Light metal company Alcoa reported first quarter 2015 net income of US$195 million, or US$0.14 per share, including US$158 million in restructuring-related charges (approximately 90% non-cash), mostly to optimize the company’s portfolio.
Year-over-year, first quarter 2015 results compare to a net loss of US$178 million, or US$0.16 per share.
Excluding the impact of all special items, first quarter 2015 net income jumped to US$363 million, or US$0.28 per share, from US$98 million, or US$0.09 per share, in the year-ago period.
First quarter 2015 revenues rose 7% to US$5.8 billion, from US$5.5 billion in first quarter 2014.
The revenue increase resulted principally from organic growth, driven by strong automotive and aerospace volume. Positive market effects in the quarter were offset by capacity reductions and portfolio changes.
“First quarter results show our transformation is moving at ongoing high speed and is fully on course,” said Klaus Kleinfeld, chairman and CEO.
“We are organically and inorganically broadening our innovative, multi-material value-add businesses, bringing new capabilities and materials to our aerospace and automotive offerings, and taking swift action in the upstream, making it more competitive.”
End market growth remains steady
Alcoa is holding steady its 2015 growth projections for the aerospace, automotive, building and construction, industrial gas turbine and packaging end markets.
Given final 2014 worldwide aluminum demand, Alcoa has upwardly revised its view of global aluminum demand growth in 2014 to 9%, an increase from the prior forecast of 7%.
This results in global consumption of 54 million metric tons, or 1.2 million metric tons higher than previously forecast.
The company continues to project further robust global aluminum demand growth in 2015 of approximately 3.5 million metric tons, equaling 6.5% growth and reaching a new record high of 57.5 million metric tons.
