Company: BBU
Filing Date: 2025-04-10
Form Type: 20-F
Source: 0001628280-25-017216
Chunk: 136

Company: Brookfield Business Partners L.P.
Filing Date: 2025-04-10
Form: 20-F
Item: Item 5
Chunk 136
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 execution of commercial actions, growing demand for higher margin advanced batteries which now represent 32% of overall battery volumes, combined with continued progress on operational efficiency initiatives. Aftermarket demand led by stable replacement volumes offset the impact of reduced original equipment battery volumes as a result of lower automotive production activity.

Our engineered components manufacturing operation contributed $109 million to Adjusted EBITDA for the year ended December 31, 2024, compared to $149 million for the year ended December 31, 2023 due to overall weak market conditions and lower volumes. The business continues to generate positive cash flow supported by a strong focus on optimizing costs and working capital.

Comparison of the years ended December 31, 2023 and December 31, 2022

Adjusted EFO in our industrials segment for the year ended December 31, 2023 was $492 million, representing an increase of $19 million compared to $473 million for the year ended December 31, 2022. The increase in Adjusted EFO was primarily due to gains recognized on the disposition of our automotive aftermarket parts remanufacturing operation and sale of public securities, partially offset by higher interest expense at our advanced energy storage operation and our engineered components manufacturing operation.

  Brookfield Business Partners      89  

Adjusted EBITDA in our industrials segment for the year ended December 31, 2023 was $855 million, representing a decrease of $24 million compared to $879 million for the year ended December 31, 2022. Strong performance at our advanced energy storage operation was offset by reduced contribution from our graphite electrode operation and our Western Canadian energy related operations.

Our advanced energy storage operation contributed $559 million to Adjusted EBITDA for the year ended December 31, 2023, compared to $482 million for the year ended December 31, 2022. Increased demand of higher margin advanced battery volumes contributed to strong performance during 2023. Strong commercial execution, favorable technology mix and cost optimization initiatives also benefited results.

Our engineered components manufacturing operation contributed $149 million to Adjusted EBITDA for the year ended December 31, 2023 compared to $141 million for the year ended December 31, 2022. Results included improved margin performance and contribution from recent add-on acquisitions, partially offset by the impact of reduced volumes.

Corporate and other

The following table presents Adjusted EFO and Adjusted EBITDA for our corporate and other segment for the years endedDecember 31, 2024,