The continuous innovation in downstream aluminium processing technologies enhances product quality, efficiency, and versatility. Countries investing in research and development within this sector gain a competitive edge in international trade by offering high-quality products with improved characteristics. Nations like China, Germany, South Korea, Japan, Italy, Mexico, and many others with a robust downstream aluminium industry can export value-added products, contributing positively to their trade balance. Conversely, countries heavily reliant on importing downstream aluminium products may need a competitive domestic industry to avoid trade deficits. The most recent industry report from AL Circle, titled "Global Aluminium Industry Outlook 2024" mini version," provides comprehensive coverage of the entire aluminium downstream segment, including recycling. The report unveils the projection of aluminium usage within the sector, segmented and region-wise. Here are the top news for the week from the aluminium downstream sector:
Kaiser Aluminium Corporation, an American aluminium producer specialising in semi-fabricated products, has announced its fourth quarter and full-year results for FY2023, whereby it has declared a stellar performance under the leadership of CEO Keith Harvey and CFO Neil West. The company’s financial results showcase the resilience and strategic insight that propelled an improvement even amid inflation and market destocking. In the fourth quarter, which ended December 31, 2023, Kaiser Aluminium yielded net sales of $722 million and revenue of $361 million.
The global leader in developing, manufacturing, and recycling aluminium products and solutions, Constellium, on February 21, 2024, reported results for the fourth quarter and full year ended December 31, 2023. The Company announces a three-year share repurchase program of up to $300 million, expiring in December 2026. 2023 was another year of challenges, including significant inflationary pressures and demand headwinds in several end markets. Despite these challenges, the company achieved a record Adjusted EBITDA of €713 million, including record results in its A&T segment. The company also generated a strong Free Cash Flow of €170 million and reduced our leverage to 2.3x.
Australia's largest extruder and distributor of industry-leading aluminium products, Capral, achieved full-year underlying earnings in 2023 that matched the previous year's record, surpassing guidance expectations. This accomplishment was propelled by the company's diversified industry presence and robust sales performance, particularly notable in the residential, commercial, and industrial sectors during the year's first half. Capral exhibited resilience in its financial performance despite facing challenges such as higher interest rates and ongoing inflationary pressures, as Managing Director Tony Dragicevich stated. The company reported underlying earnings before tax, depreciation, and amortization (EBITDA) of $62.5 million for the year, a slight increase from the previous year's $62.2 million.
In 2023, Lizhong Group achieved significant financial milestones, with a total revenue of RMB 2,367.9 million, marking a notable increase of 10.80 per cent over the previous year. The net profit attributable to shareholders of listed companies, excluding equity incentive expenses, stood at RMB 710.45 million, reflecting a robust growth of 15.63 per cent Y-o-Y. Furthermore, the net profit attributable to listed shareholders soared to RMB 602.48 million, a remarkable surge of 22.35 per cent over the same period last year.
To know more: https://www.alcircle.com/news/lizhong-group-s-2023-net-profit-soars-by-22-35-y-o-y-setting-new-records-108011
The biggest company in the Austrian aluminium industry sector, AMAG Austria Metall AG, demonstrated remarkable business performance in 2023, despite a challenging economic climate. The company achieved a revenue of EUR 1,459.2 million and an impressive EBITDA of EUR 188.4 million, marking the second-highest level in its history. Net income after taxes stood at a solid EUR 66.4 million, while cash flow from operating activities experienced a substantial surge, soaring by 110% to EUR 180.9 million.
Senior, the renowned technology components manufacturer, clinched two pivotal contracts with Airbus SAS and Airbus Atlantic, reinforcing its stature as a reliable partner for major original equipment manufacturers. Senior proudly announced a multi-year contract extension with Airbus, focusing on the production and supply of intricate aircraft components integral to the Airbus A320 and A330 aircraft programs. This encompasses aluminium parts and assemblies intricately woven into the fabric of these cutting-edge aircraft.
To know more: https://www.alcircle.com/news/senior-secures-double-contracts-with-airbus-for-high-quality-aluminium-parts-107997
PA Resources, an aluminium extruder, has announced its acquisition of two industrial lands in Kuala Selangor. The purpose behind this acquisition, totalling RM21 million, is to construct a new factory, thereby expanding its production capacity. Malaysia-based PA Resources is an aluminium extruder engaged in fabrication and related services. According to a filing submitted to Bursa Malaysia on Monday, PA Resources disclosed that its wholly-owned subsidiary, PA Extrusion (M) Sdn Bhd, has finalised two sales and purchase agreements with Niken Steel (M) Sdn Bhd. These agreements entail the acquisition of two vacant leasehold plots spanning a combined area of 72,840 square feet.
Novelis Inc., headquartered in Atlanta and a subsidiary of Hindalco Industries, has taken a significant step towards an initial public offering (IPO) by submitting a draft registration statement on Form F-1 to the Securities and Exchange Commission (SEC). This confidential submission pertains to the common shares, which are anticipated to be offered by AV Minerals (Netherlands) N.V., the sole shareholder of Novelis and another subsidiary of Hindalco Industries Limited.
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