2004 Depreciation, depletion and amortization Individual operating segment NOK million 2004 2003 Exploration and Production 9 751 9 052 Energy and Oil Marketing 640 591 Oil & Energy 10 391 9 643 Metals 3 852 1 517 Rolled Products 687 650 Extrusion and Automotive
Slide 38: Operating income
Norsk Hydro ASA – Preliminary results 2004 Operating income Individual operating segment NOK million 2004 2003 Exploration and Production 28 363 18 500 Energy and Oil Marketing 2 650 2 668 Eliminations 131 (25) Oil & Energy 31 144 21 143 Metals 830 2 293 Rolled Products 626 132 Extrusion and Automot
Slide 39: Net financial income (expense)
Norsk Hydro ASA – Preliminary results 2004 Net financial income (expense) NOK million 2004 2003 Interest income 973 1 005 Dividends and net gain (loss) on securities 190 285 Interest income and other financial income 1 163 1 290 Interest expense (2 077) (2 782) Capitalized interest 664 715 Net forei
Slide 40: Equity in net income of non-consolidated investees
Norsk Hydro ASA – Preliminary results 2004 Equity in net income of non-consolidated investees Individual operating segment NOK million 2004 2003 Exploration and Production 4 29 Energy and Oil Marketing 73 81 Eliminations (2) (3) Oil & Energy 75 107 Metals 281 379 Rolled Products (13) (14) Extrusion
Slide 41: Variance analysis Hydro group
Norsk Hydro ASA – Preliminary results 2004 Variance analysis Hydro group NOK million Year to year 4th quarter 2004 51 117 13 211 2003 38 628 11 045 Variance adjusted EBITDA 12 489 2 166 - Prices and currency, Exploration and Production (E&P) 8 205 2 745 - Margin incl. currency effects ¹) 1 085 395 -
Slide 42: Investments
Norsk Hydro ASA – Preliminary results 2004 Investments Individual operating segment NOK million 4th quarter 2004 4th quarter 2003 Exploration and Production 4 022 2 237 Energy and Oil Marketing 464 254 Oil & Energy 4 486 2 491 Metals 606 1 049 Rolled Products 307 263 Extrusion and Automotive 583 623
Slide 43: Investments
Norsk Hydro ASA – Preliminary results 2004 Investments 1) Individual operating segment NOK million 2004 2003 2) Exploration and Production 10 607 10 270 Energy and Oil Marketing 1 460 989 Oil & Energy 12 067 11 259 Metals 3) 4 199 3 572 Rolled Products 553 466 Extrusion and Automotive 1 442 1 543 Al
Slide 44: Consolidated balance sheet
Norsk Hydro ASA – Preliminary results 2004 Consolidated balance sheet NOK million 31.12.2004 31.12.2003 Cash and cash equivalents 14 366 14 873 Other liquid assets 10 970 1 553 Receivables and other current assets 32 219 33 444 Inventories 12 851 12 024 Current assets discontinued operations - 13 78
Slide 45: Statement of cash flow
Norsk Hydro ASA – Preliminary results 2004 Statement of cash flow NOK million 2004 2003 Operating activities: Net income 12 560 10 968 Depreciation, depletion and amortization 16 898 13 947 Other adjustments (1 734) (2 142) Net cash provided by operating activities 27 724 22 773 Investing activities
Slide 46: Operating income – Adjusted EBIT – Adjusted EBITDA
Norsk Hydro ASA – Preliminary results 2004 Operating income – Adjusted EBIT – Adjusted EBITDA Fourth quarter 2004 Depr. Operating Non-cons Interest Selected Other Adj. Adj. NOK million income investees income fin. items income EBIT and EBITDA amort. Exploration and Production 7 116 2 5 1 - 7 124 2 7
Slide 47: Pensions
Norsk Hydro ASA – Preliminary results 2004 Pensions NOK million 2004 2003 2002 Total Pension Obligations (25 399) (23 456) (19 422) Pension Plan Assets 16 504 14 669 12 116 Funded status of the plans (8 895) (8 787) (7 306) Net accrued pension recognized on balance sheet (1 371) (852) (265) Unrecogn
Slide 48: Financial solidity – calculation
Norsk Hydro ASA – Preliminary results 2004 Financial solidity – calculation 31 31 31 31 31 31 Amounts in NOK million December December December December December December 1999 2000 2001 2002 2003 2004 [A] Cash and cash equivalents 7 435 21 766 27 148 5 965 15 249 14 366 [B] Other liquid assets 2 535
Slide 49: Net income
Norsk Hydro ASA – Preliminary results 2004 Net income* By quarter NOK million 4 218 3 765 3 638 3 235 3 280 2 840 2 482 2 480 2 324 2 397 2 224 2 180 2 132 1 333 1 144 513 2001 2002 2003* 2004 Accumulated 7 892 8 765 10 968 12 560 * Including the effect of change in accounting principles for 1st qua
Slide 50: Normalized RoaCE
Norsk Hydro ASA – Preliminary results 2004 Normalized RoaCE By business area Oil & Energy Aluminium 13.0% Adjustment for write-down of German plants Normalized 11.4% 9.2% 5.0 % 4.1 % 2.9 % 1.5 % 2002 2003 2004 2002 2003 2004 52230_E 02 2005 50 Hydro Media
Slide 51: Oil & Energy
Norsk Hydro ASA – Preliminary results 2004 Oil & Energy Adjusted EBITDA Eliminations Energy and Oil Marketing Exploration and Production 11 583 NOK million 10 503 9 928 9 764 9 139 8 668 7 894 7 887 7 745 7 425 6 757 6 155 6 274 5 847 5 528 5 451 2001 2002 2003 2004 Accumulated 27 604 25 340 31 826
Slide 52: Variance analysis Oil & Energy
Norsk Hydro ASA – Preliminary results 2004 Variance analysis Oil & Energy NOK million Year to year 4th quarter 2004 41 778 11 583 2003 31 826 9 139 Variance adjusted EBITDA 9 952 2 444 - Prices and currency - Oil 8 900 2 980 - Gas 700 385 - Currency (1 395) __ (620) __ 8 205 2 745 - Margin (15) 750
Slide 53: Variance analysis Exploration and Production
Norsk Hydro ASA – Preliminary results 2004 Variance analysis Exploration and Production NOK million Year to year 4th quarter 2004 38 168 9 825 2003 27 624 7 812 Variance adjusted EBITDA 10 544 2 013 Prices and currency - Oil 8 900 2 980 - Gas 700 385 - Currency (1 395) _ (620) _ 8 205 2 745 - Volume
Slide 54: Variance analysis Energy and Oil Marketing
Norsk Hydro ASA – Preliminary results 2004 Variance analysis Energy and Oil Marketing NOK million Year to year 4th quarter 2004 3 478 1 325 2003 4 226 1 331 Variance adjusted EBITDA (748) (6) - Margin (170) 315 - Volume 365 145 - Fixed costs 25 25 - Depreciation (50) (30) - New/disposed business (20
Slide 55: Production per field
Norsk Hydro ASA – Preliminary results 2004 Production per field Boe/day (oil including NGL Hydro share Hydro Q4 2003 Q4 2004 and percent production condensate Grane 56 000 156 000 38 59 308 Oseberg 185 000 171 000 34 58 003 Snorre 254 000 182 000 17.65 32 053 Ekofisk 362 000 384 000 6.65 25 535 Oseb
Slide 56: Operating costs per barrel
Norsk Hydro ASA – Preliminary results 2004 Operating costs per barrel NOK/boe 99.7 100 90.1 83.8 82.1 80 60 40 20 0 2001 2002 2003 2004 Exploration 9.1 20.3 8.1 6.0 Net transportation * 8.5 9.0 6.8 8.3 Other cost/income 2.0 1.4 1.8 0.7 Deprec. and aband. 46.4 46.4 46.4 46.4 Production cost 24.1 22.6
Slide 57: Exploration activity and costs
Norsk Hydro ASA – Preliminary results 2004 Exploration activity and costs NOK million 1 500 1 200 900 Expensed 600 share 300 0 - 300 2001 2002 2003 2004 Capitalized share Activity Expensed old wells Cost reduction repayment Angola 52230_E 02 2005 57 Hydro Media
Slide 58: New fields on stream 2004 – 2007
Norsk Hydro ASA – Preliminary results 2004 New fields on stream 2004 – 2007 Hydro share boe/day Dalia 22 000 International Kharyaga 10 000 Murzuq 5 000 (A+D fields) Rosa 13 000 Ormen Lange 70 000 Oseberg 14 000 NCS operator Vestflanken Oseberg South J 7 000 Njord gas phase 7 500 Oseberg East Drillin
Slide 59: Price development – crude oil
Norsk Hydro ASA – Preliminary results 2004 Price development – crude oil Average Brent blend dated per quarter USD/bbl NOK/bbl 50 300 45 USD/bbl NOK/bbl 270 40 240 35 210 30 180 25 150 20 120 15 90 10 60 5 30 0 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 4th quarter 2004: NOK 265 / USD 44 pe
Slide 60: UK gas prices – NBP forward curves
Norsk Hydro ASA – Preliminary results 2004 UK gas prices – NBP forward curves pence/th 31.12.2003 30.09.2004 31.12.2004 65 55 45 35 25 15 2004 2005 2006 2007 2008 2009 52230_E 02 2005 60 Hydro Media
Slide 61: Nordic power market – forward curves
Norsk Hydro ASA – Preliminary results 2004 Nordic power market – forward curves NOK/MWh End of Q2 2004 End of Q3 2004 End of Q4 2004 350 300 250 200 150 2005 2006 2007 2008 52230_E 02 2005 61 Hydro Media
Slide 62: Aluminium
Norsk Hydro ASA – Preliminary results 2004 Aluminium Adjusted EBITDA 2 708 NOK million Other and Eliminations 2 335 2 096 Extrusion and Automotive Rolled Products 1 809 1 430 Metals 1 572 1 619 1 498 1 517 1 292 1 316 889 899 827 526 - 302 2001 2002 2003 2004 Accumulated 2 543 4 334 6 498 8 656 5223
Slide 63: Aluminium price development 2004
Norsk Hydro ASA – Preliminary results 2004 Aluminium price development 2004 3 months LME price 2 000 1 900 1 800 1 700 Steep increase in LME at end of both quarters 1 600 Realized losses on LME Reduced customer pricing contracts in a period of due to price increase declining prices 1 500 Jan-04 Apr-
Slide 64: Variance analysis Aluminium
Norsk Hydro ASA – Preliminary results 2004 Variance analysis Aluminium NOK million Year to year 4th quarter 2004 8 656 1 517 2003 6 498 1 809 Variance adjusted EBITDA 2 158 (292) - Margin 980 (100) - Volume 2 295 485 - Fixed costs (835) (290) - Depreciation (325) (45) - Infrequent items (2 650) (2 6
Slide 65: Variance analysis Metals
Norsk Hydro ASA – Preliminary results 2004 Variance analysis Metals NOK million Year to year 4th quarter 2004 5 396 847 2003 4 298 1 136 Variance adjusted EBITDA 1 098 (289) - Margin 635 55 - Volume 1 035 230 - Fixed costs (260) (130) - Depreciation (110) - - Infrequent items (2 580) (2 540) - Tradi
Slide 66: Variance analysis Rolled Products
Norsk Hydro ASA – Preliminary results 2004 Variance analysis Rolled Products NOK million Year to date 4th quarter 2004 1 361 217 2003 835 268 Variance adjusted EBITDA 526 (51) - Margin 285 (80) - Volume 255 110 - Fixed costs (25) (105) - Depreciation (40) 25 - Infrequent items 50 30 - New/disposed b
Slide 67: Variance analysis Extrusion and Automotive
Norsk Hydro ASA – Preliminary results 2004 Variance analysis Extrusion and Automotive NOK million Year to year 4th quarter 2004 1 827 364 2003 1 432 426 Variance adjusted EBITDA 395 (62) - Margin 150 (35) - Volume 1 005 145 - Fixed costs (550) (55) - Depreciation (175) (70) - Infrequent items (120)
Slide 68: Aluminium – operational data
Norsk Hydro ASA – Preliminary results 2004 Aluminium – operational data Q4 Q3 Q2 Q1 Q4 Q3 Volumes and prices 2004 2004 2004 2004 2003 2003 Primary production (1 000 tonnes) * 446 441 418 415 388 381 Total metal products sales excluding trading 639 648 676 688 483 506 (1 000 tonnes) LME realized (USD
Slide 69: Inventories – primary aluminium
Norsk Hydro ASA – Preliminary results 2004 Inventories – primary aluminium 1 000 tonnes IAI (Producers' inventories) LME (London Metal Exchange) 5 000 4 000 3 000 2 000 1 000 0 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 Sources: IAI and LME. 52230_E 02 2005 69 Hydro Media
Slide 70: Aluminium price
Norsk Hydro ASA – Preliminary results 2004 Aluminium price 3 months LME price, average per quarter USD/tonne 2 000 1 800 1 600 1 400 1 200 1 000 91 92 93 94 95 96 97 98 99 00 01 02 03 04 52230_E 02 2005 70 Hydro Media
Slide 71: Variance analysis Polymers
Norsk Hydro ASA – Preliminary results 2004 Variance analysis Polymers NOK million Year to year 4th quarter 2004 774 232 2003 401 148 Variance adjusted EBITDA 373 84 - Margin 300 85 - Volume 55 (5) - Fixed costs (115) (45) - Depreciation (5) - - Other 25 10 Variance operating income 262 45 - Non-cons
Slide 72: Forward-looking statements/ use of non-GAAP financial measures
Norsk Hydro ASA – Preliminary results 2004 Forward-looking statements/ use of non-GAAP financial measures In order to utilize the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995, Hydro is providing the following cautionary statement: This presentation c
Slide 73: Norsk Hydro ASA – Preliminary results 2004
Norsk Hydro ASA – Preliminary results 2004 52230_E 02 2005 73 Hydro Media