When analyzing Altri net worth, it’s essential to understand the key factors contributing to its financial position.
At Ando Money, we explore Altri’s financial performance, its revenue sources, and strategic projects that shape its growth. Let’s dive into Altri’s comprehensive financial picture.
Quick Facts
| FACT | DETAIL |
|---|---|
| Name | Altri |
| Full Name | Altri, SGPS, S.A. |
| Industry | Cellulosic fibers, Renewable power |
| Traded as | Publicly traded |
| ISIN | N/A |
| Founded | N/A |
| Founders | N/A |
| Country/Territory | Portugal |
| Headquarters | Porto, Portugal |
| Chief Executive Officer | José Soares de Pina |
| Number of Employees | N/A |
| Market Cap | $1.14 Billion |
| Total Assets | €1,259.6 million ($1,337.2 million) |
| Total Equity | €415.0 million ($440.6 million) |
| Revenue | €462.7 million ($491.7 million) |
| Net Income | €62.0 million ($65.8 million) |
What is the Net Worth/Market Cap Of Altri in 2024?
As of 2024, Altri’s market cap stands at $1.14 billion, making it a notable player in the cellulosic fiber industry.
When compared to other companies in the pulp and paper sector, Altri shows promising stability and growth, thanks to its diversified operations and effective cost management.
This valuation places it in a competitive position among similar firms. If you’re curious about companies ranking among the richest firms globally, you can check out our detailed guide here.
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Financial Performance Overview
Key Financial Performance Indicators of the Firm
The financial performance of the firm in 2024 showcases a strong upward trend. With total revenues of €462.7 million ($491.7 million) for the first half of 2024, Altri demonstrated an 8.5% growth compared to 2023.
This growth is primarily driven by increased pulp prices and demand, especially in Europe and North America. The EBITDA margin increased from 19.0% in 2023 to 26.8% in 1H24, highlighting improved profitability.
Further, Altri’s EBITDA for the 2Q24 reached €74.0 million ($78.6 million), a significant increase from €31.0 million ($32.9 million) in the same period of the previous year, reflecting a growth rate of 138.4%.
These performance indicators are a testament to the company’s ability to capitalize on favorable market conditions and manage costs efficiently.
Revenue Sources and Their Contributions
The firm’s revenue is derived primarily from cellulosic fibers and renewable power production. The cellulosic fibers segment contributed €202.1 million ($214.5 million) to total revenues in 2Q24, marking a 24.6% increase compared to 2Q23.
The renewable power and biomass sales added €37.9 million ($40.2 million), reflecting the company’s strategic focus on diversified energy sources.
This balanced approach in revenue generation ensures steady growth even in fluctuating market conditions.
Regional Sales Breakdown and Trends
Sales remain geographically diversified, with Europe, excluding Portugal, accounting for 55% of the total sales volume in 1H24. Portugal contributes an additional 9% of sales.
Meanwhile, the Middle East and North Africa represent 24% of the sales volume, showing Altri’s strong presence in emerging markets. Asia also plays a part, albeit smaller, with 12% of the sales coming from this region.
This diversification reduces dependency on any single market and helps stabilize revenue streams.
Production Capacity and its Financial Impact
Production capacity directly influences Altri’s financial results. In 2Q24, pulp production reached 276.7 thousand tons, representing a slight decrease of 1.2% compared to 2Q23.
Despite this, the revenue from pulp production saw an increase due to favorable price conditions. The correlation between production volume and revenue demonstrates how market prices and production efficiency contribute directly to financial performance.
This operational adaptability ensures that the company maximizes profitability irrespective of slight production fluctuations.
Operational Costs and Financial Efficiency
Altri has shown impressive cost management in 2024. The cost of sales in 2Q24 was €93.9 million ($99.7 million), representing a 14.1% reduction from 2Q23.
The effective management of external supplies, payroll expenses, and other operational costs has improved the EBITDA margin to 30.8% in 2Q24, compared to 15.4% in 2Q23.
Reducing net debt has also been a priority, which fell to €324.8 million ($344.9 million) by June 2024. These financial strategies have positively impacted the company’s overall financial health and efficiency.
Key Strategic Projects and Their Financial Implications
Altri is investing in strategic projects aimed at diversification and long-term financial growth. The Caima Project, focusing on the recovery and valorization of acetic acid and furfural, is expected to be completed by the end of 2025.
Additionally, the Gama Project in Galicia, Spain, is advancing in its licensing phase, which will significantly impact the firm’s future production capabilities and revenue streams.
In 1H24, Altri’s net investment was €16.2 million ($17.2 million), underscoring the company’s commitment to sustainable and innovative growth.
Financial Health and Debt Management
The company’s financial health is underscored by reduced net debt and a strong debt maturity profile.
By June 2024, net debt was €324.8 million ($344.9 million), down from €339.9 million ($360.9 million) in March, despite distributing €51.3 million ($54.5 million) in dividends.
This was achieved by maintaining a Net Debt/EBITDA LTM ratio of 1.8x, a clear sign of financial stability. Around 34% of the debt is remunerated at a fixed rate, providing stability in financial planning.
Role of Sustainable Practices in Revenue Generation
Sustainability plays a crucial role in Altri’s financial health. The company’s ESG rating improved to 14.5 from 14.7, maintaining a low-risk status.
Initiatives like forest management, certification by Forest Stewardship Council, and renewable energy projects contribute to revenue while bolstering Altri’s position as a responsible market leader.
Such sustainable practices attract investors focused on ethical and green investments, positively affecting the company’s overall valuation.
Future Financial Outlook
Looking ahead, Altri is positioned for continued growth with rising pulp market demand.
Despite a potential price adjustment in the latter half of 2024, the firm remains focused on its diversification projects, like the Caima and Gama initiatives, to enhance its production and revenue base.
Altri aims to maintain current profit margins while pursuing sustainable growth and improving operational efficiency.
FAQs About Altri
What Are the Main Revenue Sources for Altri?
Altri’s revenue comes primarily from cellulosic fibers and renewable power production, including biomass sales and cogeneration of electric energy related to its fiber production process.
How Has Altri Managed Its Debt in 2024?
In 2024, Altri reduced its net debt to €324.8 million ($344.9 million), which was made possible through improved EBITDA levels and controlled working capital needs.
What Are the Key Projects Altri Is Focusing On?
Altri is focusing on the Caima Project for acetic acid recovery and the Gama Project in Galicia, both of which are crucial for future revenue growth and market diversification.
What Is the Impact of Altri’s Sustainability Efforts?
Altri’s sustainability efforts, such as improved ESG ratings and certified forest management, enhance the firm’s attractiveness to green investors, contributing to better financial health.
How Did Altri’s Production Capacity Affect Its Revenue?
In 2Q24, Altri’s pulp production was 276.7 thousand tons, and despite a slight decrease, favorable pulp prices led to an increase in revenue, demonstrating the financial impact of efficient production.
Conclusion
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