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olivLaw · European equity research

Norsk Hydro ASA NHY.OL

Norway · Euronext Oslo Børs · ISIN NO0005052605 · Vertical: Listed companies from Norway

68.38NOK−0.55% · 1 dayClose 06 Nov 2026

Norsk Hydro is a Norwegian integrated aluminium group spanning bauxite and alumina, primary aluminium, energy and extruded products. It reported revenue above 207 billion NOK in 2025, in a year when recycling and emissions reduction became central to its strategy.

At the close of 06 Nov 2026, Norsk Hydro ASA (NHY.OL) stock was 68.38 NOK (−0.55% on the day), with market capitalisation 134.7 bn NOK, P/E 20.1 on diluted EPS of 3.41 NOK over the last 12 months, dividend yield 3.40%, beta 0.62, 52-week range 65.32–119.45 NOK.

Data as of · AI analysis dated · Source: ESEF annual reports and closing prices, computed by olivLaw.

Market cap
134.7 bn NOK
shares as of 31 Dec 2025
P/E (TTM)
20.1
Diluted EPS TTM 3.41 · TTM to 31 Dec 2025
E/P (TTM)
4.99%
TTM to 31 Dec 2025
Dividend yield
3.40%
DPS 12m 2.33
Beta (2y)
0.62
Volatility (1y) 32%
52-week range
65.32119.45

Price history

Loading chart…

Technical reading

RSI (14)
34.5
weak (30–45)
Bollinger (20, 2)
62.61 – 79.73
in the lower half of the band · %B 0.34 · band width 24.1%
SMA 50 / 200
80.04 / 91.73
downtrend (price < SMA50 < SMA200)
MACD (12, 26, 9)
-3.70 / -3.99
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyEURO STOXX 50vs EURO STOXX 50Vertical median
1 month−12.2%−0.6%−11.5 pp—
3 months−24.6%−4.2%−20.4 pp—
6 months−34.3%+4.3%−38.6 pp—
Year to date−12.6%+7.5%−20.1 pp—
1 year−0.7%+9.9%−10.6 pp−4.7%
3 years+10.8%+49.8%−39.1 pp+12.7%
5 years+12.2%+42.8%−30.7 pp—
Max drawdown (1y)
−45.3%
02 Jun 2026 → 03 Nov 2026
Max drawdown (5y)
−45.3%
02 Jun 2026 → 03 Nov 2026
Compound annual growth (5y)
+2.3%
EURO STOXX 50 +7.4%

Price returns, dividends excluded.

Quarterly results

ESEF annual reports carry no quarters: the results are annual (below).

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Today's P/E sits at the 0 percentile of its own 3-quarter history (min 21.6, median 22.9, max 38.6; quarters with earnings only).

Fiscal years

Fiscal year202320242025
Revenue193.6 bn203.6 bn208.0 bn
Revenue YoYunavailable+5.2%+2.1%
Net income3.6 bn5.8 bn6.7 bn
Net income YoYunavailable+61.6%+16.0%
Diluted EPS1.772.903.41
Diluted EPS YoYunavailable+63.8%+17.6%
net %1.9%2.8%3.2%
Free cash flow8.6 bn1.8 bn11.7 bn

Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
16.1 bn NOK
Financial debt
36.6 bn NOK
Net debt
20.5 bn NOK
Equity
107.1 bn NOK
Total assets
208.3 bn NOK
Debt / equity
0.34x
Current ratio
1.73x
ROE
6.3%
ROA
3.2%
FCF margin
5.6%

Financial statements (source on every figure)

Revenue and net income (NOK)

Margins

Income statement · NOK

Revenue
2023
193.6 bn
2024
203.6 bn
2025
208.0 bn

esef· 21 Oct 2026verified

Operating income
2023
9.6 bn
2024
16.5 bn
2025
14.4 bn

esef· 21 Oct 2026verified

Depreciation & amortisation
2023
9.4 bn
2024
10.1 bn
2025
10.3 bn

esef· 21 Oct 2026verified

EBITDA
2023
19.0 bn ≈
2024
26.6 bn ≈
2025
24.7 bn ≈

esef· 21 Oct 2026derived

Interest expense
2023
2.3 bn
2024
3.6 bn
2025
2.5 bn

esef· 21 Oct 2026verified

Pre-tax income
2023
6.5 bn
2024
8.9 bn
2025
13.7 bn

esef· 21 Oct 2026verified

Income tax
2023
3.7 bn
2024
3.8 bn
2025
5.4 bn

esef· 21 Oct 2026verified

Net income
2023
3.6 bn
2024
5.8 bn
2025
6.7 bn

esef· 21 Oct 2026verified

Diluted EPS
2023
1.77
2024
2.90
2025
3.41

esef· 21 Oct 2026verified

Dividend per share
2023
6.21
2024
2.51
2025
2.33

esef· 21 Oct 2026derived

Balance sheet · NOK

Cash
2023
24.6 bn
2024
15.0 bn
2025
16.1 bn

esef· 21 Oct 2026verified

Receivables
2023
25.4 bn
2024
28.5 bn
2025
25.9 bn

esef· 21 Oct 2026verified

Inventories
2023
25.4 bn
2024
28.2 bn
2025
27.8 bn

esef· 21 Oct 2026verified

Current assets
2023
80.0 bn
2024
75.6 bn
2025
81.5 bn

esef· 21 Oct 2026verified

Property, plant & equipment, net
2023
75.0 bn
2024
77.9 bn
2025
78.1 bn

esef· 21 Oct 2026verified

Total assets
2023
206.5 bn
2024
207.4 bn
2025
208.3 bn

esef· 21 Oct 2026verified

Accounts payable
2023
26.2 bn
2024
27.0 bn
2025
26.4 bn

esef· 21 Oct 2026verified

Short-term debt
2023
7.1 bn
2024
11.6 bn
2025
8.1 bn

esef· 21 Oct 2026verified

Long-term debt
2023
29.0 bn
2024
23.1 bn
2025
28.4 bn

esef· 21 Oct 2026verified

Current liabilities
2023
43.9 bn
2024
49.4 bn
2025
47.1 bn

esef· 21 Oct 2026verified

Total liabilities
2023
99.3 bn
2024
99.9 bn
2025
101.2 bn

esef· 21 Oct 2026verified

Equity
2023
107.2 bn
2024
107.5 bn
2025
107.1 bn

esef· 21 Oct 2026verified

Shares outstanding at year end
2023
2.0 bn
2024
2.0 bn
2025
2.0 bn

esef· 21 Oct 2026derived

Cash flow · NOK

Operating cash flow
2023
22.2 bn
2024
15.4 bn
2025
23.3 bn

esef· 21 Oct 2026verified

Capex
2023
13.6 bn
2024
13.6 bn
2025
11.6 bn

esef· 21 Oct 2026verified

Free cash flow
2023
8.6 bn ≈
2024
1.8 bn ≈
2025
11.7 bn ≈

esef· 21 Oct 2026derived

Investing cash flow
2023
-20.8 bn
2024
-12.9 bn
2025
-17.9 bn

esef· 21 Oct 2026verified

Financing cash flow
2023
-6.7 bn
2024
-12.6 bn
2025
-3.7 bn

esef· 21 Oct 2026verified

Dividends paid
2023
12.6 bn
2024
5.0 bn
2025
4.6 bn

esef· 21 Oct 2026verified

Share repurchases
2023
2.2 bn
2024
2.3 bn
2025
856.0 m

esef· 21 Oct 2026verified

Computed indicators

Growth

Revenue growth (YoY)
2.1%
computed by olivLawFY 2025
Revenue CAGR 3Y
unavailable
input data missing
Revenue CAGR 5Y
unavailable
input data missing
EBIT growth (YoY)
-12.7%
computed by olivLawFY 2025
Net income growth (YoY)
16.0%
computed by olivLawFY 2025
Net income CAGR 3Y
unavailable
input data missing
Net income CAGR 5Y
unavailable
input data missing
EPS growth (YoY)
17.6%
computed by olivLawFY 2025
EPS CAGR 3Y
unavailable
input data missing
EPS CAGR 5Y
unavailable
input data missing
FCF growth (YoY)
551.2%
computed by olivLawFY 2025

Profitability

Gross margin
unavailable
input data missing
EBITDA margin
11.9%
computed by olivLawFY 2025
EBIT margin
6.9%
computed by olivLawFY 2025
Net margin
3.2%
computed by olivLawFY 2025
FCF margin
5.6%
computed by olivLawFY 2025

Returns

ROE
6.7%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROA
3.2%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROIC
6.8%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROCE
8.9%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Payout ratio (EPS)
68.2%
computed by olivLawFY 2025
Payout ratio (FCF)
39.1%
computed by olivLawFY 2025

Balance sheet

Net debt
20.5 bn NOK
computed by olivLawbalance sheet at 31 Dec 2025
Net debt / EBITDA
0.8x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Debt / equity
0.4x
computed by olivLawbalance sheet at 31 Dec 2025
Interest coverage
5.7x
computed by olivLawFY 2025

Liquidity

Current ratio
1.7x
computed by olivLawbalance sheet at 31 Dec 2025
Quick ratio
1.1x
computed by olivLawbalance sheet at 31 Dec 2025
Cash ratio
0.3x
computed by olivLawbalance sheet at 31 Dec 2025

Cash

Operating cash flow
23.3 bn NOK
computed by olivLawFY 2025
Capital expenditure
11.6 bn NOK
computed by olivLawFY 2025
Free cash flow
11.7 bn NOK
computed by olivLawFY 2025
FCF conversion
174.6%
computed by olivLawFY 2025
Cash conversion
94.3%
computed by olivLawFY 2025

Efficiency

Days sales outstanding
48 days
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Days inventory outstanding
unavailable
input data missing
Days payables outstanding
unavailable
input data missing
Cash conversion cycle
unavailable
input data missing

Market and valuation

Market capitalisation
134.7 bn NOK
computed by olivLawbalance sheet at 31 Dec 2025
Enterprise value
155.2 bn NOK
computed by olivLawbalance sheet at 31 Dec 2025
Market cap / net income TTM
20.1x
computed by olivLawFY 2025
P/E (TTM)
20.1x
computed by olivLawFY 2025
Earnings yield
5.0%
computed by olivLawFY 2025
P/B
1.3x
computed by olivLawbalance sheet at 31 Dec 2025
P/S
0.6x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
EV/EBITDA
6.3x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
EV/EBIT
10.8x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
EV/Sales
0.7x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
P/FCF
11.5x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
FCF yield
8.7%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Dividend yield
3.4%
computed by olivLawFY 2025
Shareholder yield (distributions)
4.0%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025

1 indicators that do not apply to the sector.

Valuation

olivLaw classification

Neutral profile

Score: 68 / 100

A scoring methodology on indicators and valuation, not investment advice.

Closing price

68.38 NOK

06 Nov 2026Source: olivLaw, closing series

Market cap: 134.7 bn NOK

Key indicators

Market capitalisation
134.7 bn NOK
computed by olivLawbalance sheet at 31 Dec 2025
P/E (TTM)
20.1x
computed by olivLawFY 2025
P/B
1.3x
computed by olivLawbalance sheet at 31 Dec 2025
EV/EBITDA
6.3x
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
ROE
6.7%
computed by olivLawFY 2025 · balance sheet at 31 Dec 2025
Net margin
3.2%
computed by olivLawFY 2025
Revenue growth (YoY)
2.1%
computed by olivLawFY 2025
Dividend yield
3.4%
computed by olivLawFY 2025

Coverage and freshness

30/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 31 Dec 2025
Latest balance sheet date: 31 Dec 2025
Share count (cover of the latest filing), as of: 31 Dec 2025
Source: esefpublished 21 Oct 2026
verified 90derived 6

Score by group

  • Quality62
  • Balance sheet65
  • Valuation72
  • Returns75

Estimated value range

unavailable — no valuation assumptions for the reporting currency

Valuation assumptions are editorial choices, not measured; beta is not measured.

Valuation methods

    Assumptions (illustrative, editorial)

    Risk-free rate
    6.5%
    Equity risk premium
    6.0%
    Beta (default)
    1.00
    Cost of equity
    12.5%
    Terminal growth
    3.0%

    Factor scorecard

    Neutral profile · Score 68/100

    FactorValueScoreWeight used
    ROIC · Quality6.8%45 (vs peers)13%
    Net margin · Quality3.2%50 (vs peers)8%
    FCF conversion · Quality174.6%100 (on a fixed band)8%
    Revenue CAGR 3Y · Growthunavailableunavailable—
    EPS CAGR 3Y · Growthunavailableunavailable—
    Net debt / EBITDA · Balance sheet0.8x60 (vs peers)13%
    Interest coverage · Balance sheet5.7x65 (on a fixed band)8%
    Current ratio · Balance sheet1.7x77 (on a fixed band)5%
    P/E (TTM) · Valuation20.1x50 (vs peers)13%
    EV/EBITDA · Valuation6.3x71 (vs peers)13%
    FCF yield · Valuation8.7%100 (on a fixed band)10%
    Shareholder yield (distributions) · Returns4.0%58 (on a fixed band)8%
    Payout ratio (FCF) · Returns39.1%100 (on a fixed band)5%

    Factors without a value were dropped; the remaining weights were renormalised.

    Score groups

    • Balance sheet65/100 · 3/3 factors with a value
    • Growth· partialunavailable · 0/2 factors with a value
    • Quality62/100 · 3/3 factors with a value
    • Returns75/100 · 2/2 factors with a value
    • Valuation72/100 · 3/3 factors with a value

    A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.

    Memo

    Norsk Hydro ASA (NHY.OL). Latest full fiscal year: 2025; data up to 2025-12-31.

    Figures computed from the financial statements: revenue 208.0 bn NOK in 2025; YoY growth 2.1%; net margin 3.2%; ROE 6.7%; net debt/EBITDA 0.8x.

    The estimated value range is 47.25–101.12 NOK per share (median of 4 methods, agreement: medium); assumptions are illustrative. Against the central value of 71.66 NOK, the price of 68.38 NOK leaves a potential of 4.8% (value / price − 1) and a margin of safety of 4.6% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.

    olivLaw score 68/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: growth. Not investment advice.

    Text generated deterministically from the figures shown; no language model. Not investment advice.

    What supports the thesis

    • FCF conversion: 174.6%
    • Current ratio: 1.7x
    • EV/EBITDA: 6.3x
    • FCF yield: 8.7%
    • Payout ratio (FCF): 39.1%

    What contradicts it

    No signal among the computed factors. That is not an absence of risk: factors without data were not assessed, and business risks (margins, inventory, demand) are in the source-based analysis.

    Not assessed (insufficient data or a ratio without meaning): Revenue CAGR 3Y, EPS CAGR 3Y.

    Versus the vertical median

    Listed companies from Norway · same country · compared with 39 companies

    Multiples and returns vs the median

    P/E
    20.1x
    vertical median 20.0x
    at median
    EV/EBITDA
    6.3x
    vertical median 9.0x
    below median (−30.0%)
    P/S
    0.6x
    vertical median 1.3x
    below median (−50.2%)
    P/B
    1.3x
    vertical median 1.8x
    below median (−23.4%)
    ROE
    6.7%
    vertical median 2.9%
    above median (+127.0%)
    Net margin
    3.2%
    vertical median 3.1%
    at median
    EBIT margin
    6.9%
    vertical median 5.5%
    above median (+25.4%)
    Revenue YoY
    2.1%
    vertical median 6.0%
    below median (−64.5%)
    Net debt/EBITDA
    0.8x
    vertical median 1.5x
    below median (−43.7%)
    Dividend yield
    3.4%
    vertical median 5.0%
    below median (−32.4%)

    Price rebased to 100 (monthly, 5 years)

    Companies in the vertical

    Market capP/EROENet marginRevenue YoY1A / 3A
    NHY.OLNorsk Hydro ASA134.7 bn20.16.7%3.2%+2.1%−6% / +9%
    AKER.OLAker Asa79.8 bn20.37.9%21.4%+42.5%+36% / +59%
    AFG.OLAf Gruppen Asa21.5 bn19.839.7%3.4%+4.4%+8% / +69%
    ELK.OLElkem Asa19.2 bn39.31.9%2.7%−15.7%+10% / +73%
    ATEA.OLAtea Asa18.5 bn21.419.7%2.3%+8.1%+11% / +36%
    AKSO.OLAker Solutions Asa17.4 bn6.822.5%4.1%+19.2%+18% / −12%
    AUSS.OLAustevoll Seafood Asa16.6 bn37.11.6%1.1%+11.1%−7% / +10%
    BRG.OLBorregaard Asa15.6 bn25.111.4%8.0%+1.3%−18% / −9%
    BONHR.OLBonheur ASA11.2 bn7.817.1%11.4%−10.8%+17% / +44%
    AFK.OLArendals Fossekompani Asa10.3 bn—-2.3%-3.1%−14.9%+39% / +31%
    B2I.OLB2 Impact Asa8.8 bn14.311.0%16.4%+2.6%+40% / +238%
    AKVA.OLAkva Group Asa5.7 bn31.213.7%4.2%+24.4%+74% / +152%
    ELMRA.OLElmera Group Asa5.1 bn32.010.5%1.3%−0.9%+32% / +98%
    BOUV.OLBouvet Asa5.0 bn14.280.7%9.2%−0.2%−19% / −16%
    CLOUD.OLCloudberry Clean Energy Asa4.0 bn61.91.3%13.1%+34.0%−5% / +29%
    ABG.OLAbg Sundal Collier Holding Asa3.6 bn10.734.9%16.8%+12.4%−13% / +20%
    ANDF.OLAndfjord Salmon Group As2.2 bn—-5.7%-12,770.4%+328.9%−18% / −11%
    BMA.OLByggma Asa1.6 bn—-25.3%-11.9%−2.5%+61% / +15%
    APR.OLAppear Asa1.4 bn10.530.1%16.1%+32.3%−53% / unavailable
    AZT.OLArcticzymes Technologies Asa1.1 bn108.92.9%8.6%+7.9%−8% / −48%
    CAPSL.OLCapsol Technologies Asa884.6 m—-89.4%-114.8%−25.0%−33% / −66%
    BOR.OLBorgestad Asa553.2 m36.12.1%1.4%−3.0%−7% / +41%
    ARR.OLArribatec Group Asa234.6 m4.822.1%9.3%+15.7%−33% / −55%
    DELIA.OLDellia Group Asa73.5 m1.522.6%7.7%+140.0%−62% / unavailable
    ABTEC.OLAqua Bio Technology Asa11.1 m0.1—7,297.7%−87.2%−82% / −97%

    1- and 3-year price returns: for NHY.OL from daily closes (the same as the performance table), for the other companies from month-end closes.

    olivLaw engine forecast

    The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

    The engine has no published run for this company yet.

    Valuation scenarios (editable assumptions)

    Illustrative scenarios

    Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.

    Bear
    Allowed range: -50 … 50%
    Allowed range: -100 … 100%
    Allowed range: 0 … 100
    Allowed range: -10 … 20%
    Allowed range: 0 … 100%
    Base
    Allowed range: -50 … 50%
    Allowed range: -100 … 100%
    Allowed range: 0 … 100
    Allowed range: -10 … 20%
    Allowed range: 0 … 100%
    Bull
    Allowed range: -50 … 50%
    Allowed range: -100 … 100%
    Allowed range: 0 … 100
    Allowed range: -10 … 20%
    Allowed range: 0 … 100%
    Nothing is saved.

    Estimated price (NOK)

    Estimated priceBearBaseBull
    1 years
    39.46
    Total return -40% · Per year -40%
    69.84
    Total return 6% · Per year 6%
    105.30
    Total return 58% · Per year 58%
    3 years
    36.49
    Total return -39% · Per year -15%
    72.84
    Total return 17% · Per year 5%
    120.85
    Total return 90% · Per year 24%
    5 years
    33.75
    Total return -39% · Per year -9%
    75.97
    Total return 29% · Per year 5%
    138.70
    Total return 127% · Per year 18%
    What moves the 3-year price the most
    • Exit P/E± 18.21
    • Net margin± 12.75
    • Annual revenue growth± 10.71
    • Annual dilution± 1.07

    AI analysis

    AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

    In brief

    Norsk Hydro is a Norwegian integrated aluminium group spanning bauxite and alumina, primary aluminium, energy and extruded products. It reported revenue above 207 billion NOK 1 in 2025, in a year when recycling and emissions reduction became central to its strategy.

    SWOT

    Strengths

    • Integrated chain from bauxite to extruded products, giving control over costs and operational flexibility.
    • Strong position in recycling and low-emission products, supported by growing volumes of recycled materials.
    • Good ESG ratings from several agencies, which can support access to investors and customers focused on sustainability.

    Weaknesses

    • Results are highly sensitive to the aluminium price and exchange rates, making profitability volatile from year to year.
    • Rationalisation and impairment charges rose significantly, reflecting capacity issues in some operations.
    • Large gaps between reported and adjusted results can make the underlying performance harder to assess.

    Opportunities

    • Rising demand for recycled and low-emission aluminium could bring price premiums for certified products.
    • Expanding capacity to process post-consumer scrap could reduce reliance on primary raw material.
    • Developing value-added extruded products could offset volatility in primary aluminium prices.

    Threats

    • A fall in global aluminium prices could quickly erode margins and planned investments.
    • Fluctuations in USD/NOK and the Brazilian real could change reported earnings.
    • Rising energy costs or emissions regulation could reduce the competitiveness of European production.

    Risks

    • Aluminium price exposurehigh

      Earnings depend directly on the LME price, and a drop in price could significantly reduce adjusted EBITDA.

    • Currency riskmedium

      Exposure to USD, NOK, EUR and BRL can affect earnings in krone terms, even where hedging instruments are used.

    • Rationalisation costsmedium

      Capacity adjustments and plant closures generated large costs that could continue if the market stays weak.

    • Energy costsmedium

      Aluminium production is energy-intensive, and rising electricity prices could reduce margins.

    • Climate regulationlow

      Emissions reduction targets and related costs could increase if regulation becomes stricter.

    Investment thesis

    What would need to be true (bull case)

    • If demand for recycled and low-emission aluminium keeps growing, Hydro could benefit from price premiums and a higher-value product mix.
    • The integrated structure and extensive recycling could lower long-term costs and could support earnings even when prices fluctuate.
    • If aluminium prices hold near recent levels, adjusted earnings could remain solid, with significant contributions from primary aluminium.

    What would break the thesis

    • A fall in aluminium prices could quickly reduce adjusted EBITDA and could slow planned investments.
    • High rationalisation costs and recent impairments could point to structural issues in some operations that could persist.
    • If energy cost pressure and climate regulation increase, competitiveness against producers in other regions could decline.

    What to watch

    • Development of adjusted EBITDA and adjusted earnings compared with 2025Q1 2027
    • Progress on cutting Scope 3 emissions and on volumes of recycled post-consumer scrap2027
    • Rationalisation costs and capacity adjustments in the aluminium segmentsnext 10-K
    • Effect of the USD/NOK rate on reported earningsQ1 2027

    Products, market & competition

    AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

    The business

    Hydro operates through integrated segments: bauxite mining and alumina production, energy production, primary aluminium production, metal markets and extrusions. The company reported adjusted EBITDA of 28 889 million NOK in 2025 and investments of 14 135 million NOK 1. The integrated structure lets it capture the full aluminium chain, from raw material to finished products. According to the annual report, Hydro also pursues recycling of post-consumer scrap, which rose to 496 thousand tonnes in 2025 1.

    Reported EBIT was 14 401 million NOK in 2025, down from the prior year, while adjusted EBIT rose to 18 663 million NOK 1. The gap between reported and adjusted figures mainly reflects unrealised derivative effects on LME contracts, rationalisation costs and impairments. The report also notes that sensitivity to the aluminium price and the USD/NOK rate remains important for revenue.

    Hydro manages exposure through sales contracts on the LME and with banks, to lock in margins on part of planned production for periods of up to about three years when considered favourable 1. The company also aims for a currency structure in its debt that reflects underlying exposures, to limit the effect of exchange-rate movements.

    Segments

    Primary aluminium and alumina

    Primary aluminium output reached 2 065 thousand tonnes in 2025, and bauxite production was 10 516 thousand tonnes 1. The realised alumina price was 432 USD per tonne, down from 462 USD in 2024 1. The segment is most sensitive to international aluminium prices and energy costs.

    Extrusions

    External sales of extruded products were 978 thousand tonnes in 2025, slightly below 2024 1. Revenue from greener products rose by more than 50 % compared with 2024, showing growing demand for sustainable materials 1.

    Energy

    Power production was 9 543 GWh in 2025 1. The segment supports aluminium operations and contributes to the emissions reduction strategy, while the segment's adjusted EBITDA reached 4 152 million NOK 1.

    Market context

    The realised LME aluminium price averaged 2 573 USD per tonne in 2025 1, and the realised USD/NOK rate was 10.39 1. The market is responding to demand for low-carbon aluminium, and Hydro reports rising interest in products such as Hydro REDUXA and Hydro CIRCAL. Revenue from green products could keep growing if customer demand for recycled materials holds.

    Earnings are highly sensitive to the aluminium price: a 10 USD per tonne increase could add about 4 900 million NOK to annual adjusted EBITDA, based on the report's assumptions 1. If the dollar strengthens against the krone, the effect on earnings could be smaller, since part of costs is also in NOK or BRL 1.

    Trends

    • Recycling and low-carbon aluminiumtailwind

      Growth in recycling and low-emission volumes could support margins if customers pay premiums for green materials. Hydro reports growth of more than 50 % in revenue from greener products 1.

    • Aluminium price and volatilitymixed

      Results remain sensitive to the LME price, and short-term sales contracts only partly limit exposure. If prices fall, margins could be affected quickly.

    • Energy costs and capacity reductionheadwind

      Energy costs and capacity rationalisations generated significant charges, with rationalisation costs rising to 1 795 million NOK in 2025 1. Cost pressure could persist if energy prices do not ease.

    • Climate policy and Scope 3mixed

      The target to cut Scope 3 emissions by 30 % by 2030 and recycling capacity could help access carbon-sensitive markets, while the required investments are large.

    Competitive position

    Hydro competes in the global aluminium market with integrated producers from several regions, especially on energy costs and access to bauxite. The company's advantage lies in its integrated chain and relatively low-emission production, but competition on primary pricing is intense.

    In value-added and extrusion products, Hydro faces European and Asian producers offering similar goods. Differentiation through recycled content and sustainability certifications could become an important criterion for customers.

    • AlcoaAA

      US-based integrated alumina and aluminium producer with comparable bauxite and primary product activities; the size of competition depends on energy costs.

    • Rio TintoRIO

      Diversified mining group with aluminium and bauxite operations that competes for the same industrial aluminium customers.

    • Century AluminumCENX

      US primary aluminium producer competing in the North American market, where energy and tariff costs play a major role.

    • Constellium

      European producer of rolled and extruded aluminium products, competing in the value-added segment.

    News & filings

    In the press

    Annual reports (ESEF)

    Sources

    1. [1] Annual report, fiscal year ended 2025-12-31 (ESEF) · SEC / Norsk Hydro ASA · 31 Dec 2025

    Figures computed by olivLaw from ESEF annual reports and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.

    Norsk Hydro ASA (NHY.OL): stock, results, valuation and forecast · olivLaw