Constellium reports record adjusted EBITDA of €167 million in Q2; shipments up 4% YoY

Constellium today reported results for the second quarter ended June 30, 2019.

For the second quarter of 2019, the company reported shipments of 413 thousand tonnes, up 4% year-on-year on higher shipments in the Packaging and Automotive Rolled Products segment, partially due to the consolidation of Bowling Green. Revenue increased 4% to €1.5 billion, due to improved price and mix and the consolidation of Bowling Green, partially offset by lower metal prices.  Net income stood at €17 million.  Adjusted EBITDA rose 8% YoY to €167 million on improved results in the Aerospace and Transportation segment.

For the first half of 2019, total shipments increased 5% to 826 thousand tonnes. Revenue stood at €3.1 billion, up 7% YoY. Net income increased to €41 million. Adjusted EBITDA stood at €302 million.

Jean-Marc Germain, Constellium’s Chief Executive Officer said, “ Our Aerospace and Transportation and Packaging and Automotive Rolled Products businesses maintained their momentum from the first quarter and each reported record quarterly Adjusted EBITDA, while Automotive Structures and Industry continued to experience incremental costs from new product launches and our footprint expansion. Based on our strong Free Cash Flow performance in the first half, we furthered our deleveraging by announcing in July the redemption of €100 million of our 2021 Senior Notes.”

In Packaging and Automotive Rolled Products (P&ARP) segment, shipments increased 7% to 284 thousand tonnes in Q2. Revenue stood at €821 million. Adjusted EBITDA increased due to increased shipments and favourable metal costs, partially offset by weaker price and mix and incremental costs from maintenance and the ramp up of automotive programs.

For the first half of 2019, adjusted EBITDA came in at €138 million. Shipments were 565 thousand tonnes. Revenue stood at €1.6 billion, primarily due to the consolidation of Bowling Green, partially offset by lower metal prices.

In Aerospace and Transportation (A&T) segment, adjusted EBITDA in Q2 increased due to improved price and mix, largely on Transportation, Industry and Other rolled product shipments, and solid cost performance. Shipments declined to 63 thousand tonnes. Revenue stood at €383 million.

For the first half of 2019, adjusted EBITDA stood at €116 million. Shipments were 129 thousand tonnes. Revenue stood at €761 million, up 9% YoY.

In Automotive Structures and Industry (AS&I) segment, adjusted EBITDA in Q2 decreased due to higher costs related to new product launches and our footprint expansion. Shipments were 66 thousand tonnes. Revenue stood at €347 million, up 6%.

For the first half of 2019, adjusted EBITDA was €59 million. Shipments were 132 thousand tonnes on higher automotive extruded product shipments. Revenue stood at €691 million.