Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) dropped 24% to 393 million euros (USD 426.68 million), falling short of a company-provided consensus of expectations for 398.5 million.
Carmakers are flagging a slowdown in demand for electric vehicles (EVs) as high prices deter buyers. The lower demand weighs on Umicore's business because it supplies battery components to EV manufacturers.
"In recent months, short- and medium-term growth projections for the electric vehicles market have been scaled back substantially, significantly affecting Umicore's Battery Materials business," said CEO Bart Sap in a statement.
The group said it expected operating profit (EBIT) at the battery materials unit to be below break-even in 2025 and 2026.
However, Umicore confirmed its full-year guidance for core profit. It also proposed an interim dividend of 0.25 euros per share, to be paid on August 21.
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