Boliden Reports Higher Q4 Net Profit but Cancels 2024 Dividend

Boliden AB sees a strong rise in Q4 net profit, attributing it to increased revenues. However, the company proposes to cancel the 2024 dividend, which could concern investors.

Date: 06-02-2025

AI Rating: 5

Net Income and Earnings Per Share (EPS)
Boliden's net profit for the fourth quarter rose significantly to 2.994 billion Swedish krona from 1.656 billion Swedish krona in the previous year, indicating strong earnings performance. The earnings per share also experienced a substantial increase, reaching SEK 10.95 compared to SEK 6.06 last year, suggesting solid financial health and profitability for the period reported.

Revenue Growth
The revenue for Boliden surged to SEK 25.785 billion in the fourth quarter, up from SEK 20.754 billion in the same quarter last year. This growth indicates robust demand and effective operational strategies that enabled increased sales.

Operating Profit
The operating profit saw a significant jump to SEK 4.098 billion from SEK 2.096 billion, further underlining the company's improved operational efficiency and profitability.

However, the outlook for fiscal 2025 is concerning, as Boliden anticipates that planned maintenance shutdowns in their smelters will negatively impact operating profit by SEK 500 million. Additionally, the proposal to cancel the ordinary dividend for 2024 aims to reduce the proposed share issue, which could raise concerns among shareholders about the company’s cash flow management and long-term financial strategy.

Stocks: BOL.ST