Hydro had underlying earnings before financial items and tax of NOK 1,110 million in the second quarter, rising from NOK 688 million in the first quarter. Higher realized aluminium prices, continued improvements in alumina operations and higher downstream sales lifted underlying results for the quarter.

"The solid results are attributable to higher sales volumes, combined with firm margins and tight cost control in a seasonally strong quarter. This quarter confirms Hydro as a strong market performer," Hydro's President and Chief Executive Officer Svein Richard Brandtzæg said.

"Full output at Qatalum and closing of the takeover of Vale's aluminium business are expected in the fourth quarter. Combined, these moves will strengthen Hydro in all parts of the value chain and make us an even more robust player in an industry poised for growth," said Brandtzæg.

Underlying results for Primary Metal improved during the quarter compared to the first quarter, due to higher realized aluminium prices. Hydro's alumina and raw materials business showed improved underlying results, mainly due to the Alunorte alumina refinery which posted higher sales volumes as a result of more stable production. Variable costs increased for Hydro's smelter operations during the quarter.

Metal Markets' underlying results declined in the second quarter, mainly due to an increase in negative currency effects as a result of the weakening Euro against the US dollar. Capacity utilization and margins remained firm in the quarter despite increased raw material costs.

Underlying EBIT for Rolled Products increased substantially compared to the first quarter, mainly driven by higher sales volumes. Higher margins and lower operating costs per tonne also contributed to the improved underlying results. Extruded Products also delivered significantly better underlying results on seasonally higher volumes and firm margins in all business secto