Ferroglobe(US:GSM)2025-08-05 21:00Financial Performance - Ferroglobe reported Q2 2025 sales of $386.9 million, a 25.9% increase from Q1 2025 but a 14.2% decrease year-over-year[9]. - The net loss attributable to the parent improved to $(10.5) million in Q2 2025 from $(66.5) million in Q1 2025, reflecting an 84.3% improvement[16]. - Adjusted EBITDA for Q2 2025 was $21.6 million, a significant recovery from $(26.8) million in Q1 2025[17]. - The total loss for the period was $10.9 million, a significant improvement from a loss of $66.9 million in the previous quarter[31]. - For Q2 2025, the company reported a loss of $10,451,000 compared to a profit of $34,880,000 in Q2 2024, indicating a significant decline in profitability year-over-year[36]. - Adjusted EBITDA for Q2 2025 was $21,562,000, a recovery from a negative $26,803,000 in Q1 2025, but still lower than $83,542,000 in YTD 2024[36]. - The diluted loss per ordinary share for Q2 2025 was $(0.06), compared to a profit of $0.18 in Q2 2024[37]. Revenue and Sales - Silicon metal revenue increased by 24.4% to $130.1 million in Q2 2025, with shipments rising by 22.9%[11]. - Manganese-based alloys revenue surged 42.5% to $106.2 million in Q2 2025, driven by a 31.2% increase in shipments[13]. - The company's sales for the quarter reached $386.9 million, up from $307.2 million in the previous quarter, reflecting a significant increase in volume growth[31]. - Q2 2025 revenues increased by 26% to $386.9 million compared to Q1 2025, driven by a 25% increase in shipments[63]. Cash and Liquidity - Total cash as of June 30, 2025, was $135.5 million, up 4.6% from $129.6 million at the end of Q1 2025[18]. - Ferroglobe maintained a solid cash position of $135.5 million and ended the quarter in a net cash position for the sixth consecutive quarter[20]. - The ending balance of cash and cash equivalents as of June 30, 2025, was $135,350,000, a slight increase from $129,281,000 at the end of Q1 2025[35]. - The net cash provided by operating activities for the six months ended June 30, 2025, was $34,985,000, a decrease from $200,050,000 in the same period of 2024[35]. - The company experienced a net cash used in investing activities of $41,620,000 for the six months ended June 30, 2025, compared to $41,751,000 in the prior year[35]. - Free cash flow for Q2 2025 was neutral at $0.0 million, compared to $5.1 million in Q1 2025, despite challenging market conditions[73]. Debt and Equity - Adjusted gross debt rose to $125.2 million, a 13.5% increase from Q1 2025[18]. - Ferroglobe's equity increased to $812.6 million as of June 30, 2025, compared to $780.6 million as of March 31, 2025[33]. - The company reported finance costs of $9,525,000 for the six months ended June 30, 2025, down from $51,984,000 in the same period of 2024[35]. Shareholder Actions - Ferroglobe repurchased 600,434 shares during the second quarter[10]. - The company declared a dividend of $0.014 per share, payable on September 29, 2025[10]. - The next cash dividend of $0.014 per share is scheduled to be paid on September 29, 2025[21]. - The company paid dividends totaling $5,224,000 in the first half of 2025, slightly higher than $4,881,000 in the same period of 2024[35]. - The company repurchased 600,434 shares at an average price of $3.31 per share during the second quarter[21]. Market and Operational Outlook - The company withdrew guidance due to elevated macroeconomic uncertainty and limited visibility[10]. - Ferroglobe is focused on operational efficiency and working capital optimization as it moves into the second half of the year[20]. - U.S. trade policy and antidumping actions are expected to improve market dynamics, particularly for the U.S. market[77]. - Trade measures are benefiting the U.S. market, with expectations for EU markets to improve in 2026[55]. - The company was added to the Russell 2000 and 3000 indexes, enhancing its market visibility[43]. - Silicon metal shipments in Q2 2025 showed a significant increase, with a notable rise in contract volumes[49]. - Manganese-based alloys achieved the strongest volume quarter in three years, with expectations for solid volumes to continue[60].