NASDAQ$KALU

Kaiser Aluminum Corporation · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Reported mixed results due to strong end market demand offset by supply chain disruptions, labor constraints, and inflationary cost pressures.

Kaiser Aluminum reported a net loss of $2 million for Q3 2021, impacted by supply chain issues and rising costs, despite strong end market demand. Adjusted net income was $9 million, and adjusted EBITDA was $50 million.

  • Net Sales $751 Million; Value Added Revenue $305 Million
  • Net Loss $2 Million; Net Loss per Diluted Share $0.14
  • Adjusted Net Income $9 Million; Adjusted Earnings per Diluted Share $0.57
  • Adjusted EBITDA $50 Million; Adjusted EBITDA Margin 16.5%

Headline financials

Total Revenue

$751M

Previous: $256M+193.5%
EPS (adj)

$0.57

Previous: $0.33+72.7%
Adjusted EBITDA

$50M

No prior period
Adjusted EBITDA Margin

16.5%

Previous: 19.6%-15.8%
Free Cash Flow

-$2.3M

Previous: $400K-675.0%
Net Income

-$2.3M

Previous: $400K-675.0%
Operating Income

$19.8M

Previous: $12.3M+61.0%
Gross Profit

$72.8M

Previous: $47.3M+53.9%
Cash & Equivalents

$296M

Previous: $750M-60.6%
Total Assets

$2.44B

Previous: $1.85B+32.0%
Stock-Based Comp

$3.5M

Previous: $2.7M+29.6%

Revenue & EPS history

Kaiser Aluminum · Revenue · Quarterly

$751M

Q3 2021+193.5%vs Q3 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Kaiser Aluminum · $21M total across 1 segment · Q3 2021

  • Automotive Extrusions
    $21M-12.5%

Forward guidance

Value added revenue for the fourth quarter 2021 is anticipated to be up low single digits from the third quarter with adjusted EBITDA margin to remain similar to the third quarter. While our end market demand remains positive, we anticipate cost issues and supply chain disruptions will continue during the quarter.

Tailwinds

  • End market demand remains positive.
  • Warrick packaging facility investment is proceeding as planned and will provide additional capacity by early 2024.
  • Strategy remains unchanged and well positioned for continued long-term growth.
  • Fundamentals of aerospace, automotive and general engineering end markets are solid.
  • Optimistic in ability to deliver significant margin expansion and long-term profitability for packaging business.

Headwinds

  • Cost issues and supply chain disruptions will continue during the quarter.
  • Industry wide disruptions in the magnesium and silicon markets and resulting supply demand imbalances are continuing to evolve and remain uncertain at this time.
  • Semiconductor chip shortages have significantly impacted North American light vehicle production, further delaying the anticipated recovery of our automotive business.
  • Continued constraints on labor availability reduced the efficiency in our facilities and shipments.
  • Rapidly rising material and inflationary costs reduced the efficiency in our facilities and shipments.

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 Q3 2021

Historical avgQ3 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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