Umicore posts record earnings in 2021

Belgium-based metals producer and recycler Umicore says it has posted all-time record revenue and earnings in 2021. Those results included record earnings in its recycling business unit, one of three operated by the company.

Umicore says its revenue for the full year grew by 22 percent to 4 billion euros ($4.5 billion) and adjusted earnings before interest and taxes (EBIT) increased 81 percent to 971 million euros ($1.1 billion).

“This outstanding achievement reflects a substantial outperformance of the automotive market and high operational efficiency in catalysis; a sharp demand recovery in key end markets and higher sales volumes of electric vehicle (EV) cathode materials in energy & surface technologies; [and] a robust operational performance and optimized input mix in recycling,” Umicore stated regarding its three major business units.

“The exceptional precious metal price environment provided an additional tailwind to this strong underlying growth and operational performance, contributing approximately 270 million euros ($307 million) to adjusted EBIT compared to 2020,” Umicore adds.

The company’s recycling business unit, centered on a refinery in Hoboken, Belgium, “posted record revenues and earnings, significantly above the previous record levels of 2020, driven by a robust operational performance in the various business units, a strong contribution from the trading activities and an exceptional precious metals price environment,” states Umicore.

The company says it expects a strong underlying performance again in 2022 in all its business groups, despite inflation, and provided “geopolitical developments, the pandemic or supply-chain constraints will not result in additional material disruptions to the economy or Umicore’s operations.”

“The recycling business group is expected to continue to benefit from a supportive supply mix as well as robust volumes in Precious Metals Refining,” states Umicore. “Current precious metal prices are situated well below the peak levels of 2021. However, assuming current precious metal prices were to prevail throughout the year, it is expected that the business group will deliver another strong performance in 2022, albeit not at the record level achieved in 2021."