Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

Financial Data and Key Metrics Changes - The company reported a 23% EBITDA margin in Q3 2025, with over 20% year-to-date, and raised its full-year EBITDA outlook by 10% [4][20] - Reported operating income for Q3 was $49 million, an increase of approximately $36 million from $13 million in the prior year quarter [9] - Adjusted net income for Q3 2025 was $31 million, or $1.86 per diluted share, compared to $5 million, or $0.31 per diluted share in the prior year [12] Business Line Data and Key Metrics Changes - Aerospace and high-strength conversion revenue totaled $100 million, down $28 million, or approximately 22%, primarily due to a 30% decline in shipments [7][8] - Packaging conversion revenue totaled $138 million, up $9 million, or approximately 7% year-over-year, despite a 5% decline in shipments [8] - General engineering conversion revenue for Q3 was $81 million, up $5 million, or 6% year-over-year, on a 7% increase in shipments [8] Market Data and Key Metrics Changes - Demand in aerospace is trending positively, with expectations for improved conditions as destocking eases [6] - Packaging supply remains tight, with strong demand expected to continue [6] - Automotive conversion revenue increased 10% year-over-year, despite a 5% decrease in shipments due to tariff-related uncertainties [9] Company Strategy and Development Direction - The company is focusing on managing costs and restoring operating efficiencies as it nears the end of its major investment cycle [6] - Investments in aerospace and packaging are central to the company's strategy, with a shift towards higher-margin coated products [5][16] - The company aims to achieve mid to high 20% EBITDA margins as investments come online and market demand improves [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of aerospace shipments and conversion revenue, expecting a return to first-half levels in Q4 [25] - The company anticipates strong demand in packaging, with a full ramp-up of the new coating line expected by late Q4 2025 [16] - General engineering is expected to see continued growth, with full-year shipments and conversion revenue projected to be up approximately 5%-10% year-over-year [19] Other Important Information - The company incurred approximately $20 million in startup costs related to key strategic investments during the quarter [4] - As of September 30, 2025, the company had $577 million in total liquidity, with a net debt leverage ratio improved to 3.6x from 4.3x at the end of 2024 [13][14] Q&A Session Summary Question: Impact of aerospace shipment decline - Management confirmed that the 30% decline in aerospace shipments was primarily due to planned maintenance and expects a recovery to first-half levels in Q4 [25][26] Question: Packaging contract negotiations - Management indicated progress in contract negotiations, expecting a 300-400 basis points increase in EBITDA margins and finalization of a major customer contract by year-end [27][28] Question: Impact of tariffs on business - Management stated that tariffs have had a neutral to slightly positive impact, with better demand for domestic products and opportunities for price enhancement in general engineering [36][37] Question: Capacity and demand in packaging - Management noted strong demand for aluminum substrate products, particularly in food-related packaging, and confirmed that they are not seeing reductions in contracted capacities [38] Question: Ramp-up of new facilities in 2026 - Management expects a gradual ramp-up of new facilities in 2026, with strong demand anticipated to support operational execution [42][43]

Financial Data and Key Metrics Changes - The company reported a third-quarter conversion revenue of $351 million, a decline of approximately $11 million, or 3%, compared to the prior year period [7] - Adjusted EBITDA for the third quarter was $81 million, up approximately $35 million from the prior year period, despite an 8% year-over-year reduction in shipments [12][13] - Reported net income for the third quarter was $40 million, or $2.38 net income per diluted share, compared to net income of $9 million, or $0.54 net income per diluted share in the prior year quarter [12] Business Line Data and Key Metrics Changes - Aerospace and high-strength conversion revenue totaled $100 million, down $28 million, or approximately 22%, primarily due to a 30% decline in shipments [8] - Packaging conversion revenue totaled $138 million, up $9 million, or approximately 7% year-over-year, with shipments declining 5% over the prior year period [8] - General engineering conversion revenue for the third quarter was $81 million, up $5 million, or 6% year-over-year, on a 7% increase in shipments [8] Market Data and Key Metrics Changes - Demand in aerospace is trending positively, with expectations for improved conditions as destocking eases [6] - Packaging supply remains tight, with strong demand expected to continue for the foreseeable future [6] - Automotive conversion revenue was $32 million, increased 10% year-over-year, despite a 5% decrease in shipments due to tariff-related customer uncertainty [9] Company Strategy and Development Direction - The company is focused on managing costs, restoring operating efficiencies, and regaining best-in-class operating metrics as it nears the end of its major investment cycle [6] - The strategic investments in aerospace and packaging are expected to strengthen the company's market position and support long-term growth [5][15] - The company anticipates a shift towards higher-margin coated packaging products, with a full ramp-up of the Warwick fourth coating line expected by late fourth quarter of 2025 [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of aerospace shipments and conversion revenue, expecting a decline of approximately 10% year-over-year for full-year aerospace due to destocking [16] - The outlook for packaging remains strong, with expectations for conversion revenue to be up 12% to 15% year-over-year [17] - The automotive outlook remains stable, with full-year conversion revenue expected to increase approximately 3% to 5% year-over-year [19] Other Important Information - The company incurred approximately $20 million in startup costs tied to strategic investments, which are expected to taper off as operations stabilize [4][13] - As of September 30, 2025, the company had $577 million in total liquidity, with a net debt leverage ratio improved to 3.6 times from 4.3 times at the end of 2024 [14] Q&A Session Summary Question: On the aerospace and high-strength, shipments down 30% quarter on quarter - Management confirmed that the decline was primarily due to planned maintenance and expects a recovery back to first half levels in Q4, with more clarity on 2026 expected in February [24][25] Question: On packaging, where do the last renegotiations stand? - Management indicated progress in contract negotiations, expecting a 300 to 400 basis points increase on the EBITDA margin side, with finalization of a major customer contract anticipated before year-end [27][28] Question: How are customers responding to tariffs? - Management stated that the impact of tariffs has been neutral to slightly positive, with better demand for domestic products and opportunities for price enhancement in the general engineering segment [35][36] Question: How do you think about the cadence of the ramp-up of new facilities in 2026? - Management expects a gradual ramp-up in the first half of 2026, with stronger demand anticipated in the second half as major growth investments come online [42][43]

Financial Data and Key Metrics Changes - The company reported a third-quarter EBITDA margin of 23%, with over 20% year-to-date, and raised its full-year EBITDA outlook by 10% [2][4][19] - Reported operating income for Q3 was $49 million, an increase of approximately $36 million from $13 million in the prior year quarter [9][10] - Adjusted net income for Q3 was $31 million, or $1.86 per diluted share, compared to $5 million, or $0.31 per diluted share in the prior year [11][12] Business Line Data and Key Metrics Changes - Aerospace and high-strength conversion revenue totaled $100 million, down $28 million, or approximately 22%, primarily due to a 30% decline in shipments [7][8] - Packaging conversion revenue totaled $138 million, up $9 million, or approximately 7% year-over-year, despite a 5% decline in shipments [8][9] - General engineering conversion revenue for Q3 was $81 million, up $5 million, or 6% year-over-year, on a 7% increase in shipments [8][9] Market Data and Key Metrics Changes - Demand in aerospace is trending positively, with expectations for improved conditions as destocking eases [6][14] - Packaging supply remains tight, with strong demand expected to continue [6][14] - Automotive conversion revenue increased 10% year-over-year, despite a 5% decrease in shipments due to tariff-related uncertainties [9][10] Company Strategy and Development Direction - The company is focused on managing costs, restoring operating efficiencies, and regaining best-in-class operating metrics [6][14] - Major investments in aerospace and packaging are expected to strengthen the company's market position [5][14] - The strategy includes shifting the majority of output to higher-margin coated products at the Warwick mill [5][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of aerospace shipments and conversion revenue, expecting a return to first-half levels in Q4 [22][23] - The outlook for packaging remains strong, with expectations for conversion revenue to increase by 12% to 15% year-over-year [15][16] - General engineering is expected to see continued growth, with shipments and conversion revenue anticipated to be up approximately 5% to 10% year-over-year [17][18] Other Important Information - The company had $577 million in total liquidity as of September 30, 2025, with a net debt leverage ratio improved to 3.6 times [12][13] - Capital expenditures for the full year 2025 are expected to be approximately $130 million, with free cash flow anticipated to be in the range of $30 to $50 million [12][13] Q&A Session Summary Question: Impact of planned maintenance on aerospace shipments - Management confirmed that the 30% decline in aerospace shipments was primarily due to planned maintenance, with expectations for recovery in Q4 [22][23] Question: Status of packaging contract negotiations - Management indicated progress in contract negotiations, expecting a 300 to 400 basis points increase in EBITDA margins [25][26] Question: Impact of tariffs on customer pricing and market share - Management stated that the impact of tariffs has been neutral to slightly positive, with better demand for domestic products [32][33] Question: Demand for packaging products amid cost inflation - Management noted strong demand for aluminum substrate products, particularly in food-related markets, which has held up well [37][38] Question: Ramp-up of new facilities in 2026 - Management indicated a gradual ramp-up of new facilities, with expectations for strong demand and operational readiness [39][40]

Financial Data and Key Metrics Changes - The company reported a third quarter conversion revenue of $351 million, a decline of approximately $11 million or 3% compared to the prior year period [12] - Reported operating income for the third quarter was $49 million, an increase of approximately $36 million from $13 million in the prior year quarter [15] - Adjusted net income for the third quarter was $31 million or $1.86 per diluted share, compared to adjusted net income of $5 million or $0.31 per diluted share in the prior year period [17] - Adjusted EBITDA for the third quarter was $81 million, up approximately $35 million from the prior year period [18] - The net debt leverage ratio improved to 3.6x from 4.3x at the end of 2024 [19] Business Line Data and Key Metrics Changes - Aerospace and high strength conversion revenue totaled $100 million, down $28 million or approximately 22% due to a 30% decline in shipments [12][13] - Packaging conversion revenue totaled $138 million, up $9 million or approximately 7% year over year [13] - General engineering conversion revenue for the third quarter was $81 million, up $5 million or 6% year over year [14] - Automotive conversion revenue of $32 million increased 10% year over year despite a 5% decrease in shipments [14] Market Data and Key Metrics Changes - Demand in aerospace is trending positively, with expectations for improved conditions as destocking eases [10][21] - Packaging supply remains tight with strong demand expected to continue [10] - General engineering continues to outperform the traditional 2% CAGR, reflecting solid demand [11] - Automotive production forecasts have varied, but the company expects stability moving forward [25] Company Strategy and Development Direction - The company is focused on managing costs, restoring operating efficiencies, and regaining best-in-class operating metrics [11] - Major investments in aerospace and packaging are central to the company's strategy, with a shift towards higher-margin coated products [9][22] - The company anticipates a full ramp-up of the new coating line to support 2026 shipments [9][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of aerospace demand and the normalization of supply chains [20][21] - The company expects full year aerospace shipments and conversion revenue to be down approximately 10% year over year due to destocking [21] - For packaging, conversion revenue is expected to be up 12% to 15% year over year, with shipments declining about 3% [22] - General engineering is expected to see shipments and conversion revenue up approximately 5% to 10% year over year [24] Other Important Information - The company generated cash flow from operations of $59 million during the third quarter, with capital expenditures totaling $25 million [19] - The company remains committed to funding its quarterly dividend of $0.77 per share [19] Q&A Session Summary Question: Impact of planned maintenance on aerospace shipments - Management confirmed that the planned maintenance significantly impacted shipments, but they expect a recovery close to first half levels in Q4 [28][30] Question: Status of packaging contract negotiations - Management indicated progress in contract negotiations, expecting a 300 to 400 basis points increase in EBITDA margins [33][34] Question: Impact of tariffs on pricing and market share - Management stated that tariffs have had a neutral to slightly positive impact, with better demand for domestic products [44][45] Question: Demand for packaging products amid cost inflation - Management noted strong demand for aluminum substrate products, particularly in food-related markets, which have outpaced beverage demand [48][49] Question: Capacity to fill in for competitors' outages - Management indicated that they are currently at full capacity and not positioned to assist significantly in the market for bare products [52] Question: Ramp-up of new facilities in 2026 - Management expects a gradual ramp-up in the first half of 2026, with stronger demand anticipated in the second half [56]

Financial Performance - The company's 3Q 2025 EBITDA reached $81 million, resulting in an EBITDA margin of 23.2%[18] - The company anticipates a 20% to 25% year-over-year increase in 2025 EBITDA[18] - The net debt leverage ratio improved to 3.6x [18] - The company expects FY 2025 Free Cash Flow to be in the range of $30 to $50 million [50] End Market Analysis - Aero/HS shipments decreased by 30% in 3Q25 compared to 3Q24 [23] - Aero/HS conversion revenue decreased by 22% in 3Q25 compared to 3Q24 [26] - Packaging shipments increased by 7% in 3Q25 compared to 3Q24 [23] - Packaging conversion revenue increased by 7% in 3Q25 compared to 3Q24 [26] - General Engineering conversion revenue increased by 6% in 3Q25 compared to 3Q24 [26] - Automotive conversion revenue increased by 10% in 3Q25 compared to 3Q24 [26] Outlook and Strategy - The company expects Aero/HS shipments and conversion revenue to decline approximately 10% year-over-year [48] - The company anticipates Packaging conversion revenue to increase by 12% to 15% year-over-year [48] - The company expects General Engineering shipments and conversion revenue to increase by 5% to 10% year-over-year [49] - The company anticipates Automotive conversion revenue to increase by 3% to 5% year-over-year, with a 5% to 7% decrease in shipments [49]

Core Insights - Alcoa reported $3 billion in revenue for Q3 2025, a 3.1% year-over-year increase, but an EPS of -$0.02 compared to $0.57 a year ago, indicating a significant decline in profitability [1] - The revenue fell short of the Zacks Consensus Estimate of $3.02 billion, resulting in a surprise of -0.96%, while the EPS exceeded expectations by 86.67% against a consensus estimate of -$0.15 [1] Financial Performance Metrics - Average realized price per metric ton of alumina was $377.00, slightly above the estimated $376.78, while aluminum was $3,374.00, exceeding the estimate of $3,340.11 [4] - Third-party alumina shipments were 2,205.00 Kmt, surpassing the estimate of 2,194.51 Kmt, but aluminum shipments were 612.00 Kmt, below the estimate of 627.41 Kmt [4] - Total sales for aluminum reached $2.05 billion, below the estimate of $2.11 billion, but represented a year-over-year increase of 13.2% [4] - Third-party sales for bauxite were $113 million, below the estimate of $138.59 million, but showed a year-over-year increase of 21.5% [4] - Total third-party sales amounted to $2.99 billion, below the estimate of $3.06 billion, reflecting a 3.3% year-over-year increase [4] - Intersegment sales for alumina were $474 million, exceeding the estimate of $451.6 million, but showed a year-over-year decline of 16.1% [4] - Total sales for alumina were $1.43 billion, slightly above the estimate of $1.4 billion, but represented a year-over-year decrease of 14% [4] Stock Performance - Alcoa's shares have returned +18.1% over the past month, significantly outperforming the Zacks S&P 500 composite's +1.1% change [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

Financial Data and Key Metrics Changes - Revenue decreased 1% sequentially to $3 billion [11] - Net income attributable to Alcoa increased to $232 million from $164 million in the prior quarter, with earnings per share rising to $0.88 [11] - Adjusted EBITDA was $270 million, reflecting a sequential decrease of $43 million primarily due to increased U.S. Section 232 tariff costs and unfavorable currency impacts [12][13] - Cash flow activities showed a cash balance of $1.5 billion at the end of the quarter, with cash used for operations at $85 million [14] Business Line Data and Key Metrics Changes - In the alumina segment, third-party revenue decreased 9% due to lower volumes and bauxite prices [11] - In the aluminum segment, third-party revenue increased 4% driven by higher average realized prices, despite lower shipments [11] - Adjusted EBITDA for the alumina segment decreased by $72 million, while the aluminum segment saw an increase of $210 million due to higher metal prices [12][13] Market Data and Key Metrics Changes - Alumina prices have declined significantly, with recent prices around $315 per metric ton due to ample supply and refinery expansions [18] - LME aluminum prices rose approximately 7% sequentially, reaching $2,775 per metric ton, influenced by a weaker U.S. dollar and persistent supply tightness [20] - The Midwest premium increased, reaching import parity, reflecting declining inventories and reduced aluminum imports [20] Company Strategy and Development Direction - The company is focused on increasing profitability through higher shipments, improved operations, and strategic investments such as the Massena energy contract [10] - A new long-term energy contract for Massena operations was announced, along with a $60 million investment in anode bake furnace [8] - The company is exploring M&A opportunities across its product line, with no specific focus area currently identified [30] Management's Comments on Operating Environment and Future Outlook - Management emphasized the importance of safety following a tragic incident at the Alumar smelter, reinforcing safety protocols [5] - The outlook for the fourth quarter includes expectations for improved performance in the alumina segment and potential unfavorable impacts in the aluminum segment due to restart inefficiencies [16] - Management noted that while demand remains steady in packaging and electrical sectors, the automotive sector is weak due to tariff uncertainties [21] Other Important Information - The company is progressing with the development of a gallium plant in Australia, supported by funding from the U.S. and Australian governments [7] - The Kwinana Refinery's permanent closure resulted in significant restructuring charges, but the company anticipates recovering closure costs through land sales [12][98] Q&A Session Summary Question: Capital allocation and M&A opportunities - Management indicated a priority to pay down debt while evaluating returns to shareholders and potential growth options [29][30] Question: U.S.-Australia Alcoa partnership - The partnership was initiated with Japanese entities seeking gallium offtake, providing a supply chain outside of China [34] Question: Canadian-U.S. negotiations regarding aluminum tariffs - Management is providing information to both governments to aid in decision-making regarding trade flows [41] Question: Interest in rolling business - Management confirmed no interest in re-entering the rolling business [57] Question: Gallium project economics and impact on mining permits - The gallium project will not impact ongoing mining permit processes, and the economics are still under negotiation [52] Question: Demand profile and market conditions - Management noted that demand remains stable in certain sectors, with automotive demand being weak, but not indicative of demand destruction [105]

Financial Data and Key Metrics Changes - Revenue decreased 1% sequentially to $3 billion, with net income attributable to Alcoa increasing to $232 million from $164 million in the prior quarter, resulting in earnings per share of $0.88 [10][11] - Adjusted EBITDA was $270 million, reflecting a sequential decrease of $43 million primarily due to increased U.S. Section 232 tariff costs and lower alumina prices [11][12] - The year-to-date return on equity was 14.5%, with cash flow activities showing $1.5 billion in cash at the end of the quarter [13][14] Business Line Data and Key Metrics Changes - In the alumina segment, third-party revenue decreased 9% due to lower volumes and bauxite prices, while the aluminum segment saw a 4% increase in revenue driven by higher average realized prices [10][12] - Adjusted EBITDA for the alumina segment decreased by $72 million, while the aluminum segment's adjusted EBITDA increased by $210 million due to higher metal prices and lower alumina costs [11][12] Market Data and Key Metrics Changes - Alumina prices have declined significantly, with recent prices around $315 per metric ton, while LME prices for aluminum rose approximately 7% sequentially to $2,775 per metric ton [17][18] - The Midwest premium has increased, reaching import parity, which reflects declining inventories and reduced aluminum imports [18][19] Company Strategy and Development Direction - The company is focused on safety, operational stability, and strategic investments, including a new long-term energy contract for Massena operations and a $60 million investment in anode bake furnace [7][9] - Alcoa is also developing a gallium plant in Australia, supported by U.S. and Australian governments, which will enhance its role in the critical minerals supply chain [6][29] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of safety following a workplace fatality and emphasized the commitment to improving operational performance and profitability [4][9] - The outlook for the fourth quarter includes expectations for higher shipments and improved performance in the alumina segment, while anticipating increased tariff costs [15][16] Other Important Information - The company announced the permanent closure of the Kwinana Refinery, which will impact asset retirement obligations and restructuring charges [11][14] - The approvals process for Australian mining operations is progressing, with expectations for ministerial approvals by the end of 2026 [8][9] Q&A Session Summary Question: Capital allocation and M&A opportunities - Management indicated a priority to pay down debt while evaluating returns to shareholders and potential M&A opportunities across the product line [23][25][27] Question: U.S.-Australia Alcoa partnership - The partnership was initiated with Japanese entities and aims to establish a gallium supply chain outside of China, with first production targeted by the end of 2026 [29][30] Question: Canadian-U.S. negotiations regarding tariffs - Management is providing information to both governments to facilitate understanding of trade flows, emphasizing the U.S. aluminum supply shortage [34][58] Question: Demand dynamics in the U.S. market - Management noted steady demand in packaging and electrical sectors, with weakness in automotive attributed to tariff uncertainties and potential substitution by electric vehicles [80] Question: Updates on aluminum safeguards in Europe - Management mentioned that the next significant regulations in Europe will be CBAM, expected to positively impact Alcoa by raising European premiums [82]

Financial Data and Key Metrics Changes - Revenue decreased 1% sequentially to $3 billion, with the Alumina segment seeing a 9% decrease in third-party revenue due to lower volumes and bauxite prices [16] - Net income attributable to Alcoa was $232 million, up from $164 million in the prior quarter, with earnings per share increasing to $0.88 [17] - Adjusted EBITDA was $270 million, reflecting a sequential decrease of $43 million primarily due to increased U.S. Section 232 tariff costs [18][19] - Year-to-date return on equity was 14.5%, and cash flow activities included a tax refund of $69 million from the Australian Tax Office [21][22] Business Line Data and Key Metrics Changes - In the Alumina segment, third-party revenue decreased 9% due to lower volumes and prices, while the Aluminum segment saw a 4% increase in revenue driven by higher average realized prices [16] - Adjusted EBITDA for the Alumina segment decreased by $72 million, while the Aluminum segment's adjusted EBITDA increased by $210 million due to higher metal prices and lower alumina costs [19] Market Data and Key Metrics Changes - Alumina prices have declined significantly, with recent prices around $315 per metric ton due to ample spot availability and refinery expansions in Indonesia and China [26] - LME prices rose approximately 7% sequentially, recently reaching $2,775 per metric ton, reflecting a combination of factors including a weaker U.S. dollar and persistent supply tightness [29] - The Midwest premium increased during the third quarter, reaching import parity, which reflects declining inventories and reduced aluminum imports [30] Company Strategy and Development Direction - The company is focused on increasing profitability through higher shipments, improved operations, and key investments such as the Messina Energy contract and anode bake furnace [14] - A new long-term energy contract for Messina operations was announced, along with a $60 million investment in the anode bake furnace to enhance operational efficiency [12] - The company is evaluating M&A opportunities across the product line but does not have a specific focus at this time [41] Management's Comments on Operating Environment and Future Outlook - Management emphasized the importance of safety following a workplace fatality and reiterated their commitment to providing a safe working environment [5][6] - The outlook for the Alumina segment is expected to improve by approximately $80 million in 2025, while the Aluminum segment anticipates unfavorable impacts of about $20 million due to restart inefficiencies [23][24] - Management noted that demand remains steady across Europe and North America, with healthy growth in packaging and electrical sectors, while the automotive sector is weak [31][32] Other Important Information - The company announced a partnership with the U.S. and Australian governments to develop a gallium plant at the Wagerup alumina refinery, which is expected to provide strategic benefits [10][11] - The Kwinana refinery's permanent closure resulted in significant asset retirement obligations, impacting the financial results [8][17] Q&A Session Summary Question: Capital allocation and M&A opportunities - Management indicated that they are close to their net debt target and will prioritize debt repayment while evaluating returns to shareholders and growth options [40][41] Question: U.S.-Australia Alcoa partnership - The partnership was initiated with Japanese entities and aims to establish a gallium supply chain outside of China, with first production expected by 2026 [45][48] Question: Canadian negotiations and domestic capacity expansion - Management is providing information to both U.S. and Canadian governments regarding trade flows and noted that competitive energy prices for long-term contracts in the U.S. are still lacking [54][55] Question: Gallium project economics and mining permitting - The gallium project is not a large investment and will be financed by several governments, with no impact on the ongoing mining permitting process [66][67] Question: Interest in idled assets and data centers - Management confirmed ongoing interest in data centers and AI centers, with significant efforts to market sites with existing electrical infrastructure [120] Question: Demand profile and market conditions - Management does not see significant demand destruction but noted weakness in the automotive sector, attributing it to potential substitution by electric vehicles from China [122]