NASDAQ$KALU

Kaiser Aluminum Corporation · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Kaiser Aluminum reported a net loss for Q4 2022, with adjusted EBITDA decreasing compared to the prior year period, impacted by higher inflationary manufacturing costs and supply chain disruptions.

Kaiser Aluminum Corporation reported a net sales of $776 million and a net loss of $26 million for the fourth quarter of 2022. The adjusted EBITDA was $30 million with a margin of 8.4%. The company faced challenges including supply chain disruptions and inflationary cost pressures.

  • Net sales decreased to $776 million compared to $806 million in the prior year period, reflecting a 9% decrease in shipments.
  • Net loss was $26 million, or $1.66 loss per diluted share, compared to net income of $2 million in the prior year period.
  • Adjusted EBITDA decreased $19 million compared to the prior year period, impacted by higher inflationary manufacturing cost.
  • Conversion revenue for the fourth quarter 2022 was $356 million.

Headline financials

Total Revenue

$776M

Previous: $806M-3.7%
EPS (adj)

-$0.45

Previous: $0.20-325.0%
Adjusted EBITDA Margin

8.4%

Previous: 14.5%-42.1%
Net Income

-$26M

Previous: $2M-1400.0%
Operating Income

-$22M

Previous: $17M-229.4%
Gross Profit

$28.5M

Previous: $44.6M-36.1%
Cash & Equivalents

$57.4M

Previous: $303M-81.1%
Total Assets

$2.29B

Previous: $2.42B-5.5%
Stock-Based Comp

$3.2M

Previous: $2.4M+33.3%

Revenue & EPS history

Kaiser Aluminum · Revenue · Quarterly

$776M

Q4 2022-3.7%vs Q4 2021
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Kaiser Aluminum · $159M total across 2 segments · Q4 2022

  • Packaging
    $134M+2.3%
  • Automotive Extrusions
    $25M+8.7%

Forward guidance

The Company anticipates total capital investments in 2023 will be in the range of $170 million to $190 million, of which approximately 60% will be focused on growth initiatives, primarily reflecting investments in the new roll coat line at the Warrick facility.

Tailwinds

  • Demand in commercial aerospace to continue to strengthen throughout 2023 towards pre-pandemic levels
  • Business jet and defense market remaining strong
  • Packaging operations will return to more normalized levels in 2023 now that the most significant supply chain issues have been resolved
  • Expects consolidated adjusted EBITDA margin to improve by approximately 200 basis points from the fourth quarter 2022 for Q1 2023
  • Capital investment plans remain focused on supporting demand growth through capacity expansion

Headwinds

  • Continuing impacts from higher metal costs and a lag in passing through certain costs
  • General Engineering demand is expected to soften for plate and rod & bar products
  • Distributors destocking inventories after taking advantage of lower metal prices in the second half of 2022
  • Automotive market is not expected to show a meaningful recovery until mid-to late 2023
  • Continued strong inflationary pressures, ongoing macroeconomic uncertainty and recessionary concerns

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 Q4 2022

Historical avgQ4 2022

-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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