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29 APRIL 2022 AL CIRCLE

Century Aluminum reports hike in shipments by 5% and improved net sales to $753.6 million for 1Q2022

EDITED BY : DEBANJALI SENGUPTA 2MINS READ

Century Aluminum Company, a US-based primary aluminium producer, has announced its first quarter 2022 operation and financial results, revealing that shipments in the same period ended March 31 increased by 5 per cent quarter-on-quarter from 200,961 tonnes to 211,411 tonnes, bolstered by the resumption of a project at Mt. Holly.

Century Aluminum reports hike in shipments by 5% and improved net sales to $753.6 million

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Backed on the rise in shipments, net sales in 1Q2022 improved 14 per cent sequentially from US$659.1 million to US$753.6 million. But net income recorded a decrease of US$42.7 million from US$60.4 million to US$17.7 million. First quarter results were negatively impacted by US$42.3 million of net exceptional items, in particular US$39 million of unrealised losses on derivative instruments and US$3.3 million in share-based compensation costs.

However, adjusted net income was reported higher at US$60.7 million for 1Q2022 compared to US$up by US$43.50 million sequentially from US$17.2 million. Adjusted EBITDA grew by US$23.3 million Q-o-Q from US$82.2 million to US$105.5 million in the March quarter of 2022, primarily driven by higher primary aluminium benchmark prices and volume, but partially offset by increased raw material costs.

Century’s liquidity position at the end of March quarter was US$154.3 million, an increase of US$54.8 million from the prior quarter.

Global Aluminium Industry Outlook 2022

President and Chief Executive Officer Jesse Gary commented: “We are pleased to report these excellent results for the first quarter. Our investments towards restarting production at Hawesville and Mt. Holly, combined with the hard work of our employees, have put us in a great position to benefit from the market conditions that we are experiencing today. Demand remains strong in our core markets in the U.S. and Europe and inventories have been drawn down to post-financial crisis lows. While we continue to see inflationary pressure in energy markets and other key raw materials, our focus on cost discipline and execution leaves us well situated to benefit from historically high aluminum prices.”


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EDITED BY : DEBANJALI SENGUPTA 2MINS READ

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