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Alcoa’s second-quarter profit fell on lower aluminum and alumina prices

  • July 12, 2016
  • admin

New York, July 11 (bloomberg) — Alcoa inc on Monday reported a drop in second-quarter net profit as falling aluminum and alumina prices and reduced plant operations, closures or sales hit revenue.
Alcoa reported net income of $135 million, or 9 cents a share, compared with $140 million, or 10 cents a share, a year earlier.
Analysts on average had expected earnings of 9 cents a share.
The company reported quarterly earnings per share, excluding special items, of 15 cents.
Alcoa plans to split the company in two in the second half of this year, with Alcoa keeping its traditional smelting business, while Arconic will run its value-added business, which focuses on aerospace and automobiles.
Alcoa reported quarterly revenue of $5.3 billion, compared with $5.9 billion a year earlier. Analysts had expected $5.2 billion.
Alcoa shares jumped 5 per cent in after-hours trading after the results.

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