Alba reports $65.3m profit for Q2; alumina prices hit gains

06/08/2025 07:01 AST

Aluminium Bahrain (Alba), the world's largest aluminium smelter on one site, has reported a profit of BD24.6 million ($65.3 million) for the second quarter of 2025, down 64% year-on-Year (YoY), versus a profit of BD68.5 million ($182.2 million) for the same period in 2024.

The company reported Basic and Diluted Earnings per share of fils 17 for Q2 2025 versus fils 48 in Q2 2024. The Total Comprehensive Income for Q2 2025 stood at BD21.9 million ($58.1 million) versus BD66.7 million for the second quarter of 2024 of - down by 67% YoY.

Gross profit for Q2 2025 was BD47 million ($125.1 million) versus BD102 million (US$271.2 million) for the same period in 2024 - down by 54% YoY. As for Revenue from contracts with customers in Q2 2025, Alba generated BD434 million ($1,154.4 million) versus BD407 million ($1,082.3 million) in Q2 2024 - up by 7% YoY.

For the First Half of 2025, Alba has reported a profit of BD42.7 million ($113.5 million), down by 54% YoY versus a profit of BD93 million ($247.3 million) for the same period in 2024. The company reported Basic and Diluted Earnings per share of fils 30 for H1 2025 versus fils 66 for the same period in 2024.

Alba's Total Comprehensive Income for H1 2025 was BD38.7 million ($102.8 million), down by 59% YoY, compared to BD94.4 million ($251 million) in H1 2024. Gross Profit for the First Half of 2025 was BD97.8 million (US$260.2 million) versus BD159.2 million (US$423.5 million) in H1 2024 - down by 39% YoY. Alba generated in H1 2025 Revenue from contracts with customers of BD843 million (US$2,242 million) versus BD741.5 million (US$1,972.1 million) in H1 2024 - up by 14% YoY.

Total Equity as of 30 June 2025 stood at BD1,924.4 million ($5,118.2 million), up by 0.03%, versus BD1,923.9 million ($5,116.9 million) as of 31 December 2024. Alba's Total Assets as of 30 June 2025 were BD2,657.9 million ($7,069 million) versus BD2,673.4 million (US$7,110 million) as of 31 December 2024 - down by 0.6%.

The Board of Directors of Alba resolved during the board e-meeting on August 5, to recommend the distribution of cash interim dividend of 10.55% of the share nominal value, equivalent to fils 10.55 per share amounting to BD14,932,765 ($40 million).

LME price averaged $2,447/t in Q2 2025 (-3% YoY). Prices initially dipped in April following the announcement of reciprocal tariffs but regained momentum throughout the quarter. Despite this recovery, prices remain relatively low, reflecting ongoing market volatility., Alba said.

Despite market challenges, sales volume topped a healthy 411,007 MT, up by 3.4% YoY. Net finished production remained flat at 402,912 MT. Value Added Sales (VAP) averaged 76% of total shipments, marking an increase of 9% YoY

Strategic Initiatives
* Alba Achieved savings for the e-Al Hassalah at $59.4 million against 2025 target of $60 million.
* Expanded EternAlTM Low-Carbon Product Line with launch of 'EternAl-AC', a new product series incorporating verified in House Carbon Offsets, as well as added EternAl-20 and EternAl-50 to its low-carbon aluminium portfolio.
* 1st Middle East smelter to adopt AI-Powered Seeq platform.
* Successfully migrated to RISE with SAP Private Edition.

Chairman of Alba's Board of Directors, Khalid Al Rumaihi stated: "Amidst global market headwinds, Alba stands resilient and focused. While our profitability has been tempered by external pressures, the continued growth in revenue and the remarkable rise in Value Added Sales to 76% reflect the strength of our vision and the agility of our operations.

"The profitability gap compared to Q2 2024 is largely attributed to higher landed alumina prices in this period; without that distortion, our performance would've exceeded last year's."

Alba's Chief Executive Officer, Ali Al Baqali, added: "Behind every number is the unwavering dedication of our people. In the face of market challenges, Alba has delivered good results driven by a culture that puts safety first and empowers excellence. Achieving 38 million safe working hours without LTI is a testament to this commitment. We are proud of our workforce and confident in our ability to navigate the road ahead, together and safely."

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