Kaiser Aluminum(KALU) - 2024 Q4 - Annual Results

Financial Performance - Fourth quarter 2024 net sales increased to $765 million, up from $722 million in the prior year, driven by a 3% increase in shipments[9] - Full year 2024 net sales decreased to $3.0 billion compared to $3.1 billion in the prior year, primarily due to lower shipments[12] - Fourth quarter 2024 adjusted EBITDA was $50 million, a decrease of $2 million compared to the prior year, with an adjusted EBITDA margin of 14.0%[11] - Full year 2024 adjusted EBITDA increased to $217 million, up $7 million from the prior year, with an adjusted EBITDA margin of 14.9%[16] - Fourth quarter 2024 net income was $7 million, or $0.43 per diluted share, compared to $8 million and $0.47 per diluted share in the prior year[10] - Full year 2024 adjusted net income was $41 million, or $2.51 per diluted share, down from $44 million and $2.74 per diluted share in the prior year[13] - Net income for the year ended December 31, 2024, was $46.8 million, a decrease of 0.8% compared to $47.2 million in 2023[29] - The company reported a diluted net income per share of $2.87 for the year 2024, compared to $2.92 in 2023[36] Operational Highlights - The new roll coat line in packaging operations is being commissioned, with customer qualifications underway[3] - The Phase VII expansion at the Trentwood rolling mill is expected to be completed in the second half of 2025, ahead of projected demand increases[3] Liquidity and Cash Flow - As of December 31, 2024, the company had total liquidity of $572 million, including cash and cash equivalents of $18 million and borrowing availability of $553 million[18] - Total cash provided by operating activities for the year 2024 was $167.1 million, down from $211.9 million in 2023[31] - Cash and cash equivalents decreased significantly to $18.4 million as of December 31, 2024, from $82.4 million in 2023[34] Balance Sheet - Current assets decreased to $976.4 million as of December 31, 2024, from $990.2 million in 2023[34] - Total liabilities increased to $1,646.9 million as of December 31, 2024, compared to $1,615.2 million in 2023[34] Future Outlook - The company expects consolidated conversion revenue to increase by 5% to 10% in 2025, with adjusted EBITDA margin improving by 50 to 100 basis points compared to 2024[20] Restructuring Costs - The company incurred restructuring costs of $7.6 million for the year ended December 31, 2024, compared to $5.0 million in 2023[29]