Boliden AB (publ)

Boliden reported EBITDA of SEK 5.5 billion, operating profit excluding process inventory revaluation of SEK 2.9 billion, and EPS of SEK 7.81. Management said all three were clearly up year over year, but lower sequentially versus Q1. Free cash flow was negative SEK 2 billion and CapEx was a little more than SEK 4 billion, in line with plan. The financial impact from planned maintenance was SEK 350 million, roughly in line with last year. Looking ahead, management repeated full-year guidance broadly unchanged, except Tara 2026 throughput was reduced from 1.8 million tonnes to 1.6 million tonnes; Garpenberg guidance was unchanged at 1.5 million tonnes for 2026 and 2.3 million tonnes for 2027.

Mikael Staffas described Q2 as a strong quarter, emphasizing higher profits, solid mine performance at Aitik, Zinkgruvan, Somincor, and the ongoing recovery at Garpenberg. His tone on Garpenberg was constructive: the mine is back up and producing, development is continuing, and the company is trying to accelerate access to other ore bodies. On Odda, he was more cautious, saying ramp-up was slower than expected because of roaster, IT, control-system, and conveyor issues, but he stressed there is nothing fundamentally wrong with the design and that the plant is currently running at full speed.

Håkan Gabrielsson said EBITDA was SEK 5.5 billion, EBIT ex process inventory revaluation was SEK 2.9 billion, and EPS was SEK 7.81. He highlighted a negative free cash flow of SEK 2 billion driven by working-capital build, with a view that roughly SEK 2 billion could come back next quarter in ordinary operations, although Rönnskär ramp-up will require a further working-capital build of SEK 1.5 billion to SEK 2 billion. He also noted cost inflation of 2.5% to 3% excluding electricity, about SEK 200 million of sequential maintenance cost, and depreciation of SEK 2.3 billion in Q2, rising to SEK 2.6 billion per quarter in Q3 and Q4 due mainly to Odda.

Analysts focused on Odda’s delayed ramp-up, Garpenberg’s post-incident mine plan, grades in the second half, sulfuric acid pricing, and the strategic logic of possible M&A/Nexa. Management said Odda’s roaster issues were operational rather than fundamental and that the tank house, foundry, and leaching sections had already been tested successfully; full production is expected in Q3, though not guaranteed. On Garpenberg, management said the 2028-and-beyond outlook will likely wait until the December life-of-mine process, while an official occupational-health inquiry is ongoing but is not expected to affect production. They also said sulfuric acid should contribute more than the roughly SEK 100 million positive EBIT impact seen this quarter as contracts roll over, and they framed M&A interest as ongoing industry dialogue rather than a committed deal.