[Nick Hargrave]

Q1 results released this morning:
https://images.befesa.com/media/2023/05/Befesa_Q1_2023_Statement_4_May_2023-6452bc7919b01.pdf

Unquestionably a tough quarter with a higher than expected increased in the treatment charge (+19%) and record high coke prices, combined with lower zinc prices and downtime in Turkey due to the earthquake constraining EBITDA despite strong revenue growth driven by the acquired US operations.

While there are headwinds in the short-term, our long-term thesis on this effective monopoly operator and business resilience (highlighted by the maintained dividend) remains in tact as it executes its growth strategy. We will be updating our memo shortly

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