GSM Earnings Prediction
The chart below shows how GSM performed 10 days before and after its earnings report, based on data from the past quarters. Typically, GSM sees a +2.05% change in stock price 10 days leading up to the earnings, and a +2.00% change 10 days following the report. On the earnings day itself, the stock moves by -0.02%. This data can give you a slight idea of what to expect for the next quarter's release.
GSM Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
433.53M
4.01%
-3.88%
Gross Margin
36.81%
-24.12%
-2.44%
Operating Margin
9.37%
-48.91%
-5.16%
Net Margin
4.28%
-59.55%
-43.83%
EPS
0.10
-52.38%
-44.44%
No Data Available
GSM Earnings Analysis
Ferroglobe PLC Ordinary Shares Corporation (GSM.O) Earnings Conference Call
Positive
Adjusted EBITDA Increase: 1. Increased Adjusted EBITDA: Ferroglobe reported an adjusted EBITDA of $60 million in Q3 2024, a 5% increase from $58 million in the previous quarter, driven by higher realized pricing and improved spreads in manganese alloys.
Manganese Alloys EBITDA Surge: 2. Strong Manganese Alloys Performance: The adjusted EBITDA for manganese alloys surged to $28 million, a 100% increase over the previous quarter, despite a 9% decline in revenue, due to a significant 16% price increase.
Energy Agreement EBITDA Increase: 3. Improved Energy Agreement Benefits: The company expects to benefit from its French energy agreement, projecting an increase in EBITDA contribution to approximately $60 million for the year, up from an earlier estimate of $40 million.
Cash Flow Enhancement: 4. Positive Cash Flow Improvement: Operating cash flow improved by $9 million to $11 million in Q3 2024, reflecting better cash management despite a negative free cash flow of $10 million, which was an improvement of $10 million over the prior quarter.
Shareholder Value Initiatives: 5. Dividend and Share Repurchase Actions: Ferroglobe paid a quarterly dividend of $0.013 per share and executed a share repurchase program, buying approximately 117,000 shares at an average price of $4.22, demonstrating commitment to returning value to shareholders.
Negative
Revenue Decline Analysis: 1. Declining Revenue: Ferroglobe's revenue decreased by 4% in Q3 2024 to $434 million, attributed to lower volumes across all three segments.
Negative Cash Flow Report: 2. Negative Free Cash Flow: The company reported negative free cash flow of $10 million in Q3 2024, despite a $21 million use of cash for working capital.
Silicon Metal Shipment Decline: 3. Decreased Silicon Metal Shipments: Shipped volumes of silicon metal declined by 9% in Q3, with European and U.S. shipments down by 6% and 9% respectively, reflecting soft demand.
Silicon Alloys EBITDA Decline: 4. Weak Performance in Silicon-Based Alloys: The silicon-based alloys segment saw adjusted EBITDA drop to $2 million in Q3, down from $10 million in the previous quarter, due to lower fixed cost absorption and market conditions.
Cash Balance Decrease: 5. Cash Position Decline: The company's cash balance fell from $145 million at the end of Q2 to $121 million at the end of Q3, indicating a weakening cash position.
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GSM Earning Call Sentiment
Ferroglobe PLC (GSM) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
GSM.O
0.49%Positive
The earnings call presents mixed signals: financial performance shows a slight EBITDA improvement but revenue decline, and muted demand pressures. Positive elements include a dividend and share buyback plan, but these are modest. The Q&A suggests uncertainty in capacity expansion and market protection, with management avoiding specifics. The narrowed EBITDA guidance and weak market outlook offset positive aspects, keeping the sentiment neutral. Given a market cap of $1 billion, the stock is likely to remain stable, with a neutral prediction of -2% to 2% over the next two weeks.
