Alcoa first quarter 2016 results

Alcoa after-tax operating income first quarter 2016 was of $269 million, up 8 percent year-over-year, adjusted EBITDA $537 million and record adjusted EBITDA margin of 16.4 percent.

alcoa first quarter 2016First Quarter 2016 Alcoa Consolidated Highlights:

Net income of $16 million, or $0.00 per share; excluding special items, net income of $108 million, or $0.07 per share;

Revenue of $4.9 billion, down 15 percent year-over-year, reflects:
5.7 percent revenue increase related to acquisitions and organic growth, more than offset by a 20.7 percent revenue decline primarily from continued low alumina and aluminum prices, foreign exchange impacts and divested, curtailed or closed operations
Asset sale resulting in gross proceeds of $234 million to strengthen balance sheet
$1.4 billion cash on hand
Strong productivity gains of $364 million, year-over-year, across all segments.

1Q 2016 Arconic Segments (Value-Add) Overview

Revenue of $3.3 billion, down 2.2 percent year-over-year, reflects:

6.7 percent revenue increase predominantly related to acquisitions, offset by 8.3 percent revenue decline from metal and foreign exchange impacts and 0.6 percent revenue decline from divested or closed operations

After-tax operating income of $269 million, up 8 percent year-over-year, adjusted EBITDA of $537 million, up 7 percent year-over-year, and record adjusted EBITDA margin of 16.4 percent;

Global Rolled Products (GRP): $68 million after-tax operating income, up 26 percent year-over-year and adjusted EBITDA per metric ton of $374, up 8 percent from year-ago due to strong cost control; automotive sheet shipment growth up 38 percent year-over-year;

Engineered Products and Solutions (EPS): Record first quarter revenue of $1.4 billion, record first quarter after-tax operating income of $162 million, up 4 percent year-over-year and adjusted EBITDA margin of 21.0 percent; aerospace sales up 14 percent year-over-year;

Transportation and Construction Solutions (TCS): $39 million after-tax operating income, up 3 percent year-over-year and record first quarter adjusted EBITDA margin of 14.9 percent;

Supply agreement for 3D-printed titanium fuselage and engine pylon parts to Airbus;

Signed multi-year contract valued at approximately $1 billion to deliver advanced industrial gas turbine (IGT) components, Alcoa’s largest IGT contract to date;

Achieved $179 million in productivity savings, on target to deliver $650 million in 2016.