Alcoa Posted Robust Q2 Results, Driven by High Alumina and Aluminum Prices

SEATTLE (Scrap Monster): Alcoa Corporation reported significant beat on second quarter earnings.

The adjusted earnings per share of $0.16 was noticeably higher than the consensus analysts’ estimate of $0.06. The revenue too surpassed expectations, touching $2.91 billion, as compared with the forecast of $2.85 billion. The revenue was up from the sequential quarter by almost 12%, said the company press release.

The company, which reported net losses during the prior quarter, witnessed significant turnaround in Q2 this year. The net income attributable to the company stood at $20 million, or $0.11 per share, upon comparison with loss of $252 million, or $1.41 per share during the prior quarter. It must be noted that Alcoa had reported loss of $102 million, or $0.57 per share in the corresponding quarter a year before.

The adjusted EBITDA excluding special items recorded sharp increase from $132 million in Q1 this year and $137 million in Q2 2023 to total $325 million in Q2 this year. The surge in adjusted EBITDA was mainly driven by higher average realized prices for alumina and aluminum as well as lower production and raw material costs. These were partially offset by higher energy costs.

William F. Oplinger, President and CEO, Alcoa noted that Q2 2024 was another fast-paced quarter for the company.