© Reuters. Alcoa Reports Q1 EPS Beat But Revenue Miss; Shares Fall 5%
Alcoa (NYSE:) shares were trading more than 5% lower after-hours following the company’s first-quarter earnings. While EPS of $3.06 came in above the Street estimate of $2.77, revenue for the quarter was $3.29 billion, missing the Street estimate of $3.45 billion.
Aluminum segment revenues grew 3% sequentially due to strong market pricing, while Alumina (OTC:) segment revenues dropped 9% sequentially due to lower average alumina prices.
The company achieved record profitability during the quarter, with EBITDA surpassing $1 billion for the first time in its history.
The company provided its 2022 outlook, expecting total alumina and aluminum shipments to remain unchanged at 14.2-14.4 million metric tons, and 2.5-2.6 million metric tons, respectively.
On March 2, the company announced it decided to cease purchasing raw materials from, or selling products to, Russian businesses, and has made alternate plans to secure the limited number of materials purchased from Russian suppliers for the rest of the year and into the future, without incurring any material financial impact.
Shares of Alcoa are up 46% year-to-date on the surge in aluminum prices.
By Davit Kirakosyan
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