Kaiser Aluminum reports Q4 EPS $1.77, consensus $1.54
Reports Q4 revenue $389M, consensus $389.95M. "Kaiser delivered excellent results in 2018, consistent with the outlook communicated at the beginning of the year and despite persistent headwinds from aerospace supply chain destocking, high contained metal and freight costs and Section 232 tariffs," said Jack A. Hockema, Chairman and Chief Executive Officer."For the full year 2018 we achieved record shipments, up 4% year-over-year, and value added revenue, up 5%, driven by strong demand. Record commercial airframe builds drove underlying demand growth, and aerospace supply chain destocking began moderating in the second half 2018, further enhancing demand growth. Aluminum extrusion content continued to increase on solid North American automotive builds, and demand for general engineering and industrial products remained strong throughout the year with normal second half seasonal weakness. Adjusted EBITDA improved $6 million year-over-year as sales volume and mix provided a $21 million benefit partially offset by an $11 million adverse pricing impact due to unrecovered high contained metal and freight costs and $3 million of Section 232 tariffs," said Mr. Hockema.