NewsArticles
Minimize


March 19, 2014

Aleris Reports Loss for 2013
 
Cleveland-based aluminum maker Aleris reported a net loss of $37.1 million in 2013, a sharp decline from the $107 million in income in 2012. Net revenues in 2013 declined 1.8 percent from the previous year to $4.3 billion.

In the fourth quarter, Aleris reported a net loss of $29 million, compared to a net loss of $7 million during the same period the previous year. Fourth-quarter net revenues of $1.0 billion were flat from the same quarter of 2012.

"Despite our best efforts, 2013 was a disappointing year, and we are sharply focused on improving productivity and driving better performance in 2014. We are also extremely excited about our agreement to acquire Nichols Aluminum as we believe it will enhance our ability to serve customers in North America. We look forward to transitioning the Nichols employees and operations into Aleris when the transaction clears customary regulatory approvals," said Aleris Chairman and CEO Steve Demetriou during the company's quarterly meeting with investors and analysts.

Income from the company's Rolled Products North America segment decreased from $26 million to $4 million during the fourth quarter, driven by a 6 percent decline in shipped volume due to lower demand from the transportation industry. Other factors included inventory reduction efforts, tighter scrap spreads requiring use of more primary aluminum, continued pricing pressures and higher costs. These offset the productivity savings of $4 million from the company's new Ashville, Ohio, wide coating line and other initiatives.

The company's Rolled Products Europe segment reported net income of $17 million in the fourth quarter, down slightly from 2012. Volumes were up 5 percent in Europe, with gains in automotive offsetting declines in aerospace.

Aleris' Extrusions segment posted break-even income in the fourth quarters of 2013 and 2012. Volume increased 7 percent as increased demand for automotive products offset the impact of the continued weakness in European demand for building, construction and engineered products.

Aleris estimates first-quarter 2014 segment income will be sequentially higher than the fourth quarter of 2013 but lower than the first quarter of 2013 due to the following factors: aircraft manufacturers shedding excess plate inventories; the difficult winter affecting volume and scrap availability; low LME prices pressuring scrap and metals spreads; and volatility disrupting customer order patterns. On a positive note, demand for aluminum autobody sheet is expected to grow.

"We remain diligent in executing our strategic growth initiatives, securing strong volumes from increased automotive demand through our expanded Duffel, Belgium, facility and attaining a key qualification to pave the way for the production of aircraft material at our new plate mill in Zhenjiang, China," Demetriou said.

From the Editor's Desk
Minimize
September 2014: No. 1 Ranking Has a Nice Ring to Reliance
More...
 
Pause
Business Practices and Technologies
Minimize
September 2014: 'What the Heck Do You Mean I Have to Give the Money Back!'
More...
The Cutting Edge, a service center technology supplement to Metal Center News
More...
Summer 2014
More...
 
Pause
New Products
Minimize
Trumpf Expands Range on TruMark 5000 Series
More...
Koike Aronson Debuts New Plasma Cutter
More...
Miyachi Unitek's Sigma XY
More...
New TMC is Messer's Largest Cutting Machine
More...
Laserdyne 795 XLZ Designed for 3D Parts
More...
Mazak's STX Champion Cuts Thick Sheets
More...
 
Pause
Directories
Minimize
Metal Center News 2014 Directories: Print or Digital copies are available for $85 U.S. for each copy.
 

 
2014 Metal Distribution Directory  
(Not Published on This Web site)
Metal Center News' Spring Metal Distribution Directory is your on-line guide to Metal Producers, Equipment Manufacturers and Software companies.  



 
2014 Directory of Master Distributors
(Not Published on This Web site)
The Metal Center News Directory of Master Distributors—distributors who sell to other distributors—is an invaluable tool for service centers seeking new sources for special or hard-to-find products. Master distributors play an important role in the marketplace, giving service centers an alternative to buying in mill quantities and helping to remove redundant and excess inventories from the distribution channel.



 
2014 Directory of Toll Processors
(Not Published on This Web site)
Metal Center News' annual toll processing directory is a simple-to-use resource to help companies locate service providers that can meet their specific processing needs.


Privacy Statement  |  Terms Of Use
Copyright by Metal Center News



Friday, October 31, 2014