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Ferroglobe Reports Record Financial Performance in First Quarter 2022

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Ferroglobe PLC
Ferroglobe PLC

LONDON, May 10, 2022 (GLOBE NEWSWIRE) -- Ferroglobe PLC (NASDAQ: GSM) (“Ferroglobe”, the “Company”, or the “Parent”), a leading producer globally of silicon metal, silicon-based and manganese-based specialty alloys, today announced results for the first quarter 2022.

FINANCIAL HIGHLIGHTS

  • Record Q1 2022 revenue of $715.3 million, up 26% over the prior quarter

  • Record Q1 2022 Adjusted EBITDA of $241.1 million, up 181.7% over the prior quarter

  • Adjusted EBITDA margin improvement of 125% to 33.7% in Q1 2022, up from 15.0% the prior quarter

  • Record net profit of $150.8 million compared to $50.0 million in Q4 2021

  • Record earnings per share (diluted) of $0.80, up from $0.27 per share the prior quarter

  • Improved liquidity with total cash of $176.0 million in Q1, up $59.3 million from the prior quarter

BUSINESS HIGHLIGHTS

  • Record setting start to 2022 supported by robustness in pricing across all product categories

  • Further upside potential for top-line growth and margin expansion in Q2

  • Leveraging unique, global asset footprint to service global customers, locally

  • Quick actions taken to find and secure alternative sources of raw materials previously purchased from Russia

  • French Labor Administration has validated the agreement relating to the French restructuring

  • Restart of the second furnace at the Selma, Alabama facility is underway and expected by end of Q2; doubles the facility’s silicon metal annual production to 22,000 tons

  • Potential restart of the 55,000 ton silicon metal facility in Polokwane, South Africa currently under review

Dr. Marco Levi, Ferroglobe’s Chief Executive Officer, commented, “Our strong start in 2022 is the result of the solid fundamentals across our product portfolio, resetting of silicon metal contracts, and the numerous changes we are driving within the Company to improve our overall competitiveness. Collectively, these actions are translating into top-line growth and stronger margins, despite the inflationary pressures on our key inputs, in particular energy. The stellar results are also validation of the earnings potential of this business, and we look forward to building on this positive trajectory.”

“As we look at the year ahead, we will continue executing on our value creation plan, including the restructuring process implementation in France. With a heavier weighting towards index-based pricing contracts this year, coupled with our continued cost cutting efforts, we expect this momentum in our financial performance to continue in the near-term. Furthermore, we are evaluating the restart of our silicon capacity in South Africa. Overall, our assets have experienced improved operating performance and, with the return of capex spending to historical levels, we expect to further strengthen our production capabilities,” concluded Dr. Levi.

First Quarter 2022 Financial Highlights

Quarter Ended

Quarter Ended

Quarter Ended

%

%

$,000 (unaudited)

March 31, 2022

December 31, 2021

March 31, 2021

Q/Q

Y/Y

Sales

$

715,265

$

569,771

$

361,390

26

%

98

%

Raw materials and energy consumption for production

$

(340,555

)

$

(371,519

)

$

(250,165

)

(8

%)

36

%

Operating profit (loss)

$

211,130

$

55,885

$

(44,183

)

278

%

578

%

Operating margin

29.5

%

9.8

%

(12.2

%)

Adjusted net income (loss)
attributable to the parent

$

165,303

$

37,038

$

(18,172

)

346

%

1,010

%

Adjusted diluted EPS

$

0.88

$

0.18

$

(0.10

)

Adjusted EBITDA

$

241,119

$

85,580

$

22,069

182

%

993

%

Adjusted EBITDA margin

33.7

%

15.0

%

6.1

%

Operating cash flow

$

65,908

$

21,707

$

18,277

204

%

261

%

Free cash flow1

$

56,783

$

14,249

$

9,143

299

%

521

%

Working Capital

$

613,187

$

464,870

$

333,726

32

%

84

%

Working Capital as % of Sales2

21.4

%

20.4

%

23.1

%

Cash and Restricted Cash

$

176,022

$

116,663

$

78,298

51

%

125

%

Adjusted Gross Debt3

$

518,093

$

513,794

$

418,646

1

%

24

%

Equity

$

475,477

$

320,031

$

298,974

49

%

59

%

(1) Free cash flow is calculated as operating cash flow plus investing cash flow
(2) Working capital based on annualized quarterly sales respectively
(3) Adjusted gross debt excludes bank borrowings on factoring program and impact of leasing standard IFRS16 at Mar 31, 2022; Dec. 31, 2021 & Mar 31, 2021

Sales

In the first quarter of 2022, Ferroglobe reported net sales of $715.3 million, up 26% over the prior quarter and up 98% over Q1 2021. The improvement in our first quarter results is primarily attributable to higher prices across our product portfolio, partially offset by lower volumes. The $146 million increase in sales over the prior quarter was primarily driven by silicon metal, which accounted for $125 million, and silicon alloys, which accounted for $46 million. The $22 million decrease in manganese alloys this quarter was expected and is attributable to lower shipments, as several factors led to unusually high shipments in Q4 2021.

Raw materials and energy consumption for production

Raw materials and energy consumption for production was $341 million in Q1 2022 versus $372 million in the prior quarter, a decline of 8%. As a percentage of sales, raw materials and energy consumption for production was 47.6% in the first quarter of 2022 versus 65.2% in the prior quarter. While we continued to face inflationary headwinds and the impact of the energy crisis, the increase in average realized prices more than offset the cost pressures. Energy in particular impacted the quarterly results by $14.5 million, of which Spain was only $4.3 million given the production curtailments.

Net Income (Loss) Attributable to the Parent

In Q1 2022, net profit attributable to the Parent was $151.2 million, or $0.80 per diluted share, compared to a net profit attributable to the Parent of $51.4 million, or $0.27 per diluted share in Q4 2021.

Adjusted EBITDA

In Q1 2022, Adjusted EBITDA was $241.1 million, or 33.7% of sales, an increase of 181.7% compared to adjusted EBITDA of $85.6 million, or 15.0% of sales in Q4 2021. The increase in the Q1 2022 Adjusted EBITDA is primarily attributable to higher average realized selling prices, particularly due to the silicon metal contracts resetting. Overall, the impact from pricing was $215.5 million, while the impact form volumes was negative $6.7 million. During the quarter, the impact of higher costs was $59.9 million, of which approximately half is attributable to higher input costs and another $14.5 million attributable to higher energy costs in France, the United States and Spain.

Total Cash

The total cash balance was $176.0 million as of March 31, 2022, up $59.3 million from $116.7 million as of December 31, 2021.

During Q1 2022, we generated positive operating cash flow of $65.9 million, had negative cash flow from investing activities of $9.1 million, and generated $2.6 million in cash flow from financing activities.

Total Working Capital

Total working capital was $613.2 million in the first quarter of 2022, increasing from $464.9 million at December 31, 2021. The $148.3 million increase in working capital was due primarily to a $118.9 million increase in accounts receivable as a result of higher sales, and a $72.5 million increase in inventory. On a relative basis, we successfully kept working capital as a percentage of sales flat during the first quarter at 21.4% in Q1 2022, compared to 20.4% during the prior quarter. This is largely attributable to the financial discipline introduced to our operations over the past year.

Beatriz García-Cos, Ferroglobe’s Chief Financial Officer, commented, “As we continue to improve on our top-line, margins and net profitability, cash generation is expected to accelerate. We have worked relentlessly the past few years to turnaround our financial performance and are now focused on ensuring that the Company remains competitive operationally and has a strong and flexible balance sheet. Hence, our top priorities for the year are to bolster liquidity and deploy our near-term cash flows towards significant debt repayment and reinvestment in our assets.”

Product Category Highlights

Silicon Metal

Quarter Ended

Quarter Ended

Quarter Ended

Twelve Months Ended

March 31, 2022

December 31, 2021

Change

March 31, 2021

Change

December 31, 2021

Shipments in metric tons:

56,349

63,681

(11.5

)%

61,275

(8.0

)%

253,991

Average selling price ($/MT):

5,552

2,944

88.6

%

2,285

143.0

%

2,511

Silicon Metal Revenue ($,000)

312,850

187,477

66.9

%

140,013

123.4

%

637,695

Silicon Metal Adj.EBITDA ($,000)

151,661

32,501

366.6

%

14,762

927.4

%

72,346

Silicon Metal Adj.EBITDA Mgns

48.5

%

17.3

%

10.5

%

11.3

%

Silicon metal revenue in the first quarter was $312.9 million, an increase of 66.9% over the prior quarter. Total shipments of silicon metal decreased 11.5%. While demand from the chemical end-market remained strong, higher energy costs, particularly in Europe, led some aluminum producers to temporarily curtail production. Furthermore, we experienced a delay in the restart of the first furnace at the Selma, Alabama facility, adversely impacting our quarterly shipments, and faced a transportation strike in Spain which adversely impacted some shipments. Given the resetting of the prior fixed priced contracts, the average realized prices benefited significantly in Q1 2022. Adjusted EBITDA for silicon metal increased to $151.7 million during the first quarter, up 366.6% from $32.5 million the prior quarter.

Silicon-Based Alloys

Quarter Ended

Quarter Ended

Quarter Ended

Twelve Months Ended

March 31, 2022

December 31, 2021

Change

March 31, 2021

Change

December 31, 2021

Shipments in metric tons:

57,594

60,078

(4.1

)%

61,604

(6.5

)%

242,766

Average selling price ($/MT):

3,680

2,770

32.9

%

1,665

121.0

%

2,058

Silicon-based Alloys Revenue ($,000)

211,946

166,439

27.3

%

102,571

106.6

%

499,584

Silicon-based Alloys Adj.EBITDA ($,000)

78,411

51,174

53.2

%

10,094

676.8

%

81,022

Silicon-based Alloys Adj.EBITDA Mgns

37.0

%

30.7

%

9.8

%

16.2

%

Silicon-based alloys revenue in the first quarter was $211.9 million, an increase of 27.3% over the prior quarter. The average realized selling price improve by 32.9%, benefiting from the significant increase in the index pricing during Q4 2021. Total shipments decreased 4.1%, primarily in Europe, due to lower production in Spain as a result of energy related curtailments, a production issue in South Africa which has since been addressed, and logistical issues in South Africa. The ferrosilicon market is directly impacted by the Russia-Ukraine war, and index pricing has improved during Q1 2022, which positively impacts our business in Q2 2022. Adjusted EBITDA for the silicon- based alloys portfolio increased to $78.4 million, up 53.2% from $51.2 million the prior quarter.

Manganese-Based Alloys

Quarter Ended

Quarter Ended

Quarter Ended

Twelve Months Ended

March 31, 2022

December 31, 2021

Change

March 31, 2021

Change

December 31, 2021

Shipments in metric tons:

75,082

97,053

(22.6

)%

72,609

3.4

%

314,439

Average selling price ($/MT):

1,925

1,720

11.9

%

1,174

64.0

%

1,492

Manganese-based Alloys Revenue ($,000)

144,533

166,953

(13.4

)%

85,243

69.6

%

469,138

Manganese-based Alloys Adj.EBITDA ($,000)

20,371

21,360

(4.6

)%

10,174

100.2

%

69,690

Manganese-based Alloys Adj.EBITDA Mgns

14.1

%

12.8

%

11.9

%

14.9

%

Manganese-based alloy revenue in the first quarter was $144.5 million, a decrease of 13.4% over the prior quarter. Total shipments were in-line with management’s expectations as the Q4 2021 volumes reflect a one-off benefit of shipments which were carried over from the prior quarter. Averaged realized selling prices were positively impacted by the increase in index pricing in Q4 2021, which continued in Q1 2022. During the quarter, Adjusted EBITDA from our manganese-based alloys portfolio was $20.4 million, down 4.6% over the prior quarter as a result of lower volumes and higher input costs. Manganese-based alloys are also directly impacted by the Russia-Ukraine conflict. Since the start of the war at the end of February, the index price for manganese-alloys has increased with looming uncertainty around shipments from the region.

COVID-19

COVID-19 has been and continues to be a complex and evolving situation, with governments, public institutions and other organizations imposing or recommending, and businesses and individuals implementing, at various times and to varying degrees, restrictions on various activities or other actions to combat its spread, such as restrictions and bans on travel or transportation; limitations on the size of in-person gatherings, restrictions on freight transportations, closures of, or occupancy or other operating limitations on work facilities, and quarantines and lock-downs. COVID-19 and its consequences have significantly impacted and continue to impact our business, operations, and financial results. The extent to which COVID-19 impacts our business, operations, and financial results going forward will depend on the factors described above and numerous other evolving factors that we may not be able to accurately predict or assess, including the duration and scope of the COVID-19 pandemic; the effectiveness of vaccines or treatments; COVID-19’s impact on global and regional economies and economic activity, including the duration and magnitude of its impact on unemployment rates; its short and longer-term impact on the demand for our products, group business, and levels of customer confidence; the ability of our owners to successfully navigate the impacts of COVID-19; and how quickly economies, and demand recovers after the pandemic subsides.

COVID-19 has negatively impacted, and in the future may negatively impact to an extent we are unable to predict, our revenues. In addition, COVID-19 and its impact on global and regional economies, and the specialty chemical industry in particular, has made it difficult to obtain financing and has increased the probability that we will be unable or unwilling to service, repay or refinance existing indebtedness. If a significant number of our sales volumes are terminated as a result of bankruptcies, sales or foreclosures, our results of operations could be materially adversely affected. Also, testing our intangible assets or goodwill for impairments could result in additional charges, which could be material. For the reasons set forth above, COVID-19 has had and may in the future will have a material adverse effect on our business, operations, and financial condition.

Russia – Ukraine War

The recent outbreak of war between Russia and Ukraine has disrupted supply chains and caused instability in the global economy, while the United States and the European Union, among other countries, announced sanctions against Russia. The ongoing conflict could result in the imposition of further economic sanctions against Russia, and given Russia’s role as global exporter of metcoke, anthracite and electrodes, the Company’s business may be impacted. Currently, the Company’s charter contracts have not been affected by the events in Russia and Ukraine.

However, it is possible that in the future third parties with whom the Company has or will have charter contracts may be impacted by such events. Russia and Ukraine are meaningful producers of silicon metal, ferroalloys and manganese-based alloys, exporting into our markets. Management continually tracks developments in the conflict in Ukraine and actively manages our response to potential disruptions to the business.

Subsequent events

Agreement with the French Works Council

On May 4, 2022, the Company received validation from the French Labor Administration relating to a process that was initiated in April 2021 when Ferroglobe engaged the French Works Councils to discuss proposals for its asset optimization program designed to safeguard its long-term future in Europe.

Collectively, this agreement results in 195 potential job terminations and 35 employee transfers to other facilities.

Conference Call

Ferroglobe invites all interested persons to participate on its conference call at 8:30 AM, U.S. Eastern Daylight Time. Please dial-in at least five minutes prior to the call to register. The call may also be accessed via an audio webcast.

Date: May 11, 2022
Time: 8:30 AM EDT

Listen via Internet: https://edge.media-server.com/mmc/p/iyiino9i

United States: +1 877-870-9135 (conference ID: 5448396)
International: +1 646-741-3167 (conference ID: 5448396)

About Ferroglobe

Ferroglobe is one of the world’s leading suppliers of silicon metal, silicon- and manganese-based specialty alloys, and other ferroalloys serving a customer base across the globe in dynamic and fast-growing end markets, such as solar, automotive, consumer products, construction and energy. The Company is based in London. For more information, visit http://investor.ferroglobe.com.

Forward-Looking Statements

This release contains “forward-looking statements” within the meaning of U.S. securities laws. Forward-looking statements are not historical facts but are based on certain assumptions of management and describe the Company’s future plans, strategies and expectations. Forward-looking statements often use forward-looking terminology, including words such as “anticipate”, “believe”, “could”, “estimate”, “expect”, “forecast”, “guidance”, “intends”, “likely”, “may”, “plan”, “potential”, “predicts”, “seek”, “target”, “will” and words of similar meaning or the negative thereof.

Forward-looking statements contained in this press release are based on information currently available to the Company and assumptions that management believe to be reasonable, but are inherently uncertain. As a result, Ferroglobe’s actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements, which are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that are, in some cases, beyond the Company’s control.

Forward-looking financial information and other metrics presented herein represent the Company’s goals and are not intended as guidance or projections for the periods referenced herein or any future periods.

All information in this press release is as of the date of its release. Ferroglobe does not undertake any obligation to update publicly any of the forward-looking statements contained herein to reflect new information, events or circumstances arising after the date of this press release. You should not place undue reliance on any forward-looking statements, which are made only as of the date of this press release.

Non-IFRS Measures

This document may contain summarised, non-audited or non-GAAP financial information. The information contained herein should therefore be considered as a whole and in conjunction with all the public information regarding the Company available, including any other documents released by the Company that may contain more detailed information.Adjusted EBITDA, adjusted EBITDA margin, adjusted net profit, adjusted profit per share, working capital and net debt, are non-IFRS financial metrics that management uses in its decision making. Ferroglobe has included these financial metrics to provide supplemental measures of its performance. The Company believes these metrics are important and useful to investors because they eliminate items that have less bearing on the Company’s current and future operating performance and highlight trends in its core business that may not otherwise be apparent when relying solely on IFRS financial measures.

INVESTOR CONTACT:

Gaurav Mehta
Executive Vice President – Investor Relations
Email: investor.relations@ferroglobe.com

MEDIA CONTACT:

Cristina Feliu Roig
Executive Director – Communications & Public Affairs
Email: corporate.comms@ferroglobe.com

Ferroglobe PLC and Subsidiaries
Unaudited Condensed Consolidated Income Statement
(in thousands of U.S. dollars, except per share amounts)

Quarter Ended

Quarter Ended

Quarter Ended

Year Ended

March 31, 2022

December 31, 2021

March 31, 2021

December 31, 2021

Sales

$

715,265

$

569,771

$

361,390

$

1,778,908

Raw materials and energy consumption for production

(340,555

)

(371,519

)

(250,165

)

(1,184,896

)

Other operating income

23,008

39,619

1,913

110,085

Staff costs

(81,986

)

(72,068

)

(95,267

)

(280,917

)

Other operating expense(1)

(83,176

)

(87,015

)

(36,835

)

(296,809

)

Depreciation and amortization charges, operating allowances and write-downs

(21,109

)

(24,549

)

(25,285

)

(97,328

)

Impairment gain

497

137

Other gain (loss)

(317

)

1,149

66

2,206

Operating profit (loss)

211,130

55,885

(44,183

)

31,386

Net finance expense(2)

(12,455

)

(18,516

)

(15,864

)

(148,936

)

Financial derivatives gain

Exchange differences

(4,393

)

9,876

(9,314

)

(2,386

)

Profit (loss) before tax

194,282

47,245

(69,361

)

(119,936

)

Income tax benefit (loss)

(43,495

)

2,789

844

4,562

Profit (loss) for the period

150,787

50,034

(68,517

)

(115,374

)

Loss attributable to non-controlling interest

376

1,412

1,135

4,750

Profit (loss) attributable to the parent

$

151,163

$

51,446

$

(67,382

)

$

(110,624

)

EBITDA

$

232,239

$

80,434

$

(18,898

)

$

128,714

Adjusted EBITDA

$

241,119

$

85,580

$

22,069

$

179,330

Weighted average shares outstanding

Basic

187,408

187,358

169,291

176,508

Diluted

188,583

188,587

169,291

176,508

Profit (loss) per ordinary share

Basic

$

0.81

$

0.27

$

(0.40

)

$

(0.63

)

Diluted

$

0.80

$

0.27

$

(0.40

)

$

(0.63

)

(1) The earn-out provision was updated in the 20F filing. The calibration of the econometric model used to estimate the provision was adjusted by the independent expert
(2) This includes the valuation of effect consequence of classifying the entire Reindus loan as short-term. See next page for further explanations

Ferroglobe PLC and Subsidiaries
Unaudited Condensed Consolidated Statement of Financial Position
(in thousands of U.S. dollars)

March 31,

December 31,

March 31

2022

2021

2021

ASSETS

Non-current assets

Goodwill

$

29,702

$

29,702

$

29,702

Other intangible assets

188,407

100,642

25,891

Property, plant and equipment

548,862

554,914

593,355

Other non-current financial assets

3,977

4,091

4,984

Deferred tax assets

246

7,010

620

Non-current receivables from related parties

1,665

1,699

2,345

Other non-current assets

18,819

18,734

11,765

Non-current restricted cash and cash equivalents

2,220

2,272

Total non-current assets

793,898

719,064

668,662

Current assets

Inventories

362,298

289,797

228,145

Trade and other receivables

499,953

381,073

276,633

Current receivables from related parties

2,784

2,841

3,063

Current income tax assets

408

7,660

12,277

Other current financial assets

203

104

1,004

Other current assets

11,838

8,408

45,028

Current restricted cash and cash equivalents

6,069

Cash and cash equivalents

173,802

114,391

78,298

Total current assets

1,051,286

804,274

650,517

Total assets

$

1,845,184

$

1,523,338

$

1,319,179

EQUITY AND LIABILITIES

Equity

$

475,477

$

320,031

$

298,974

Non-current liabilities

Deferred income

70,699

895

2,733

Provisions

57,858

60,958

106,220

Bank borrowings

3,360

3,670

5,042

Lease liabilities

10,636

9,968

11,942

Debt instruments

404,954

404,938

347,310

Other financial liabilities(1)

38,674

4,549

37,530

Other Obligations(2)

37,241

38,082

15,205

Other non-current liabilities(2)

1,476

1,522

Deferred tax liabilities

35,423

25,145

26,834

Total non-current liabilities

658,845

549,681

554,338

Current liabilities

Provisions

159,386

137,625

97,521

Bank borrowings

95,359

95,297

73,965

Lease liabilities

7,869

8,390

7,596

Debt instruments

6,382

35,359

2,656

Other financial liabilities(1)

62,141

62,464

24,983

Payables to related parties

8,685

9,545

5,042

Trade and other payables

249,064

206,000

171,052

Current income tax liabilities

21,208

1,775

3,947

Other Obligations(2)

18,369

22,843

4,841

Other current liabilities(2)

82,399

74,328

74,264

Total current liabilities

710,862

653,626

465,867

Total equity and liabilities

$

1,845,184

$

1,523,338

$

1,319,179

(1) On January 25, 2022, the Ministry opened a hearing to decide on reimbursement of the loan. The company presented its allegations on February 15, 2022. Based on those allegations, the reimbursement procedure has been suspended and a new final report is expected to be made by the Ministry by the end of 2022 ending the administrative procedure and establishing the definitive amount of the partial reimbursement to be made. However, for accounting purposes the entire loan was considered short-term
(2) In 2021 we disaggregated “Other liabilities” into an additional line to the balance sheet “Other obligations“ to separately present certain contractual obligations whose nature and function differs from other items presented in the “Other liabilities line”, so as to allow a better understanding of the Company´s financial position.

Ferroglobe PLC and Subsidiaries
Unaudited Condensed Consolidated Statement of Cash Flows

Quarter Ended

Quarter Ended

Quarter Ended

Year Ended

March 31, 2022

December 31, 2021

March 31, 2021

December 31, 2021

Cash flows from operating activities:

Profit (loss) for the period

$

150,787

$

50,034

$

(68,517

)

$

(115,374

)

Adjustments to reconcile net (loss) profitto net cash used by operating activities:

Income tax (benefit) expense

43,495

(2,789

)

(844

)

(4,562

)

Depreciation and amortization charges, operating allowances and write-downs

21,109

24,549

25,285

97,328

Net finance expense

12,455

18,516

15,864

148,936

Financial derivatives loss (gain)

Exchange differences

4,393

(9,876

)

9,314

2,386

Impairment losses

(497

)

(137

)

Net loss (gain) due to changes in the value of asset

(6

)

(70

)

(21

)

(758

)

Gain on disposal of non-current assets

302

(43

)

(1,386

)

Share-based compensation

1,807

1,464

213

3,627

Other adjustments

21

(1,080

)

(2

)

(62

)

Changes in operating assets and liabilities

(Increase) decrease in inventories

(73,611

)

(11,137

)

11,446

(60,296

)

(Increase) decrease in trade receivables

(121,767

)

(83,434

)

(41,692

)

(161,434

)

Increase (decrease) in trade payables

40,073

12,908

26,152

64,382

Other

(12,463

)

26,037

41,179

29,803

Income taxes paid

(687

)

(2,918

)

(57

)

(3,794

)

Interest paid

Net cash provided (used) by operating activities

65,908

21,707

18,277

(1,341

)

Cash flows from investing activities:

Interest and finance income received

68

23

35

207

Payments due to investments:

Acquisition of subsidiary

Other intangible assets

(3,486

)

Property, plant and equipment

(9,193

)

(10,480

)

(5,683

)

(27,597

)

Other

Disposals:

Disposal of subsidiaries

Other non-current assets

1,376

1,919

Other

1,623

1,623

Net cash (used) provided by investing activities

(9,125

)

(7,458

)

(9,134

)

(23,848

)

Cash flows from financing activities:

Dividends paid

Payment for debt and equity issuance costs

(6,598

)

(43,755

)

Proceeds from equity issuance

40,000

Proceeds from debt issuance

(4,943

)

60,000

Increase/(decrease) in bank borrowings:

Borrowings

244,164

221,587

127,690

659,083

Payments

(237,627

)

(210,902

)

(157,464

)

(671,467

)

Proceeds from stock option exercises

Amounts paid due to leases

(2,518

)

(2,617

)

(2,856

)

(11,232

)

Other amounts received/(paid) due to financing activities

38,298

Payments to acquire or redeem own shares

Interest paid

(34,799

)

(704

)

(17,015

)

(22,177

)

Net cash (used) provided by financing activities

2,575

7,364

(56,243

)

10,452

Total net cash flows for the period

59,358

21,613

(47,100

)

(14,737

)

Beginning balance of cash and cash equivalents

116,663

95,043

131,557

131,557

Exchange differences on cash and cash equivalents in foreign currencies

1

7

(90

)

(157

)

Ending balance of cash and cash equivalents

$

176,022

$

116,663

$

84,367

$

116,663

Cash from continuing operations

173,802

114,391

78,298

114,391

Current/Non-current restricted cash and cash equivalents

2,220

2,272

6,069

2,272

Cash and restricted cash in the statement of financial position

$

176,022

$

116,663

$

84,367

$

116,663


Adjusted EBITDA ($,000):

Quarter Ended

Quarter Ended

Quarter Ended

Year Ended

March 31, 2022

December 31, 2021

March 31, 2021

December 31, 2021

Profit (loss) attributable to the parent

$

151,163

$

51,446

$

(67,382

)

$

(110,624

)

Profit (loss) for the period from discontinued operations

Profit (loss) attributable to non-controlling interest

(376

)

(1,412

)

(1,135

)

(4,750

)

Income tax (benefit) expense

43,495

(2,789

)

(844

)

(4,562

)

Net finance expense

12,455

18,516

15,864

148,936

Financial derivatives loss (gain)

Exchange differences

4,393

(9,876

)

9,314

2,386

Depreciation and amortization charges, operating allowances and write-downs

21,109

24,549

25,285

97,328

EBITDA

232,239

80,434

(18,898

)

128,714

Impairment

(497

)

(137

)

Restructuring and termination costs

5,909

455

36,588

27,368

New strategy implementation

2,971

5,188

4,379

22,700

Energy: France

Staff Costs: South Africa

Other Idling Costs

Pension Plan buyout

685

Provision Ithaka

Adjusted EBITDA

$

241,119

$

85,580

$

22,069

$

179,330


Adjusted profit attributable to Ferroglobe ($,000):

Quarter Ended

Quarter Ended

Quarter Ended

Year Ended

March 31, 2022

December 31, 2021

March 31, 2021

December 31, 2021

Profit (loss) attributable to the parent

$

151,163

$

51,446

$

(67,382

)

$

(110,624

)

Tax rate adjustment

6,931

(17,907

)

21,352

33,818

Impairment

(338

)

(93

)

Restructuring and termination costs

4,797

309

24,880

18,610

New strategy implementation

2,412

3,528

2,978

15,436

Energy: France

Energy: South Africa

Staff Costs: South Africa

Other Idling Costs

Tolling agreement

Bargain purchase gain

Gain on sale of hydro plant assets

Share-based compensation

Pension Plan buyout

466

Adjusted profit (loss) attributable to the parent

$

165,303

$

37,038

$

(18,172

)

$

(42,387

)


Adjusted diluted profit per share:

Quarter Ended

Quarter Ended

Quarter Ended

Year Ended

March 31, 2022

December 31, 2021

March 31, 2021

December 31, 2021

Diluted profit (loss) per ordinary share

$

0.80

$

0.27

$

(0.40

)

$

(0.63

)

Tax rate adjustment

0.04

(0.11

)

0.13

0.20

Impairment

(0.00

)

(0.00

)

Restructuring and termination costs

0.03

0.00

0.15

0.11

New strategy implementation

0.01

0.02

0.02

0.09

Energy: France

Staff Costs: South Africa

Other Idling Costs

Restructuring and termination costs

Tolling agreement

Bargain purchase gain

Gain on sale of hydro plant assets

Share-based compensation

Pension Plan buyout

0.00

Adjusted diluted profit (loss) per ordinary share

$

0.88

$

0.18

$

(0.10

)

$

(0.23

)



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