Alcoa reported a solid first quarter with improved profitability driven by higher aluminum prices, despite a sequential decrease in revenue due to shipment timing impacts and external factors. The company is managing geopolitical and weather-related disruptions effectively while continuing strategic initiatives like smelter restarts and debt redemption.
Net income attributable to Alcoa Corporation increased to $425 million, or $1.60 per share, up from $213 million, or $0.80 per share in Q4 2025.
positiveAdjusted EBITDA excluding special items increased to $595 million, a sequential increase of $68 million, primarily due to higher aluminum prices.
positiveCompleted the San Ciprián smelter restart safely in April 2026, demonstrating operational excellence.
positiveIssued notice to redeem the remaining $219 million of outstanding 6.125% Senior Notes due 2028, demonstrating disciplined capital allocation.
positiveTotal third-party revenue of $3.2 billion decreased 7 percent sequentially from $3.4 billion in Q4 2025.
negativeAlumina segment third-party revenue decreased 33 percent sequentially due to lower shipments, volumes, and price from bauxite offtake and supply agreements, and a decrease in average realized third-party price of alumina.
negativeCash used for operations was $179 million in Q1 2026, a significant decrease from cash provided from operations of $537 million in Q4 2025.
negativeFree cash flow was negative $298 million in Q1 2026, a substantial decline from positive $294 million in Q4 2025.
negativeDays working capital increased to 48 days from 35 days sequentially, primarily due to an increase in inventory days and accounts receivable days.
attentionAlumina production decreased 5 percent sequentially to 2.355 million metric tons primarily related to lower production at Australian refineries due to seasonal maintenance.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Alumina | N/A | — | — | — |
Aluminum | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
Our experienced team performed very well managing the impacts from the Middle East conflict and Cyclone Narelle.
We delivered a solid quarter excluding shipment timing impacts, which we expect to realize in the second quarter of 2026.
Continued disciplined capital allocation; issued notice to redeem in May 2026 the remaining $219 million of outstanding 6.125% Senior Notes due 2028.
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Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.