Alcoa Inc.
Alcoa reported its fourth quarter and full year 2015 results last week on 11th January 2016. The company made an adjusted net profit of $ 65 million or $ 0.04 per share in the quarter while that of $ 121 million or $ 0.56 per share in the last year. The adjusted EBITDA for the fourth quarter was $ 590 million including $ 71 million of special items.
The revenue for the quarter was $ 5.2 billion i.e. 18 % down from the same quarter of 2014 and 6 % down from the previous quarter. The reasoning given by the company for the decline in revenues was that it was a “composition of two opposing factors. One is a 7 % growth year over year mainly to aero, as well as acquisitions, and that gets offset by price declines as well as divestitures and closures of 25 %.”
Looking at segment wise performance, the Value-Add segment earned revenue of $ 3.3 billion and an adjusted EBITDA of $ 448 million in the quarter. Under the value-add segment, the Global Rolled Products (GRP) business recorded an after tax operating income of $ 52 million boosted by an 18 % year-over-year growth in auto sheet shipment. Driven by a shift in revenue mix towards higher margin products, the adjusted EBITDA per metric ton increased 19 % year-over-year. In the Engineered …show more content…
And the best part was that they came from not just one segment. Very strong productivity gains in all segments contributed $ 212 million in after-tax savings, more than offsetting $ 92 million in cost increases for the quarter. For the full year 2015 too, productivity continued to be a major lever for Alcoa. Full year after-tax savings of $ 749 million more than offset $ 447 million in cost increases. On an operational basis, Firth Rixson and RTI made solid contributions to the after-tax productivity gains of $ 54 million. The company also has also beaten its own full year target of $ 900 million from productivity
Alcoa reported its fourth quarter and full year 2015 results last week on 11th January 2016. The company made an adjusted net profit of $ 65 million or $ 0.04 per share in the quarter while that of $ 121 million or $ 0.56 per share in the last year. The adjusted EBITDA for the fourth quarter was $ 590 million including $ 71 million of special items.
The revenue for the quarter was $ 5.2 billion i.e. 18 % down from the same quarter of 2014 and 6 % down from the previous quarter. The reasoning given by the company for the decline in revenues was that it was a “composition of two opposing factors. One is a 7 % growth year over year mainly to aero, as well as acquisitions, and that gets offset by price declines as well as divestitures and closures of 25 %.”
Looking at segment wise performance, the Value-Add segment earned revenue of $ 3.3 billion and an adjusted EBITDA of $ 448 million in the quarter. Under the value-add segment, the Global Rolled Products (GRP) business recorded an after tax operating income of $ 52 million boosted by an 18 % year-over-year growth in auto sheet shipment. Driven by a shift in revenue mix towards higher margin products, the adjusted EBITDA per metric ton increased 19 % year-over-year. In the Engineered …show more content…
And the best part was that they came from not just one segment. Very strong productivity gains in all segments contributed $ 212 million in after-tax savings, more than offsetting $ 92 million in cost increases for the quarter. For the full year 2015 too, productivity continued to be a major lever for Alcoa. Full year after-tax savings of $ 749 million more than offset $ 447 million in cost increases. On an operational basis, Firth Rixson and RTI made solid contributions to the after-tax productivity gains of $ 54 million. The company also has also beaten its own full year target of $ 900 million from productivity