Ann: Share Placement to JFE Shoji Corporation, page-36

Note that 35mil usd of said H1 ebitda was a reversal of impairment on inventories. After intrest and tax there was barely cash flow, if any. Now, I expect that to be better in H2 as more furnaces came online, but the story with OMH remains that they finally need to get their operational issues under control - as I can't even remember when there were anywhere near capacity online. And if (and when) they get those SiMet furnaces online, that would help (refer to Ferroglobe, where SiMet fetches double the margin).

With hindsight taking out the 25% minority stake was overly opprtunistic. Certainly since they then embarked on an extensive conversion and maintenance project eroding cash flow. Just compare this to Ferroglobe, who are essentially net zero debt now, taking advantage of the past years cash flows.

If you eliminate price differences inventory seems to be pretty stable - and about half (as per YE 2022) is finished product. However around 54mil usd (again as per YE 2022) of payable are non-current, that seems to suggest to be related to energy contracts, as I assume other raw materials not to have a payment term > 1 year.

No doubt OMH will be able to roll over debt - however, at what cost?

I am not too impressed by how management runs this company, and by now I wonder whether the company would perform better under different management. Ferroglobe have stated they want to do more business in Asia, perhaps by now shareholders are ready to entice a bid - major shareholders can't be too impressed by performance either.