Alcoa Posts $789M Q3 Adjusted EBITDA
AA sits 15% above its 52-week low of $35.12.
Summary
Alcoa reported third-quarter adjusted EBITDA of $789 million, the first hard earnings figure from the quarter, alongside adjusted EPS of $1.82, basic EPS of $1.81, net income of $483 million and sales of $3.7 billion. The adjusted EPS of $1.82 beat the IBES estimate, while revenue fell 7% as alumina output rose. The results land against a backdrop of heavy corporate activity: the company closed a $2.6 billion senior notes offering on September 23 to fund its $4.1 billion South32 acquisition, and South32 shareholder materials for that deal went public September 11. Aluminum pricing remains a swing factor — a global producer was seeking Q4 Japanese premiums of $325 per metric ton in early September, an 18% decline, which pressures realized prices. The $789 million EBITDA print is the key read on whether Alcoa's aluminum segment can keep offsetting alumina weakness flagged in Q2.
At the time of this announcement, AA was trading at $40.46 on NYSE in the Industrial Applications And Services sector, with a market capitalization of approximately $10.7B. The 52-week trading range was $35.12 to $84.38. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.