Platts
Aluminum processor Constellium Q3 earnings up on 'favorable' demand
Edited by : AL CIRCLE
2 min read
Constellium reported increased earnings year on year in the third quarters of 2013 on the back of good demand from the automotive and aerospace sectors, the France-based aluminum rolled products producer said Thursday.
"Constellium's adjusted EBITDA for Q3 2013 (a seasonally low quarter) was Eur64 million ($86 million), which represented an increase of 64% from Q3 2012," the company said in a statement.
Adjusted EBITDA for January-September rose 22.1% year on year to Eur221 million.
"Our Q3 2013 performance was supported by favorable demand and improving market share in the automotive sector and also in the aerospace sector in which we have low exposure to spot market and prices," it added.
The year-on-year comparison in Constellium's adjusted EBITDA in Q3 2013 also reflects in part a weaker performance in Q3 2012 by the company's Ravenswood rolling mill in West Virginia, resulting from a halt in production due to an employee strike during negotiation of a new collective bargaining agreement.
Total shipments in Q3 2013 were 257,000 mt, up 1,000 mt, or 0.4%, from Q3 2012, which quarter was negatively affected by the strike at Ravenswood.
Shipments for the first nine months of the year stood at 791,000 mt, off 0.9% from 798,000 mt in the corresponding 2012 period.
"The increase reflects higher shipment volumes in aerospace and automotive partially offset by lower volumes in soft alloys and packaging," the company said.
Constellium's aerospace & transportation reporting segment benefited in Q3 from shipments that were deferred during Q2 2013 following annual maintenance work carried out at Ravenswood, which was partially offset by brief outages at the Issoire plant due to exceptional weather conditions and a less favorable product mix, Constellium said.
The automotive structures & industry reporting segment "continued to perform well with higher volumes from automotive, reflecting stronger demand particularly from the European and Chinese markets, being partially offset by lower soft alloys volumes," Constellium said.
In the packaging & automotive rolled products reporting segment, "the canstock market remained stable and our foilstock business performed well in Q3 2013," the company said, noting that inventory levels remain high at can manufacturers following the bad weather in Europe earlier in the year.
"Constellium's adjusted EBITDA for Q3 2013 (a seasonally low quarter) was Eur64 million ($86 million), which represented an increase of 64% from Q3 2012," the company said in a statement.
Adjusted EBITDA for January-September rose 22.1% year on year to Eur221 million.
"Our Q3 2013 performance was supported by favorable demand and improving market share in the automotive sector and also in the aerospace sector in which we have low exposure to spot market and prices," it added.
The year-on-year comparison in Constellium's adjusted EBITDA in Q3 2013 also reflects in part a weaker performance in Q3 2012 by the company's Ravenswood rolling mill in West Virginia, resulting from a halt in production due to an employee strike during negotiation of a new collective bargaining agreement.
Total shipments in Q3 2013 were 257,000 mt, up 1,000 mt, or 0.4%, from Q3 2012, which quarter was negatively affected by the strike at Ravenswood.
Shipments for the first nine months of the year stood at 791,000 mt, off 0.9% from 798,000 mt in the corresponding 2012 period.
"The increase reflects higher shipment volumes in aerospace and automotive partially offset by lower volumes in soft alloys and packaging," the company said.
Constellium's aerospace & transportation reporting segment benefited in Q3 from shipments that were deferred during Q2 2013 following annual maintenance work carried out at Ravenswood, which was partially offset by brief outages at the Issoire plant due to exceptional weather conditions and a less favorable product mix, Constellium said.
The automotive structures & industry reporting segment "continued to perform well with higher volumes from automotive, reflecting stronger demand particularly from the European and Chinese markets, being partially offset by lower soft alloys volumes," Constellium said.
In the packaging & automotive rolled products reporting segment, "the canstock market remained stable and our foilstock business performed well in Q3 2013," the company said, noting that inventory levels remain high at can manufacturers following the bad weather in Europe earlier in the year.
Previous article
AB InBev starts selling auminum bud light bottles
Next articleMidas achieves net profit of RMB16.4 million for 3Q 2013
Grow with
AL Circle
