Underlying EBIT for 2017 increased to NOK 11,215 million from NOK 6,425 million for 2016. The increase reflects a higher all-in metal price and alumina sales price, partly offset by increased raw material costs, fixed costs and negative currency effects. Hydro’s acquisition of Orkla’s 50 percent ownership in Sapa was completed on October 2, 2017, giving Hydro full ownership of Sapa. Financial results for the new fully owned entity are presented in the new business area Extruded Solutions.
Bauxite production in Paragominas amounted to 11.4 million mt for the year while alumina production from Alunorte was 6.4 million mt.
Primary aluminium production was about 2.1 million mt and we delivered 2.9 million mt of casthouse products and liquid metal to internal and external customers.
Downstream, we shipped roughly 0.9 million mt of rolled products to the market. Our energy business produced around 10.8 TWh of hydroelectric power. The new Extruded Solutions business area delivered around 0.3 million mt in the fourth quarter.
Hydro acquired the remaining shares in Sapa with a cash consideration of NOK 11.9 billion, and the transaction was financed with surplus cash and bond financing. Net cash provided by operating activities of NOK 14.3 billion was sufficient to cover net cash used in investing activities. Hydro's net cash position changed from NOK 6.0 billion at the end of 2016 to a net debt position of NOK 4.1 billion at the end of 2017.
Underlying EBIT, in NOK million
|Bauxite & Alumina||3,704||1,227||2,421|
|Other and eliminations||(289)||3380||(19)|
Annual report 2017