Hydro has released its fourth-quarter results for 2025, highlighting increased aluminium production capacity.
The results come after the decision in August 2025 to decrease its workforce, with approximately 850 employees departing by the first half of 2026.
For the fourth quarter, Hydro reported an adjusted EBITDA of NOK 5.6 billion ($587.7M), down from NOK 7.7 billion ($808.1M) in the same period last year.
Despite the year-on-year decrease, the company generated a free cash flow of NOK 4.6 billion ($482.8M).
Based on these results, the Board of Directors has proposed a cash dividend of NOK 3.0 per share, representing approximately 60% of the adjusted net income for 2025.
Hydro's upstream operations delivered strong results, with the Alunorte refinery achieving production levels above standard capacity.
Aluminium smelter production also saw a 2.5% year-on-year increase as the company continued to ramp up capacity at its Norwegian smelters.
“Strong aluminium metal prices continued to provide tailwinds in the fourth quarter, driving near-record earnings in our primary aluminium business and offsetting weak downstream markets,” said Eivind Kallevik, President and CEO of Hydro.
“This highlights the robustness of Hydro's financial position and diversified portfolio.”
In addition to increased production levels, the company is investing NOK 1.2 billion ($125.9M) in the Illvatn pumped storage plant in Norway, its largest hydropower investment in over two decades.
Restructuring in Extrusion Europe is also progressing, with the confirmed closure of two plants in the United Kingdom scheduled for late 2026.
Total capital expenditure for 2025 ended at NOK 12.1 billion ($1.27bn), lower than the previous guidance of NOK 13.5 billion ($1.41bn), further strengthening financial flexibility.
