Century Aluminum(CENX)
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Century Aluminum(CENX) - 2024 Q3 - Quarterly Results
2024-11-04 21:05
Exhibit 99.1 Century Aluminum Company Reports Third Quarter 2024 Results Chicago, November 4, 2024 (GLOBE NEWSWIRE) -- Century Aluminum Company (NASDAQ: CENX) today announced its third quarter 2024 results. Business Highlights • Net sales of $539.1 million • Realized LME aluminum price of $2,451/MT in third quarter is up $163/MT from prior quarter • Reported net income attributable to Century stockholders of $47.3 million and adjusted EBITDA attributable to Century stockholders of $103.7 million • Cash and ...
Century Aluminum Applauds Biden Administration Final Rules on 45X
GlobeNewswire News Room· 2024-10-24 20:05
CHICAGO, Oct. 24, 2024 (GLOBE NEWSWIRE) -- Century Aluminum (NASDAQ: CENX) applauds the Biden Administration’s move to finalize guidance for the Advanced Manufacturing Production Credit (section 45X of the Inflation Reduction Act), which promotes U.S. production of critical minerals, including primary aluminum. “We are pleased the final rules include certain raw materials as part of our production costs in calculating the tax credit that we, along with many other stakeholders, requested. This reinforces the ...
Century Aluminum Sets Date for Third Quarter 2024 Earnings Announcement
GlobeNewswire News Room· 2024-10-21 20:05
CHICAGO, Oct. 21, 2024 (GLOBE NEWSWIRE) -- Century Aluminum Company (NASDAQ: CENX) will report third quarter 2024 earnings on Monday, November 4, 2024, after market close. The news release will be issued through GlobeNewswire. The company will hold a follow-up conference call on Monday, November 4, 2024, at 5:00 p.m. Eastern time. The earnings call will be webcast live on the Century Aluminum Company website, located at www.centuryaluminum.com. Plan to begin the registration process at least 10 minutes befo ...
Century Announces Resumption of Normal Shipping Operations at Jamalco Refinery
GlobeNewswire News Room· 2024-09-17 11:00
CHICAGO, Sept. 17, 2024 (GLOBE NEWSWIRE) -- Century Aluminum announced today the resumption of normal shipping operations at Jamalco's Rocky Point port following the completion of Hurricane Beryl-related repairs to the port. "I want to thank our entire Jamalco team who rose to the occasion following Hurricane Beryl and successfully completed these repairs safely and with a disciplined focus on execution," said Century's President and CEO Jesse Gary. In Iceland, local geothermal energy companies issued parti ...
Century Aluminum(CENX) - 2024 Q2 - Earnings Call Transcript
2024-08-09 17:45
Financial Data and Key Metrics Changes - The company reported adjusted EBITDA of $34 million for Q2 2024, a sequential increase of $9 million driven by higher realized metal prices and regional premiums [3][13] - Net sales reached $561 million, reflecting a 15% sequential increase due to higher metal prices and regional delivery premiums [13] - Adjusted net income was $1 million or $0.01 per share, with liquidity improved to $343 million, the strongest position in nearly a decade [13][14] Business Line Data and Key Metrics Changes - Global shipments for Q2 were approximately 168,000 tons, slightly lower than the previous quarter due to typical fluctuations [13] - Realized LME prices increased to $2,288 per ton, up $98 from the prior quarter, while U.S. Midwest premium rose to $416 per ton, up $7 [14] - European delivery premium increased to $284 per ton, up $61 from the previous quarter [14] Market Data and Key Metrics Changes - Aluminum prices rose during Q2 due to stronger global demand, particularly in China, but have recently retreated due to macroeconomic concerns [4] - The alumina price index (API) rose significantly, averaging 19% higher than Q1 levels, reaching over $500 per ton in June [5] - The company noted that global trends towards electrification and lightweighting will continue to drive increased demand for aluminum [5] Company Strategy and Development Direction - The company is focused on maximizing the value of its assets, particularly in light of the strong aluminum market conditions and trade actions that favor U.S. and EU production [9] - The company is working on growth projects and expects to provide updates in future calls [12] - The management emphasized the importance of maintaining a flexible energy arrangement to adapt to market conditions [27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the aluminum market's tightness and the supportive relationship between alumina and aluminum prices, which is currently higher than historical averages [35] - The company anticipates a Q3 adjusted EBITDA in the range of $65 million to $75 million, reflecting expected increases in LME and delivery premiums [17] - Management acknowledged the impact of Hurricane Beryl but indicated that operations have returned to normal levels [11][31] Other Important Information - The company successfully lifted a 20 megawatt energy curtailment in Iceland, returning to full production by the end of Q2 [9] - Jamalco operations achieved their targeted production rate of 1.2 million tons per annum despite facing challenges from Hurricane Beryl [6][11] Q&A Session Summary Question: Perspective on power markets and interest from third parties - Management is actively monitoring power markets and exploring options to maximize the value of their power infrastructure [18][19] Question: Update on 45X guidance and new smelter development - Management is engaged with the administration regarding 45X but does not have an updated timeline [20][21] Question: Margin profile of incremental volumes from Mt. Holly restart - Management indicated that the last tons from the smelter are typically the most profitable, and they are preparing for a potential restart [22][23] Question: Situation at Jamalco and force majeure declaration - Management confirmed the declaration of force majeure due to port issues but stated that production is back to normal [25][26] Question: Broader aluminum market dynamics - Management noted the unusual high relationship between alumina and aluminum prices and expressed confidence in the sustainability of current market conditions [34][35]
Century Aluminum's (CENX) Q2 Earnings Lag, Sales Beat Estimates
ZACKS· 2024-08-09 16:47
Century Aluminum Company (CENX) recorded a second-quarter 2024 loss of 3 cents per share. This compares with the year-ago quarter's earnings of 7 cents. The Zacks Consensus Estimate for earnings was 2 cents in the quarter. Revenues and Shipments The company generated net sales of $560.8 million in the reported quarter, down around 2.6% year over year. The figure beat the Zacks Consensus Estimate of $530.9 million. Primary aluminum shipments were 167,908 tons, down around 3.3% year over year. Shipments fell ...
Century Aluminum(CENX) - 2024 Q2 - Earnings Call Presentation
2024-08-09 14:04
Century Aluminum Company 2 nd Quarter Earnings Call August 8, 2024 Cautionary Statement Certain statements in this presentation, and those made by Century Aluminum Company management on the quarterly conference call, relate to future events and expectations and are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "believe," "expect," "hope," "target," "anticipate," "intend," "plan," "seek," "estimate," "potential," "project," "scheduled," ...
Century Aluminum (CENX) Reports Q2 Loss, Tops Revenue Estimates
ZACKS· 2024-08-08 22:46
Group 1 - Century Aluminum reported a quarterly loss of $0.03 per share, missing the Zacks Consensus Estimate of $0.02, compared to earnings of $0.16 per share a year ago, representing an earnings surprise of -250% [1] - The company posted revenues of $560.8 million for the quarter ended June 2024, surpassing the Zacks Consensus Estimate by 5.63%, but down from $575.5 million year-over-year [2] - Over the last four quarters, Century has surpassed consensus EPS estimates two times and topped consensus revenue estimates two times [2] Group 2 - The stock's immediate price movement will depend on management's commentary on the earnings call and future earnings expectations [3][4] - The current consensus EPS estimate for the coming quarter is $0.26 on revenues of $552.6 million, and for the current fiscal year, it is $3.10 on revenues of $2.14 billion [7] - The estimate revisions trend for Century is currently favorable, resulting in a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Group 3 - The Metal Products - Procurement and Fabrication industry, to which Century belongs, is currently in the bottom 34% of over 250 Zacks industries, which may impact stock performance [8]
Century Aluminum(CENX) - 2024 Q2 - Quarterly Report
2024-08-08 20:15
Financial Performance - Century Aluminum Company reported net sales of $560.8 million for the three months ended June 30, 2024, an increase of $71.3 million compared to the previous quarter, primarily driven by favorable realized LME and regional price premiums of $21.8 million and alumina sales of $65.8 million [144]. - For the six months ended June 30, 2024, net sales decreased by $77.6 million compared to the same period in 2023, primarily due to unfavorable realized LME and regional price premiums of $78.3 million [144]. - The net income attributable to Century stockholders for the three months ended June 30, 2024, was a loss of $2.5 million, compared to a profit of $246.8 million in the previous quarter [141]. - Gross profit for the three months ended June 30, 2024, increased by $3.9 million to $20.4 million compared to $16.5 million for the three months ended March 31, 2024, primarily due to favorable realized LME and regional price premiums of $21.8 million [145]. - Gross profit for the six months ended June 30, 2024, decreased by $27.1 million to $36.9 million compared to $64.0 million for the six months ended June 30, 2023, driven by unfavorable realized LME and regional price premiums of $78.3 million [145]. - For the six months ended June 30, 2024, net sales were $831.3 million, with a gross profit of $50.5 million and income before income taxes of $26.1 million [171]. Costs and Expenses - The company incurred curtailment charges of approximately $1.7 million and $2.4 million for the three and six months ended June 30, 2024, respectively, related to the Hawesville facility [129]. - Selling, general and administrative expenses decreased by $1.8 million to $12.3 million for the three months ended June 30, 2024, compared to $14.1 million for the three months ended March 31, 2024 [146]. - Net loss on forward and derivative contracts was $4.0 million for the three months ended June 30, 2024, a difference of $11.4 million compared to a gain of $7.4 million for the three months ended March 31, 2024 [147]. - Income tax expense for the six months ended June 30, 2024, was $1.0 million, compared to a benefit of $10.2 million for the six months ended June 30, 2023 [152]. Assets and Liabilities - As of June 30, 2024, the company had cash and cash equivalents of approximately $41.3 million and unused availability under revolving credit facilities of $301.3 million [154]. - The company had outstanding borrowings of $130.0 million under the Casthouse Facility as of June 30, 2024 [163]. - The U.S. revolving credit facility had a borrowing availability of $162.1 million as of June 30, 2024, with no outstanding borrowings [159]. - As of June 30, 2024, the company's current assets were $393.2 million, an increase from $361.5 million on December 31, 2023, while non-current assets decreased to $634.7 million from $648.6 million [171]. - Current liabilities decreased to $224.9 million from $253.6 million, and non-current liabilities increased slightly to $503.4 million from $485.7 million [171]. Investments and Acquisitions - The acquisition of a 55% interest in Jamalco resulted in a bargain purchase gain of $245.9 million recognized in the Consolidated Statements of Operations for the six months ended June 30, 2024 [132]. - Bargain purchase gain of $245.9 million was recognized for the six months ended June 30, 2024, related to the acquisition of General Alumina Holdings Limited [150]. - The company completed the acquisition of General Alumina Holdings Limited, gaining a 55% interest in Jamalco, enhancing its operational capabilities in bauxite mining and alumina production [204]. - The company completed the acquisition of General Alumina Holdings Limited, gaining a 55% interest in the Jamalco joint venture for bauxite mining and alumina production in Jamaica [204]. Capital Expenditures and Projects - Capital expenditures for the six months ended June 30, 2024, were $17.7 million, excluding $27.8 million associated with the Grundartangi casthouse project, with total capital spending estimated to be $20 to $30 million for 2024 [185]. - The Grundartangi casthouse project was completed in Q2 2024 and is expected to begin shipping billets in the second half of 2024 [179]. - As of June 30, 2024, the company had $43.7 million remaining under its stock repurchase program, which allows for repurchases of up to $130.0 million [181]. Market Conditions and Risks - The average price for primary aluminum per tonne increased to $2,520 in June 2024 from $2,199 in March 2024, reflecting continued demand and limited supply growth [137]. - The average MWP (Midwest premium) for aluminum was $431 in June 2024, compared to $402 in March 2024, indicating a rise in regional premiums [137]. - The U.S. implemented a 10% tariff on imported primary aluminum products, which is expected to remain unchanged in the near future, according to the International Trade Commission's findings [176]. - The company is exposed to price risk for alumina, a significant component of its cost of goods sold, with costs tied to a published alumina index, affecting its cost structure due to market fluctuations [188]. - The company faces foreign currency risk due to fluctuations in the U.S. dollar against currencies such as the Icelandic krona, Euro, and Jamaican dollar, affecting operating margins [195]. Risk Management - The company manages foreign currency exposure through forward contracts and option contracts for forecasted transactions [196]. - Certain alumina contracts and a substantial portion of Grundartangi's electrical power requirements are indexed to the LME price for primary aluminum, providing a natural hedge against commodity price fluctuations [197]. - Risk management activities related to metals, power, natural gas, and foreign currency are controlled by senior management and reported to the Board of Directors [198]. - As of June 30, 2024, the fair value of commodity contracts includes an asset fair value of $5.5 million and a liability fair value of $6.7 million, with a potential adverse change of 10% impacting these values [200]. - The fair value of commodity contracts is reported at $6.7 million, with an adverse fair value of $15.5 million under a 10% price change scenario [201]. Internal Controls and Legal Matters - As of June 30, 2024, the company's management concluded that its disclosure controls and procedures were effective [203]. - There were no material changes in the company's internal control over financial reporting, except for the integration of controls specific to Jamalco [204]. - The company is involved in various legal actions, but management believes these will not materially affect its financial position or operations [206].
Century Aluminum(CENX) - 2024 Q2 - Quarterly Results
2024-08-08 20:06
Exhibit 99.1 Century Aluminum Company Reports Second Quarter 2024 Results Chicago, August 8, 2024 (GLOBE NEWSWIRE) -- Century Aluminum Company (NASDAQ: CENX) today announced its second quarter 2024 results. Business Highlights • Net sales of $560.8 million • Realized LME aluminum price of $2,288/MT in second quarter is up $98/MT from prior quarter • Reported net loss attributable to Century stockholders of $2.5 million and adjusted EBITDA attributable to Century stockholders of $34.2 million • Cash and cash ...