Germany – World-leading copper recycler Aurubis upped pre-tax operating earnings to Euro 118 million in the first half of its 2016/17 fiscal year from Euro 113 million in the opening six months of 2015/16.
The result was ‘driven primarily by good raw material markets, particularly in the recycling area’, states the Germany-based group, adding that higher metal prices led to a ‘very good’ supply of copper scrap with correspondingly high refining charges.
Chairman of the group’s executive board JÃ¼rgen Schachler observes: ‘The scrap markets have significantly improved and recycling has made a good contribution to earnings. Our expertise in the processing of complex raw materials makes us less dependent on the currently lower smelting and refining charges in the concentrate market. At the same time, the processing of these raw materials facilitates higher margins for us.’
Aurubis does not envisage major changes in either the raw material or the product markets before the end of its current fiscal year. For copper scrap, the group is anticipating ‘a sustained high supply with good refining charges’ in the coming months, although ‘declining metal prices in the short term could result in a tightening of the market with subsequently lower refining charges’.