Boliden Stock Plunges Amid Weaker Metal Prices and Earnings Miss

Boliden's stock price has dropped to near its recent 52-week low due to weaker metal prices and an earnings miss in 2024. The Nordic base metals and mining group reported a significant decline in profit for full-year 2024 compared to 2023, primarily caused by lower realized prices for copper, zinc, and other metals.

The company's revenue declined year-over-year as the peak pricing environment of earlier years faded, leading to a lower operating profit. Boliden noted that cash flow from operating activities in 2024 was also lower than in 2023, mainly due to reduced profit and working capital movements.

Although production volumes were relatively stable or slightly higher compared to 2023, the decline in prices and treatment charges resulted in a drop in EBITDA and margin pressure. The company is leaning into investments despite current earnings being lower, which could improve future volumes and costs but requires confidence in long-term demand for base metals.