NASDAQ$KALU

Kaiser Aluminum Corporation · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Reported solid first quarter results with improvement in served end markets and successfully completed the acquisition of Alcoa Warrick LLC.

Kaiser Aluminum Corporation reported first quarter 2021 results with net sales of $324 million and net income of $5 million, or $0.28 per diluted share. Adjusted net income was $10 million, or $0.64 per diluted share. The company successfully completed the acquisition of Alcoa Warrick LLC, adding the packaging end market to its portfolio.

  • Net sales reached $324 million, with value added revenue at $172 million.
  • Net income was $5 million, with net income per diluted share at $0.28.
  • Adjusted EBITDA was $38 million, with an adjusted EBITDA margin of 21.8%.
  • Successfully completed the $670 million acquisition of Alcoa Warrick LLC.

Headline financials

Total Revenue

$324M

Previous: $369M-12.3%
EPS (adj)

$0.64

Previous: $1.90-66.3%
Adjusted EBITDA

$38M

No prior period
Adjusted EBITDA Margin

21.8%

Previous: 27.4%-20.4%
Shipments (lbs)

137.0M

No prior period
Free Cash Flow

$4.5M

Previous: $29.1M-84.5%
Net Income

$4.5M

Previous: $29.1M-84.5%
Operating Income

$16.9M

Previous: $45.6M-62.9%
Gross Profit

$61.5M

Previous: $82.7M-25.6%
Cash & Equivalents

$128M

Previous: $307M-58.3%
Total Assets

$2.15B

Previous: $1.55B+38.6%
Stock-Based Comp

$3.1M

Previous: $1.7M+82.4%

Revenue & EPS history

Kaiser Aluminum · Revenue · Quarterly

$324M

Q1 2021-12.3%vs Q1 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Kaiser Aluminum · $146M total across 2 segments · Q3 2023

  • Packaging
    $118M-19.7%
  • Automotive Extrusions
    $28M+7.7%

Forward guidance

The company updated the full year outlook for 2021 to reflect approximately $375 million to $400 million of additional value added revenue for the remainder of the year and reiterate expectation of an adjusted EBITDA margin comparable to 2020.

Tailwinds

  • Aerospace/high strength demand to continue improving through the balance of the year driven by growth in defense related programs and business jet production.
  • Demand for automotive applications remains robust with multiple new programs successfully launched and underway.
  • Strength in demand for general engineering applications continues to reflect strong underlying demand driven by growth in semiconductor and automotive applications, strong service center demand, and restocking in the supply chain.
  • The outlook for aluminum packaging is very promising with favorable demand and industry dynamics.
  • North American can demand was up 5% year-over-year in 2020 and projected to increase an additional 3% to 5% in 2021 and beyond.

Headwinds

  • Demand for products related to large commercial airframe production appears to have stabilized with continued recovery through 2023-2024.
  • Experienced slight delays in some automotive programs mainly due to the semiconductor chip shortage anticipated to continue through the first half of 2021.
  • If the shortage is not recoverable in the second half 2021, automotive value added revenue for the year could be slightly lower than previously anticipated.
  • Capacity for beverage and food can stock has shifted from aluminum packaging into other end markets including automotive and other industrial applications
  • The market is uncertain.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

-0.4%

Avg return

Earnings day

-0.3%

Avg return

5 days after

-1.2%

Avg return

30 days after

46%

32 / 69 earnings

Positive

+19.4%

Q3 2025

Best reaction

-19.7%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.1%+6.0%+7.6%
Q4 2025-9.0%-7.8%-23.2%
Q3 2025+19.4%+20.1%+17.8%
Q2 2025-0.3%-1.2%+1.3%
Q1 2025+5.9%+9.7%+18.6%
Q4 2024+4.9%-0.7%-7.1%
Q3 2024-5.9%+6.3%+14.1%
Q2 2024-19.7%-21.3%-23.6%
Q1 2024-1.3%+6.2%+6.8%
Q4 2023+7.4%+9.6%+23.4%
Q3 2023-10.0%-12.1%-7.2%
Q2 2023+5.2%-0.2%-8.4%
Q1 2023+12.1%+10.9%+10.6%
Q4 2022-7.4%-10.3%-17.3%
Q3 2022+10.2%+11.8%+28.8%
Q2 2022+2.9%+6.0%+8.7%
Q1 2022-1.7%-8.8%-5.5%
Q4 2021-7.2%-5.7%-5.8%
Q3 2021-9.1%-13.0%-10.3%
Q2 2021-2.4%+6.2%+6.7%
Q1 2021+0.5%+5.3%+8.1%
Q4 2020-1.3%+1.5%-5.0%
Q3 2020-0.1%-2.7%+16.7%
Q2 2020-4.4%-5.7%-9.9%
Q1 2020-3.4%-5.2%-11.9%
Q4 2019+3.2%+0.2%-46.7%
Q3 2019+2.2%+10.2%+8.8%
Q2 2019+0.2%+1.2%-9.6%
Q1 2019-6.0%-7.2%-13.6%
Q4 2018+2.6%+4.6%-3.5%
Q3 2018-9.6%-7.1%-9.5%
Q2 2018+3.6%+2.6%+0.2%
Q1 2018+0.4%-1.4%+8.7%
Q4 2017-2.0%-0.5%-5.6%
Q3 2017-3.3%-3.9%-8.0%
Q2 2017+3.2%+5.1%+1.8%
Q1 2017+5.9%+6.1%+2.2%
Q4 2016+0.3%-6.4%-1.3%
Q3 2016-12.5%-12.2%+0.7%
Q2 2016-5.8%-7.3%-5.7%
Q1 2016+0.8%
Q4 2015+0.1%
Q3 2015-0.1%
Q2 2015+4.8%
Q1 2015-0.4%
Q4 2014-0.7%
Q3 2014-4.8%
Q2 2014+2.0%
Q1 2014-3.1%
Q4 2013-0.7%
Q3 2013-7.3%
Q2 2013+0.5%
Q1 2013+7.0%
Q4 2012-4.6%
Q3 2012+3.1%
Q2 2012+9.1%
Q1 2012+6.2%
Q4 2008-1.9%
Q4 2011-1.9%
Q3 2011+9.0%
Q2 2011-0.6%
Q1 2010-0.1%
Q1 2011-0.3%
Q4 2010-9.4%
Q3 2010-2.2%
Q3 2009-2.2%
Q2 2010+0.5%
Q2 2009+0.5%
Q4 2009+0.5%

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