Alcoa strong in Q1
Alcoa has reported strong first quarter 2015 profits, with a first quarter 2015 net income of $195 million, or $0.14 per share, including $158 million in restructuring-related charges (approximately 90% non-cash), mostly to optimise the company’s portfolio. Year-on-year, first quarter 2015 results compare to a net loss of $178 million, or $0.16 per share.
The company’s first quarter 2015 revenues rose 7% to $5.8 billion, from $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, Alcoa 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. We are pulling on all levers to create sustainable shareholder value.”
Alcoa is holding steady its 2015 growth projections for the aerospace, automotive, building and construction, industrial gas turbine and packaging end markets.
The company expects to see a 2-3% global sales increase in the packaging market.