UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended September 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to _____ Commission File Number 1-37816 ALCOA CORPORATION (Exact name of registrant as specified in its charter) Delaware 81-1789115 (State or other ...

SAN CIBRAO, LUGO GALICIA, SPAIN - JANUARY 24: Alcoa's factory, on 24 January, 2024 in San Cibrao, ... [+] Lugo, Galicia, Spain. (Photo By Carlos Castro/Europa Press via Getty Images) Europa Press via Getty Images Alcoa posted a better-than-expected set of Q3 2024 results, with EBITDA rising to $455 million, which is a 6.5x increase year-over-year. Alcoa stock has also fared well in the last 12 months, rising by 75%. The company's guidance for 2024 was also better than anticipated, with alumina shipments pro ...

On 10/29/24, Alcoa will trade ex-dividend, for its quarterly dividend of $0.10, payable on 11/15/24. As a percentage of AA's recent stock price of $42.02, this dividend works out to approximately 0.24%. Start slideshow: 10 Stocks Going Ex-Dividend » Below is a dividend history chart for AA, showing historical dividends prior to the most recent $0.10 declared by Alcoa: AA tickertech In general, dividends are not always predictable; but looking at the history above can help in judging whether the most recent ...

With just one subscription to Beyond the Wall Investing , you can save thousands of dollars a year on equity research reports from banks. You'll keep your finger on the pulse and have access to the latest and highestquality analysis of this type of information. I reinitiated my coverage of Alcoa Corporation (NYSE: AA ) in April 2024 , stating that Alcoa seemed to be a sensible beneficiary of sanctions against its largest competitor, Rusal. I anticipated an increase in aluminum prices globally He leads the i ...

Financial Data and Key Metrics - Revenue remained flat sequentially at $2.9 billion [12] - Net income attributable to Alcoa increased to $90 million from $20 million in the prior quarter, with EPS improving by $0.27 to $0.38 per share [12] - Adjusted EBITDA increased by $130 million to $455 million, driven by higher alumina prices and improved energy and raw material costs [12][13] - Free cash flow less debt and non-controlling interest distributions was nearly neutral, resulting in a cash balance of $1.3 billion [16] Business Segment Performance - Aluminum segment third-party revenue increased 9% due to higher realized prices, partially offset by lower shipments [12] - Alumina segment adjusted EBITDA increased by $181 million, driven by higher alumina prices, which more than offset higher production costs [13] - Aluminum segment adjusted EBITDA decreased by $53 million due to higher alumina costs and lower metal prices [13] Market Data and Key Metrics - Alumina prices reached the highest levels since 2018, driven by supply disruptions and strong demand [20] - Global aluminum demand is at record levels, with recovery in the packaging segment in North America and Europe, while the automotive sector shows slowing growth [21] - China's inclusion of aluminum in its national emissions trading scheme is expected to increase costs for the primary aluminum industry in the future [22] Strategic Direction and Industry Competition - The acquisition of Alumina Limited has increased Alcoa's economic exposure to the aluminum market, with third-party sales exposure rising to 6 million metric tons [23][24] - The company is progressing with the approval process for new mining regions in Australia, with mining expected to commence no earlier than 2027 [28][29] - Alcoa is focusing on improving operational efficiency and competitiveness, with a target of $645 million in savings, of which $525 million has already been achieved [14][15] Management Commentary on Operating Environment and Future Outlook - The alumina market is expected to remain tight through the first half of 2025, with supply disruptions and the need for new projects in Indonesia and India to balance the market [51] - The company is optimistic about the long-term fundamentals of the aluminum market, supported by growth in key end markets and limited new supply projects globally [22][24] - Alcoa is prioritizing debt reduction and repositioning to enhance financial flexibility and shareholder value [64][65] Other Important Information - The company is working on a strategic partnership with IGNIS Group for its Spanish operations, aiming to leverage energy market expertise to improve viability [25][26] - Alcoa is targeting $70 million in savings from the Kwinana curtailment by the end of 2025, though progress has been slower than expected [15] - The company expects to achieve $100 million in productivity and competitiveness savings by the end of Q1 2025 [15] Q&A Session Summary Question: Spain Operations and Partnership with IGNIS - The partnership with IGNIS aims to combine energy market expertise with Alcoa's aluminum operations to improve the viability of the San Ciprian site [33][37] - The partnership is conditional on government and union support, including CO2 compensation and permitting for power projects [34][40] Question: Profitability Improvement Program - The company is ahead of its $645 million savings target, particularly in raw materials, with $355 million achieved and further savings expected in Q4 [44][45] - Alcoa is focusing on embedding a culture of competitiveness across its operations to sustain long-term improvements [45] Question: Alumina Market Dynamics - Alumina prices are expected to remain tight through H1 2025, with supply disruptions in Australia, Jamaica, and Guinea contributing to market tightness [50][51] - The company is monitoring the impact of high alumina prices on smelter profitability and may take action if necessary [61] Question: Capital Allocation and Shareholder Returns - Alcoa's priority for early 2025 is to reduce debt and reposition it to jurisdictions where cash is needed, with adjusted net debt at $2.2 billion [64][65] - The company is considering additional capital allocation opportunities, including shareholder returns and growth projects, as cash flow improves [91] Question: San Ciprian Timeline and Financial Commitments - The company is working to finalize the partnership with IGNIS and secure stakeholder support before the site runs out of cash, potentially by the end of 2024 or early 2025 [79][81] - Alcoa is committed to avoiding insolvency and is seeking government and union cooperation to ensure the site's viability [81] Question: WA Mine Approvals and Environmental Conditions - Alcoa is progressing with mine approvals in Western Australia, with public comment expected in early 2025 and mining anticipated to start no earlier than 2027 [86][87] - The company has already incorporated many of the environmental conditions being applied to peers, positioning it well for future approvals [88]

3 rd Quarter Earnings 1 Alcoa Corporation October 16, 2024 Cautionary Statement regarding Forward-Looking Statements This presentation contains statements that relate to future events and expectations and as such constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include those containing such words as "aims," "ambition," "anticipates," "believes," "could," "develop," "endeavors," "estimates," "expects," "forecasts," "g ...

Alcoa (AA) reported $2.9 billion in revenue for the quarter ended September 2024, representing a year-overyear increase of 11.6%. EPS of $0.57 for the same period compares to -$1.14 a year ago. The reported revenue represents a surprise of -3.03% over the Zacks Consensus Estimate of $2.99 billion. With the consensus EPS estimate being $0.23, the EPS surprise was +147.83%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine th ...

Financial Performance - Net income increased sequentially to $90 million, or $0.38 per common share, reflecting higher alumina prices and lower raw material costs[2][4] - Adjusted EBITDA excluding special items increased sequentially to $455 million, primarily due to higher alumina prices and lower raw material costs[2][5] - Net income attributable to Alcoa Corporation for the quarter ended September 30, 2024, was $90 million, compared to a net loss of $168 million in the same period last year[22] - Basic earnings per share (EPS) for the quarter ended September 30, 2024, was $0.39, compared to a loss of $0.94 in the same period last year[19] - Diluted EPS for the quarter ended September 30, 2024, was $0.38, compared to a loss of $0.94 in the same period last year[20] - For the nine months ended September 30, 2024, Alcoa reported a net loss of $142 million, an improvement from a net loss of $501 million in the same period last year[24] - Net loss attributable to Alcoa Corporation for the nine months ended September 30, 2024, was $651 million, compared to a net income of $90 million in the same period of 2023[30] - Adjusted EBITDA for Q3 2024 was $429 million, compared to $291 million in Q2 2024 and $68 million in Q3 2023[37] - Free cash flow for Q3 2024 was -$3 million, compared to $123 million in Q2 2024 and -$76 million in Q3 2023[40] Production and Shipments - Alumina production decreased 4% sequentially to 2.44 million metric tons due to the full curtailment of the Kwinana refinery[3] - Aluminum production increased 3% sequentially to 559,000 metric tons due to progress on the Alumar smelter restart[3] - The company expects 2024 Alumina segment shipments to range between 12.9 and 13.1 million metric tons, an increase of 0.2 million metric tons from prior projections[11] - Bauxite production in 3Q23 reached 10.7 million dry metric tons (mdmt), with third-party shipments at 1.9 mdmt[32] - Alumina production in 3Q23 was 2,805 thousand metric tons (kmt), with third-party shipments at 2,374 kmt[32] - Aluminum production in 3Q23 was 532 kmt, with total shipments at 630 kmt[32] Sales and Revenue - Sales for the quarter ended September 30, 2024, were $2,904 million, a slight decrease from $2,906 million in the previous quarter but an increase from $2,602 million in the same quarter last year[22] - Total sales for the nine months ended September 30, 2024, were $8,409 million, up from $7,956 million in the same period last year[24] - Third-party alumina sales in 3Q23 were $846 million, with an average realized price of $354 per metric ton[32] - Third-party aluminum sales in 3Q23 were $1,644 million, with an average realized price of $2,647 per metric ton[32] - Sales for Q3 2024 were $2.904 billion, compared to $2.906 billion in Q2 2024 and $2.602 billion in Q3 2023[46] Costs and Expenses - Cost of goods sold for the nine months ended September 30, 2024, was $7,330 million, slightly lower than $7,388 million in the same period last year[24] - Research and development expenses for the nine months ended September 30, 2024, increased to $40 million from $25 million in the same period last year[24] - Provision for depreciation, depletion, and amortization for the nine months ended September 30, 2024, was $483 million, up from $469 million in the same period last year[24] - Restructuring and other charges for the nine months ended September 30, 2024, were $250 million, compared to $195 million in the same period last year[24] - Restructuring and other charges for the quarter ended September 30, 2024, amounted to $30 million[35] - Other special items for the quarter ended September 30, 2024, included a net unfavorable change in mark-to-market energy derivative instruments of $31 million[35] Acquisitions and Divestitures - The company completed the acquisition of Alumina Limited on August 1, 2024, strengthening its market leadership[2][6] - Alcoa announced the sale of its 25.1% interest in the Ma'aden joint ventures for approximately $1.1 billion, expected to close in the first half of 2025[6] Agreements and Contracts - Alcoa secured a new 9-year power agreement with AGL Energy Limited for 287 megawatts to support operations at the Portland Aluminium Smelter starting July 1, 2026[8] - The company announced a long-term agreement to supply up to 16.5 million tonnes of smelter grade alumina to Aluminium Bahrain B.S.C. over 10 years[9] Tax and Operational Expenses - Alcoa expects fourth quarter 2024 operational tax expense to approximate $120 million to $130 million, subject to market conditions and jurisdictional profitability[12] Cash Flow and Liquidity - Cash and cash equivalents increased to $1,313 million as of September 30, 2024, up from $944 million at the end of 2023, reflecting a 39.1% increase[26] - Net cash provided from operations improved to $207 million for the nine months ended September 30, 2024, compared to a net cash used of $107 million in the same period of 2023[29] - Cash and cash equivalents and restricted cash at the end of the period stood at $1,410 million, a 36.9% increase from $1,030 million at the end of the same period in 2023[29] - Net debt as of September 30, 2024, was $1.632 billion, compared to $923 million as of December 31, 2023[42] - Adjusted net debt as of September 30, 2024, was $2.213 billion, compared to $1.580 billion as of December 31, 2023[45] Assets and Liabilities - Total current assets rose to $4,866 million, a 10.5% increase compared to $4,405 million at the end of 2023[26] - Long-term debt increased significantly to $2,469 million, up 42.5% from $1,732 million at the end of 2023[26] - Total liabilities increased to $9,292 million as of September 30, 2024, up 11.8% from $8,310 million at the end of 2023[26] - Receivables from customers increased to $862 million as of September 30, 2024, up 31.4% from $656 million at the end of 2023[26] - Total debt as of September 30, 2024, was $2.945 billion, compared to $1.867 billion as of December 31, 2023[45] - Cash and cash equivalents as of September 30, 2024, were $1.313 billion, compared to $944 million as of December 31, 2023[45] Segment Performance - Segment Adjusted EBITDA for Alumina in 3Q23 was $53 million, while Aluminum segment Adjusted EBITDA was $79 million[32] - Total Segment Adjusted EBITDA for the nine months ended September 30, 2024, was $734 million, compared to $547 million in the same period of 2023, a 34.2% increase[30] Capital Expenditures - Capital expenditures for the nine months ended September 30, 2024, were $411 million, up 19.8% from $343 million in the same period of 2023[29] - Capital expenditures for Q3 2024 were $146 million, compared to $164 million in Q2 2024 and $145 million in Q3 2023[40] Working Capital - Days working capital for Q3 2024 was 45 days, compared to 41 days in Q2 2024 and 50 days in Q3 2023[46] - DWC working capital for Q3 2024 was $1.414 billion, compared to $1.295 billion in Q2 2024 and $1.409 billion in Q3 2023[46] Adjusted Metrics - Net income attributable to Alcoa Corporation for the quarter ended September 30, 2024, was $90 million, with adjusted net income at $135 million[35] - Diluted EPS for the quarter ended September 30, 2024, was $0.38, with adjusted diluted EPS at $0.57[35]

The upcoming report from Alcoa (AA) is expected to reveal quarterly earnings of $0.21 per share, indicating an increase of 118.4% compared to the year-ago period. Analysts forecast revenues of $2.98 billion, representing an increase of 14.5% year over year.Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 12.2% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.Before a company r ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...