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• Revenue: Not explicitly mentioned in the transcript.

• EBITDA Margin: Increased sequentially to 20% in Q4 2024.

• Net Debt: Reduced by nearly EUR600 million, achieving a net cash position of EUR21 million at the end of Q4 2024.

• Dividend Proposal: EUR1.50 per share, representing 90% of second half 2024 total cash generation.

• Q4 EBITDA: EUR214 million.

• Full Year Mine & Forest Volumes: 5.4 million tonnes.

• Q4 Mine & Forest EBITDA: EUR40 million.

• Full Year Mine & Forest EBITDA: EUR108 million.

• Q4 Net Income: EUR163 million.

• Q4 Total Cash Generation: EUR253 million.

• Liquidity: Increased to more than EUR1.8 billion.

• Q1 2025 EBITDA Guidance: Expected to range between EUR180 million and EUR215 million.

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Release Date: February 27, 2025

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

Positive Points

• Vallourec SA (VLOUF) achieved its zero net debt target a full year ahead of schedule, reducing net debt by nearly EUR600 million.

• The company announced its first dividend in a decade, proposing a EUR1.50 per share dividend, representing 90% of its second half 2024 total cash generation.

• Vallourec SA (VLOUF) delivered a strong EBITDA margin of over 20% for the year, showcasing consistent profitability.

• The Brazil optimization program is progressing well, with cost savings ahead of plan, targeting over EUR150 per ton in regional cost improvement.

• The company successfully finalized the sale of its last remaining production site in Germany for EUR155 million and announced its first acquisition in nearly a decade with the purchase of Thermotite do Brasil for around EUR170 million.

Negative Points

• Vallourec SA (VLOUF) experienced a year-over-year reduction in EBITDA due to a substantial decrease in US EBITDA, driven by a $600 to $700 per tonne reduction in invoice prices.

• The company anticipates lower international shipments in the first quarter of 2025, which may offset the sequentially higher Tubes EBITDA per tonne.

• The Mine & Forest segment faced challenges with lower prices and volumes, impacting overall performance.

• There is uncertainty regarding the impact of increased US tariffs on international competition and potential effects on deliveries.

• The average selling price declined in the US business, with the fourth quarter being the low point in terms of invoice price.

Q & A Highlights

Q: Will the increase in tariffs in the US result in more competition on international markets and impact your deliveries? A: Philippe Guillemot, CEO, confirmed that Vallourec's focus on high value-added products protects them from potential competition due to decreased export opportunities in the US. Therefore, it's not a concern for Vallourec.