Financial Performance - In Q4 2024, GrafTech achieved a 13% year-over-year increase in sales volume to 27.2 thousand MT, despite a 2% decrease in net sales to 134millioncomparedtoQ42023[5][9].−Thecompanyreportedanetlossof49 million, or 0.19pershare,forQ42024,animprovementfromanetlossof217 million, or 0.85pershare,inQ42023[10][12].−AdjustedEBITDAforQ42024wasnegative7 million, an improvement from negative 22millioninQ42023,reflectinga25134.2 million, a decrease of 2.1% from 137.1millioninQ42023[47].−GrosslossforQ42024was(10.4) million compared to a gross loss of (19.7)millioninQ42023[47].−OperatinglossfortheyearendedDecember31,2024,was(75.2) million, significantly improved from (214.4)millionin2023[47].−NetlossforQ42024was(49.5) million, a reduction from (217.4)millioninQ42023[47].−BasiclosspershareforQ42024was(0.19), compared to (0.85)inQ42023[47].−CashflowfromoperatingactivitiesforQ42024was(26.4) million, down from 9.3millioninQ42023[50].−AdjustednetlossforQ42024was(33.1) million, compared to (68.6)millioninQ42023[51].−FreecashflowforQ42024was(39.209) million, down from 19.682millioninQ32024and3.539 million in Q4 2023[54]. - Adjusted EBITDA for Q4 2024 was (6.859)million,animprovementfrom(21.572) million in Q4 2023[53]. Liquidity and Capital Structure - GrafTech ended 2024 with total liquidity of 464million,consistingofcashandcashequivalentsof256 million and availability under credit facilities[5][17]. - As of December 31, 2024, gross debt is reported at 1.1billion,withnetdebtcalculatedat844 million after accounting for cash and cash equivalents of 256million[8].−Thecompanyreportedcashandcashequivalentsof256.2 million as of December 31, 2024, an increase from 176.9millionin2023[45].−Thetotalstockholders′equityshiftedfromapositive78.2 million in 2023 to a negative 78.9millionin2024,indicatingadeteriorationinequityposition[45].−Long−termdebtincreasedfrom925.5 million in 2023 to 1.09billionin2024,indicatingasignificantriseinfinancialleverage[45].−Theaccumulateddeficitgrewfrom662.4 million in 2023 to 793.5millionin2024,highlightingongoingfinancialchallenges[45].SalesandPricingStrategy−Theweighted−averagerealizedpricefornon−LTAvolumeinQ42024wasapproximately3,900 per MT, a decrease of about 19% compared to Q4 2023[15]. - For 2025, GrafTech anticipates a low double-digit percentage increase in sales volume year-over-year, with over 60% of anticipated sales volume already committed[19]. - The company plans to increase prices by 15% on uncommitted volume for 2025 to address the unsustainably low pricing environment[20]. - GrafTech expects a mid-single digit percentage decline in cash cost of goods sold per MT for 2025 compared to 2024, supported by ongoing cost structure improvements[21]. Capital Expenditures and Investments - Full year 2025 capital expenditures are anticipated to be approximately 40million,withafavorablenetimpactfromworkingcapitalexpected[22].−CapitalexpendituresfortheyearendedDecember31,2024,totaled(34.3) million, compared to (54.0)millionin2023[50].−CapitalexpendituresinQ42024totaled(12.792) million, compared to (4.027)millioninQ32024and(5.753) million in Q4 2023[54]. Market Outlook and Industry Trends - Long-term demand growth for graphite electrodes is anticipated due to the steel industry's decarbonization efforts and increased utilization of electric arc furnaces[23]. - The company faces various risks, including dependence on the global steel industry and potential disruptions in supply chains, which could materially affect financial results[31][32]. Non-GAAP Measures and Adjustments - Adjusted EBITDA is used as a primary metric for evaluating operational performance, although it does not account for working capital changes or capital expenditures[36][38]. - Total non-GAAP adjustments pre-tax for Q4 2024 amounted to $20.5 million, reflecting various expenses including stock-based compensation and goodwill impairment[51].
GrafTech International(EAF)2025-02-07 11:45