Diffusion Alloys, a Pioneer in Surface Protection and Performance-Enhancing Technologies

We're excited to share the latest developments from Johnson Matthey (JM), a key partner in the global transition to net zero. In light of JM's recent preliminary results, we are optimistic about our collaborative initiatives and the future of sustainable innovations.

Acknowledging Market Challenges and Strategic Growth

Johnson Matthey has acknowledged the slower pace of the hydrogen (H2) economy, a trend reflected across the industry. Despite these challenges, JM has set an ambitious target to launch 20 new projects in Catalyst Technologies by the end of the 2025/26 financial year, focusing on Sustainable Aviation Fuel (SAF) and Blue Hydrogen (Blue H2). This robust pipeline of opportunities demonstrates a stronger outlook than previously anticipated.

Strategic Milestones and Financial Performance

Johnson Matthey’s preliminary results for the year ended 31st March 2024 highlight significant achievements and strategic milestones:

Underlying Operating Profit: Increased by 11% excluding the £85 million impact of lower precious metal prices; including this impact, it declined by 8%.
Clean Air and Catalyst Technologies: Continued margin improvement and robust project growth.
Cost Efficiency: Upgraded cost savings target to £200 million by the end of 2024/25.
Environmental Impact: Achieved a 30% reduction in Scope 1+2 CO2e emissions since 2019/20, surpassing the initial target of 10%.

Focus on Net Zero and Sustainable Growth

JM’s CEO, Liam Condon, emphasised their commitment to the net zero transition, highlighting the strategic execution that underpins their confidence in future success. The company’s diversified portfolio, particularly in PGM Services, Clean Air, Catalyst Technologies, and Hydrogen Technologies, positions it well to leverage market dynamics and drive sustainable growth.

Outlook and Dividend

Looking ahead to the year ending 31st March 2025, JM anticipates mid-single-digit growth in underlying operating performance, assuming stable precious metal prices and exchange rates. The board has proposed a final dividend of 55.0 pence per share, maintaining the total ordinary dividend at 77.0 pence per share.

PGM Services Seminar

A seminar focusing on PGM Services is scheduled for 27th June 2024, offering a deeper insight into this critical business area.

Our Commitment

Diffusion Alloys is inspired by Johnson Matthey’s strategic resilience and commitment to sustainability. We continue to align our goals with the industry’s best practices, striving to advance our own projects in surface protection and performance enhancement technologies. Our collaboration with JM and other partners positions us to contribute significantly to the global net zero transition, driving sustainable value creation for all stakeholders.