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Norway's Elkem Q3 EBITDA falls 14%, misses analyst estimates

By Reuters News


Overview

  • Norway silicon materials producer's Q3 EBITDA fell 14% yr/yr, missing analyst expectations

  • Q3 operating income declined 2% yr/yr

  • Foundry Alloys and Carbon divisions delivered robust results; Silicon division impacted by weak prices


Outlook

  • Company expects stable fourth-quarter results, with silicon prices rising in Q4

  • Elkem Foundry Alloys anticipates stable results, with seasonally lower sales in late 2026

  • Elkem Carbon expects modest improvement in Q4


Result Drivers

  • DIVISION PERFORMANCE - Foundry Alloys and Carbon divisions delivered robust results due to strong market positions, while Silicon division was impacted by weak sales prices

  • COST REDUCTION PROGRAMME - Co said ongoing cost reduction programme contributed positively to results

  • PRICE TRENDS - Modest increase in silicon prices in Q3, with continued rise in Q4, expected to support future results


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 EBITDA

Miss

NOK 554 mln

NOK 575.40 mln (5 Analysts)

Q3 Operating Income

NOK 3.59 bln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the specialty chemicals peer group is "buy"

  • Wall Street's median 12-month price target for Elkem ASA is NOK40.00, about 27.9% above its October 28 closing price of NOK31.28

  • The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 16 three months ago


Reuters Recommended Reads

  • Oct 28 - Norway's Equinor Q3 adjusted operating income nearly doubles on higher output, gas prices

  • Oct 28 - Norway's Borregaard Q3 EBITDA hits record, beats analyst estimates

  • Oct 27 - Sweden's Alfa Laval Q3 sales rise on order intake


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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