Aleris' Shipments from North America Automotive Assets Soared

SEATTLE (Scrap Monster): Ohio-based aluminum producer Aleris reported results for the fourth quarter and full year 2018. The net loss during the year narrowed to $92 million. This compares with net loss of $211 million in 2017.

The company recorded adjusted EBITDA of $276 million as compared with $201 million in 2017. It recorded notable increase in shipments from North American automotive assets. The European operations reported improved performance and higher automotive volumes. Also, aerospace volumes saw big jump during the second half of 2018. During the year, a definitive agreement was announced with regards to acquisition of assets of Aleris Corporation by Novelis, Inc.

In Q4 last year, Aleris posted net loss of $23 million, as compared with the net loss of $107 million in Q4 ’17. The adjusted EBITDA was up from $37 million in 2017 to $61 million in 2018. The quarter also witnessed increased commercial shipments from North America automotive assets, improved operating performance from Europe and increase in global aerospace volumes.

Commenting on the outlook for Q1 ’19, Aleris noted that segment income and adjusted EBITDA are expected to remain higher than Q1 last year.

Sean Stack, Chairman and CEO, Aleris stated that the company delivered strong results in 2018, posting record volumes and record adjusted EBITDA. The aerospace industry returned to growth in the second half of 2018. The company benefited from deliveries under multi-year aerospace agreements, he noted. Furthermore, the positive trends are expected to continue in 2019, Stack added.