Aerospace demand helps Kaiser

Aerospace and automotive demand helped boost Kaiser Aluminum Corporation’s net income to $27M for the full year 2011 compared to $14M for the full year 2010.

It expects this demand to remain robust both in 2012 and in the longer term, said its president Jack Hockema.

Its revenue of $644M was an increase of $88M or 16% from the previous year, reflecting strong demand for aerospace and automotive applications and a strong performance from the acquired Alexco and Nichols Wire businesses.

Mr Hockema said he was very positive about long-term growth prospects for aerospace and high strength applications driven by increasing build rates, larger airframes and monolithic design.

He said: “We also anticipate further solid growth for our automotive applications as light vehicle build rates and aluminum extrusion content per vehicle both continue to increase. Demand for our general engineering applications reflects an ongoing, slow but steady economic recovery.”

Mr Hockema said the company had continued to invest and had commenced capacity expansions for its aerospace extruded products and heat treat plate that will come on stream later this year and in 2013.

He added: “We also have made good progress in the ramp up of our Kalamazoo rod and bar facility. Although the ramp up has been slower than anticipated, as a low cost producer for these products the Kalamazoo facility is expected to fully achieve its investment potential over the longer-term.”