Trade wars, cyber attacks and Brexit: Norsk Hydro recaps 2019 in annual report
Agmetalminer - Last year proved to be a hectic one for Norwegian aluminum maker Norsk Hydro. Hilda Merete Aasheim, who took over as CEO in 2019, recapped some of the challenges in the company’s annual report.
“Trade wars, Brexit uncertainty, weak markets and the embargo in Alunorte have weighed on our financial result in 2019,” Aasheim said. “In addition, a malicious and sophisticated cyber-attack hit us hard last spring. I am immensely proud of how our people and organization handled the situation, working day and night to recover.”
The company also struggled amid falling aluminum and alumina prices.
Underlying EBIT decreased to NOK 3,359 million (U.S. $327 million) from NOK 9,069 million (U.S. $883 million) for 2018.
“The decrease mainly reflects lower realized aluminium and alumina price, partly offset by the positive effects from increased production in Brazil, lower raw material costs and positive currency effects,” the company’s annual report noted.
In terms of production, Hydro’s bauxite production at Paragominas (in the Brazilian state of Pará) totaled 7.4 million metric tons, while alumina production at Alunorte in totaled 4.5 million metric tons. Hydro’s primary aluminum production reach 2.0 million metric tons.