Norsk Hydro: Integrated Annual Report 2025: Increasing resilience to reach 2030 ambitions

Core Insights - Hydro's geographic diversification and integrated value chain enhance its resilience amid geopolitical instability in 2025 [1] - The company aims to achieve its strategic goals for 2030 by increasing agility and accelerating growth [1] Financial Performance - Adjusted EBITDA for 2025 was NOK 28.9 billion, an increase from NOK 26.3 billion in 2024 [2] - Adjusted Return on Capital Employed (RoaCE) was 10.2 percent, slightly above the target of 10 percent [2] - Hydro has distributed NOK 37.6 billion to shareholders since 2021, with a proposed payout of NOK 5.9 billion for 2025, representing 60 percent of adjusted net income [4] Strategic Initiatives - In 2025, Hydro implemented capital discipline measures, including workforce reduction and restructuring in Hydro Extrusions [3] - An improvement program initiated in late 2024 resulted in NOK 1.4 billion in improvements, and capital expenditure guidance was reduced [3] - Hydro signed multiple long-term power contracts to secure energy for future demand, supporting its ambition for green aluminium powered by renewable energy [5] Market Positioning - Hydro's low-carbon aluminium is positioned as a critical material in the green transition, valued in a challenging geopolitical landscape [1][6] - The company is focused on decarbonization and technology roadmaps to reduce emissions across its value chain [5]