Elkem reported an EBITDA of NOK 890 million for the fourth quarter of 2025, down from NOK 1,173 million a year earlier, as challenging market conditions weighed on results. The company said cost improvements and strong market positions helped cushion the impact.

 

In a strategic move, Elkem has signed a definitive agreement to sell the majority of its Silicones division to Bluestar. The transaction, to be settled through the redemption of all Bluestar shares in Elkem, positions the company as a more focused metals and materials business and enhances financial flexibility.

 

Total operating income for Q4 reached NOK 7,284 million, down 14% from the same period last year. Earnings per share were negative at NOK (0.28) for the quarter and NOK (1.05) year-to-date, largely impacted by Silicones’ performance. Excluding the Silicones division, EPS would have been NOK 0.61. Reflecting the share redemption linked to the Silicones sale, Elkem’s board proposed no dividend for 2025.

 

"Amid challenging market conditions and pricing pressures, Elkem remains focused on capital discipline, sales optimisation and operational excellence across our three divisions. Although we continue to face uncertainties from rapidly changing geopolitical and trade dynamics, Elkem benefits from strong cost and market positions, enabling our company to adapt effectively to evolving market conditions. 

 

"Today’s announcement to sell the Silicones division puts Elkem in a strong position to drive future growth once market conditions improve,” said CEO Helge Aasen.

 

The company emphasized that the Silicon Products division was hit by low silicon and ferrosilicon prices, while speciality segments remained strong. 

 

Ferrosilicon prices in the EU are beginning to recover due to protective import measures, but the effect has yet to show in results. Q4 operating income for Silicon Products fell 14% to NOK 3,231 million, with EBITDA down 53% year-on-year. Carbon Solutions reported an EBITDA of NOK 174 million, down 38%, while Silicones posted a 6% rise in EBITDA to NOK 399 million despite a 14% drop in operating income.

 

Safety remains a top priority, but a tragic accident occurred on 22 December 2025 at a Silicones R&D pilot workshop in Lyon, France, injuring four employees, two of whom later died.

 

“The accident at Saint-Fons profoundly impacted our organisation in its entirety. We have done our utmost to support the families and loved ones of our colleagues who passed away and who were injured. Comprehensive investigations are conducted, and corrective actions will be implemented across all sites,” Aasen said.

 

Elkem ended 2025 with equity of NOK 24,026 million, representing 51% of total assets, and net interest-bearing debt of NOK 11,883 million, a 3.5x ratio to EBITDA. Cash and equivalents totaled NOK 3,806 million, with more than NOK 6,000 million in undrawn credit lines.

 

Looking ahead, Elkem said trade regulations and protective measures will continue to influence its markets. Silicon Products is temporarily reducing Norwegian capacity to manage inventory, while Carbon Solutions anticipates a slight sales recovery. Silicones prices in China have risen, and the division could benefit if those gains hold.