Arctic: Norsk Hydro - Q2: Stronger than expected

Research evidence excerpt

Arctic: Norsk Hydro - Q2: Stronger than expected

Norsk Hydro Buy Hold

NHY NO | Materials | Equity Company Update | 22 July 2026 | 06:32 Sell

Q2: Stronger than expected Financials and estimates changes Target NOK 90.00

● Underlying EBITDA of NOK 8,923m (ARCe: NOK 7,868m, Cons.: 8,216) Key Figures (NOKm) Dec-24 Dec-25 Dec-26e Dec-27e Dec-28e Highlights

● Beat vs. ARCe driven by upstream segments with additional tailwind from other/ Recommendation Hold

Revenue 208,662.8 213,279.0 216,590.9 221,437.1 222,312.7 Target Price NOK 90.00

eliminations

EBITDA 26,543.5 25,694.0 28,542.0 31,626.9 32,084.1 Share Price NOK 83.7

● CapEx guidance reiterated EBIT 16,488.4 14,402.0 18,545.5 22,236.9 22,694.1 Upside (%) 7.5

● Positve estimate revisions expected EPS 2.89 3.40 6.91 7.33 7.48 Market cap (NOKm) 164,471

Adj. EBITDA 26,317.9 28,888.0 30,113.0 31,626.9 32,084.1 Enterprise Value (NOKm) 202,443

Underlying EBITDA above expectations

Adj. EBITDA margin (%) 12.6 13.5 13.9 14.3 14.4 Number of shares (m) 1,965

Norsk Hydro reported underlying EBITDA of NOK 8,923m, above our estimate of NOK 7,868m Adj. EPS 4.48 5.02 6.82 7.33 7.48

and consensus of NOK 8,216m. The beat was broad-based across most segments (excluding Revenue growth (%) 5.2 2.2 1.6 2.2 0.4 12 months share price performance:

Metal Market), with the largest contribution upstream segments (+NOK 800m vs ARCe) from EPS growth (%) 74.3 17.5 103.1 6.2 2.0 150 Performance (%) 3M 6M 1Y

OSEBX -21.2% -1.6% 35.0%Other/Eliminations (+NOK 300m vs ARCe). The beat in Aluminium Metal was mainly driven by 140 NHY NO -18.9% 1.2% 38.9%

realized prices coming in 4% above expectations. Adjusted for the beat in Other/Eliminations, DPS 2.25 3.00 4.00 4.00 4.00 130

underlying EBITDA was still 10% above ARCe and 7% above consensus.