Aug. 30, 2017
Aleris Reports $2.5 Million Loss
Aleris Corp., Cleveland, reported a net loss of $2.5 million for the second quarter, compared with a net loss of $13 million for the same quarter of 2016. Revenue for the quarter totaled $776.2 million, a 10.1 percent increase from the year-ago period.
According to Aleris, second-quarter results were affected by improved operating performance and a favorable mix of products sold; favorable metal spreads resulting from increased aluminum prices and improved scrap availability; and improved rolling margins, among other factors.
Capital expenditures for the quarter were $55 million, the majority of which went towards the North America autobody sheet project at Aleris’ Lewisport, Ky., facility and related upgrades to critical equipment and capabilities at the facility.
The company added that the project is on schedule and expects autobody sheet shipments to commence later this year.
“I am very pleased with our global team's focus and execution during the quarter, delivering much stronger operating performance while also making substantial progress on our Lewisport automotive expansion,” Aleris Chairman and CEO Sean Stack said. “As we expect to conclude the project later this year and begin shipping product, we will have strategically repositioned our business, enabling Aleris to focus on higher growth and a much higher value-added mix."
Income from Aleris’ North America segment increased year over year to $31.1 million, Europe segment income decreased to $35.3 million and Asia Pacific income grew to $4.3 million. The company shipped a total of 219,800 metric tons of finished products in the second quarter, compared with 221,100 tons a year ago.