Constellium(CSTM) GlobeNewswire News Room·2024-10-23 10:00Financial Performance - Shipments in Q3 2024 were 352 thousand metric tons, down 5% compared to Q3 2023 [3] - Revenue in Q3 2024 was €1.6 billion, down 5% compared to Q3 2023 [3] - Net income in Q3 2024 was €3 million, compared to €64 million in Q3 2023 [3] - Adjusted EBITDA in Q3 2024 was €110 million, down from €141 million in Q3 2023 [3] - Free Cash Flow in Q3 2024 was negative €10 million, impacted by €6 million due to the flood in Valais [3] - For the first nine months of 2024, shipments were 1.1 million metric tons, down 4% compared to the same period in 2023 [3] - Revenue for the first nine months of 2024 was €5.2 billion, down 8% compared to the same period in 2023 [3] - Net income for the first nine months of 2024 was €91 million, compared to €118 million in the same period in 2023 [3] - Adjusted EBITDA for the first nine months of 2024 was €461 million, down from €470 million in the same period in 2023 [3] Segment Performance - Packaging & Automotive Rolled Products (P&ARP) segment reported Adjusted EBITDA of €61 million in Q3 2024, down 9% compared to Q3 2023 [9] - Aerospace & Transportation (A&T) segment reported Adjusted EBITDA of €47 million in Q3 2024, down 41% compared to Q3 2023 [12] - Automotive Structures & Industry (AS&I) segment reported Adjusted EBITDA of €10 million in Q3 2024, down 61% compared to Q3 2023 [13] - For the first nine months of 2024, P&ARP segment Adjusted EBITDA was €168 million, down 17% compared to the same period in 2023 [10] - A&T segment Adjusted EBITDA for the first nine months of 2024 was €210 million, down 15% compared to the same period in 2023 [13] - AS&I segment Adjusted EBITDA for the first nine months of 2024 was €75 million, down 31% compared to the same period in 2023 [14] Market Conditions - Packaging demand remained healthy during Q3 2024, while aerospace demand slowed due to supply chain challenges [3] - Automotive demand softened in North America and weakened further in Europe during Q3 2024 [3] - Industrial markets in North America experienced a sharp decline in demand, with further weakness in Europe [3] - The company expects Adjusted EBITDA for 2024 to be in the range of €580 million to €600 million, excluding the impact of the flood in Valais [24] Operational Challenges - The flood in Valais, Switzerland, negatively impacted Adjusted EBITDA by €17 million in Q3 2024 and Free Cash Flow by €6 million [3] - The company expects the total impact of the flood in 2024 to be €30 million to €40 million on Adjusted EBITDA and €60 million to €70 million on Free Cash Flow [23] - Operations in Valais are partially resumed, with full operations expected by the end of November 2024 [22] Share Repurchases and Debt - The company repurchased 1.2 million shares for 60.4 million in the first nine months of 2024 [3] - Leverage stood at 2.8x at the end of Q3 2024 [3] - The company issued $350 million of 6.375% Senior Notes due 2032 and €300 million of 5.375% Senior Notes due 2032 in Q3 2024 [20] Non-GAAP Measures - The company revised its definition of consolidated Adjusted EBITDA to no longer exclude the non-cash impact of metal price lag [2] - Metal price lag had a negative impact of €3 million in Q3 2024 and a positive impact of €26 million in the first nine months of 2024 [3] - Free Cash Flow for the first nine months of 2024 was €57 million, down from €112 million in the same period in 2023 [19]