• Revenue: Decreased 16% in the first quarter to $307 million.

• Adjusted EBITDA: Negative $27 million, a decline of $37 million from the previous quarter.

• Silicon Metal Revenue: Declined 35% due to a 27% drop in volumes and an 11% decrease in average selling prices.

• Silicon-Based Alloys Revenue: Increased 7%, driven by a 9% increase in volume.

• Manganese-Based Alloys Revenue: Decreased 5% due to a 1% decline in volume and a 4% decline in average selling price.

• Free Cash Flow: Generated $5 million in the first quarter.

• Dividend: Increased by 8% to $1.04 per share.

• Share Buyback: Repurchased 720,000 shares at an average price of $3.75, totaling $2.7 million.

• Net Cash Position: Ended the quarter with a balance of $19 million.

• Adjusted Debt: Increased to $110 million from $94 million in the prior quarter.

• CapEx: Declined by $4 million to $14 million in the first quarter.

• Warning! GuruFocus has detected 3 Warning Sign with GSM.

Release Date: May 08, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Ferroglobe PLC (NASDAQ:GSM) anticipates a strong adjusted EBITDA recovery in the second quarter, with continued momentum expected in Q3.

• The company is maintaining its full-year 2025 guidance, indicating confidence in future performance.

• Several regulatory trade measures are being introduced to curb low-priced imports, which are expected to stabilize the market and benefit Ferroglobe PLC (NASDAQ:GSM).

• Ferroglobe PLC (NASDAQ:GSM) successfully generated positive free cash flow in the first quarter despite challenging market conditions.

• The company increased its quarterly dividend by 8% and continued share repurchases, demonstrating a commitment to returning value to shareholders.

Negative Points

• Ferroglobe PLC (NASDAQ:GSM) experienced a 27% drop in silicon metal volume, significantly impacting first-quarter results.

• The company reported a negative adjusted EBITDA of $27 million for the first quarter.

• Lower overall shipments and prices led to a 16% decline in revenue.

• Raw material costs increased as a percentage of sales, driven by lower fixed cost absorption and higher energy costs.

• The manganese segment faced challenges due to delays in receiving manganese ore, negatively impacting volumes.

Q & A Highlights

Q: Marco, you reiterated guidance even though Q1 is negative. How should we think about the cadence of improvement in Q2, Q3, and Q4 of 2025? Could you provide some color on volume, cost, and price? A: Marco Levi, CEO: The negative results were expected and in line with our budget. We maintained our guidance of $100 to $170 million, accounting for various scenarios. We believe trade cases will balance the market, favoring local producers like Ferroglobe. We expect improvements in performance throughout the year, hence maintaining our guidance.