Orange County Business Journal

Kaiser Aluminum Beats in Q1

Mediha DiMartino Wednesday, April 19, 2017

Kaiser Aluminum Corp. reported revenue and earnings for the first quarter that beat Wall Street expectations.

The Foothill Ranch-based maker of semi-fabricated aluminum products posted income of $36 million, or $2.04 per share, up from $26 million and $1.44 per share for the prior year period. Analysts expected earnings of $1.13 per share.

Net income—adjusted for “non-run-rate items” that the company said “may impact costs as result of external market factors”—was $27 million, or $1.52 per share for the quarter.

Kaiser’s sales totaled $355 million, up 4% from $343 million in the same period a year ago. The increase reflects 3% higher shipments and a 1% increase in average selling price, the company said.

Analysts expected revenue of $353.3 million.

Chief Executive Jack Hockema said Kaiser Aluminum during the first quarter returned approximately $42 million of cash to shareholders, including $9 million in dividends. Its board also recently authorized an additional $100 million for ongoing share repurchases, “reconfirming confidence in our long-term outlook for the business,” he said.

Kaiser reported results after markets closed Wednesday. Its shares are up about 9% in midday trading to a $1.5 billion market cap.

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