Century Aluminum’s net sales in Q2 recorded over 14% rise as robust LME prices offset lower shipments

Century Aluminum Company, a US-based producer of primary aluminium, announced its second quarter 2024 results, revealing net sales of $560.8 million, up 14.57 per cent sequentially from $489.5 million, despite lower shipments. The higher average aluminium price, ranging above US$2,500 per tonne in May, primarily buoyed the sales figure.

Century's adjusted EBITDA during the second quarter was recorded at $34.2 million, a sequential increase of $9.2 million, driven by favourable global aluminium prices on LME and regional price premiums of $21.8 million, offsetting lower volume of shipments.

Century's gross profit in the June quarter was $20.4 million, up 23.64 per cent from $16.5 million in the March quarter. Operating income also increased sequentially from $1.9 million to $6.4 million.

Century's liquidity position, including cash and cash equivalents was $41.3 million and $301.3 million, respectively.

Century President and CEO Jesse Gary said: "Strong operating performance drove improved financial results in the second quarter and leave us well-positioned to benefit from higher aluminum prices in the third quarter and beyond. Recently announced trade-enforcement actions in the US and EU continue to show the value of Century's production assets in North America and Europe, with direct access to these markets and the ability to offer short, secure supply chains to our valuable customers."

Shipments in Q2

Century's aluminium shipments in the second quarter of 2024 totalled 167,908 tonnes, down by 6,719 tonnes from 174,627 tonnes in Q1 2024. To the United States, the company shipped 93,805 tonnes of primary aluminium, generating sales of $266.5 million, as against 97,602 tonnes of shipment and $258.1 million sales in Q1.

The shipment volume to Iceland also decreased from 77,025 tonnes in Q1 to 74,103 tonnes in Q2, and sales dwindled to $185.8 million from $189.5 million.