NASDAQ$KALU

Kaiser Aluminum Corporation · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Reported stable financial performance despite mixed market conditions, made progress on strategic initiatives, and delivered margin expansion plan.

Kaiser Aluminum Corporation reported a net sales increase to $748 million, a net income of $12 million, and an adjusted EBITDA of $50 million for Q3 2024. The company is optimistic about the coming year and their ability to continue to advance their strategic plan.

  • Net sales reached $748 million; conversion revenue was $362 million.
  • Net income was $12 million, with net income per diluted share at $0.74.
  • Adjusted net income was $8 million, with adjusted net income per diluted share at $0.51.
  • Adjusted EBITDA was $50 million with an adjusted EBITDA margin of 13.9%, inclusive of a $4 million GAAP LIFO charge.

Headline financials

Total Revenue

$748M

Previous: $744M+0.6%
EPS

$0.74

Previous: $0.46+60.9%
Conversion Revenue

$362M

No prior period
Adjusted EBITDA

$46M

Previous: $48M-4.2%
Adjusted EBITDA Margin

12.7%

Previous: 13.3%-4.5%
Shipments (lbs)

292.0M

No prior period
Realized Price per Pound (Net Sales)

$2.56

No prior period
Realized Price per Pound (Conversion Revenue)

$1.24

No prior period
Free Cash Flow

$12M

Previous: $5.4M+122.2%
Net Income

$12M

Previous: $5.4M+122.2%
Operating Income

$17.4M

Previous: $19.1M-8.9%
Gross Profit

$75.9M

Previous: $78.4M-3.2%
Cash & Equivalents

$45.7M

Previous: $44.6M+2.5%
Total Assets

$2.31B

Previous: $2.27B+1.9%
Stock-Based Comp

$3.6M

Previous: $3.9M-7.7%

Revenue & EPS history

Kaiser Aluminum · Revenue · Quarterly

$748M

Q3 2024+0.6%vs Q3 2023
Beat estimate in 7 of 15 quarters(47%)
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 expects demand to be consistent with its previous expectations for the balance of 2024. For the full year 2024, the Company continues to expect overall conversion revenue to remain stable with growth up to 1% compared to 2023. Adjusted EBITDA margin, less the full year impact from GAAP LIFO charges, is expected to improve 50 to 100 basis points compared to 2023.

Tailwinds

  • Industry momentum and performance improvements at the Company’s Warrick facility are expected to continue as it nears the completion of its fourth coating line investment, which will drive margin improvement starting in 2025.
  • In general engineering, destocking within the Company’s long products has concluded with shipment levels now in better alignment with end market demand.
  • In automotive extrusions, the Company is maintaining a positive outlook as production for light and heavy truck and sport utility vehicle platforms has outpaced broader automotive production rates.
  • Company continues to expect overall conversion revenue to remain stable with growth up to 1% compared to 2023.
  • Adjusted EBITDA margin, less the full year impact from GAAP LIFO charges, is expected to improve 50 to 100 basis points compared to 2023.

Headwinds

  • In aerospace/high strength applications, the Company remains cautious on its near-term outlook due to the timing of certain customer commercial and labor negotiations which may have a short-term impact on demand 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 2024

Historical avgQ3 2024

-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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