May 27, 2015
Aleris Reports Loss in First Quarter
Aleris, Cleveland, reported a first-quarter loss of $26 million, a modest decline from the $21 million lost in the same quarter of 2014.
The aluminum rolling company reported shipments of 201,000 tons, 15.5 percent more than in first-quarter 2014. Net sales in the quarter totaled $746 million, 26.2 percent more than the same quarter last year.
"As our solid first-quarter performance demonstrates, we continue to realize the benefits of the investments we have made to capitalize on the growth in demand across a number of key industries, including global automotive and aerospace, along with our building and construction business in North America," said Steve Demetriou, Aleris chairman and CEO. "Looking ahead to the next quarter, we expect to see continued strength in these segments."
In North America, the company’s income increased to $32 million from $27 million in the same quarter the prior year. A 39 percent increase in volume during the quarter was primarily attributable to the 2014 acquisition of Nichols Aluminum.
In addition to Nichols, the company further reorganized operations during the past year with the divestiture of its recycling and extrusions businesses.
"With the recent divestitures, we have completed our transformation into a pure play global rolled products company, allowing us to further sharpen our focus on serving high-value customers. As a result of the successful ramp-up of our global automotive facility in Duffel, Belgium, the positive volume momentum of our world-class aerospace facility in Zhenjiang, China, and our automotive expansion project in Lewisport, Ky., Aleris is well-positioned to achieve long-term profitable growth," Demetriou said.