PETALING JAYA: Elevated ferroalloy prices, higher production output and expanded capacity are expected to buoy OM Holdings Ltd’s (OMH) earnings in the quarters ahead despite volatile market sentiment in the macroeconomic space.
UOB Kay Hian (UOBKH) Research said OMH’s production volumes of ferrosilicon (fesi) have eased to 29,707 tonnes in the first quarter of 2023 (1Q23), representing a 13.5% decline quarter-on-quarter (q-o-q) while that of manganese alloy improved to 52,151 tonnes or a 25.7% increase q-o-q.
The temporary suspension of the fesi furnace for scheduled maintenance works during the quarter was the main reason behind the drop in fesi production.
“On the other hand, manganese alloy production has improved due to two furnaces resuming operations earlier this year after the completion of maintenance works last quarter.
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