Sapa delivers record results in first quarter
Sapa delivered its strongest first quarter since the company was established in 2013. The demand for lighter cars in both North America and Europe, resulting in aluminium substitution in the automotive industry, is contributing positively.
Underlying EBIT improved by 46 percent compared to the same quarter of last year, to NOK 571 million. Performance improved across all business areas, mainly due to the effects of improvement programs, an increased share of higher margin business, positive currency effects from the weakening Norwegian krone against the US dollar and Euro, and seasonally stronger demand.
Total revenue for Q1 was NOK 13,905 million.
North America still driving growth
As a result of increased building and construction activity and strong demand from the automotive industry, demand increased by 3 percent in North America compared with the same quarter last year. Demand also grew marginally in Europe. A more healthy building and construction market contributed to this development.
Demand for extruded aluminium products is expected to seasonally improve going into the second quarter of 2016, also compared to the second quarter of 2015. In both North America and Europe, aluminium substitution in the automotive industry is contributing positively.