Alcoa Posts Record Revenue as Aluminum Shipments Rebound
Adjusted earnings climbed to $2.12 a share from $1.40 in the prior quarter.
Alcoa Corporation (AA), the aluminum producer, posted record quarterly revenue as higher metal prices, rebounding shipments and restarted capacity lifted second-quarter results.
Revenue reached $3.966 billion, up 24% from the prior quarter and 31% from a year earlier, reversing the first quarter’s 7% sequential decline. Adjusted net income rose 51% sequentially to $562 million and exceeded five times the year-earlier result.
GAAP net income attributable to Alcoa slipped 4% from the prior quarter to $407 million, or $1.53 a share, but increased from $164 million, or $0.62 a share, a year earlier. Special items shifted to a $155 million charge from a $52 million benefit, largely because of losses tied to Ma’aden shares and energy contracts.
Adjusted EBITDA excluding special items increased 51% sequentially to $901 million and nearly tripled from a year earlier. The margin widened to about 22.7% from 18.6% in the first quarter, driven mainly by higher aluminum prices and shipments.
The Aluminum segment supplied the momentum, with third-party revenue rising 31% sequentially as shipments rebounded 18% and production increased 5% to 636,000 metric tons. Alcoa completed the San Ciprián restart and advanced or finished restarts at Alumar, Lista and Portland. Alumina revenue fell 3%, while production declined for a second consecutive quarter as instability at Pinjarra was compounded by cyclone-related gas disruptions.
Stronger shipments also flowed through to cash generation. Cash provided by operations swung to $608 million from cash usage of $179 million in the prior quarter, while free cash flow improved to $422 million from negative $298 million.
Alcoa now expects 2026 alumina production of 9.5 million to 9.6 million metric tons and shipments of 11.5 million to 11.6 million tons, lowering both ranges because of the Pinjarra disruptions. It maintained its Aluminum segment forecasts and expects Pinjarra stabilization and lower energy prices to provide an approximately $10 million sequential benefit to third-quarter Alumina adjusted EBITDA.
The company agreed to acquire South32’s bauxite, alumina and aluminum interests for about $4.1 billion upfront, plus a contingent payment of as much as $750 million. Based on 2025 figures, the assets would add roughly 45% to pro forma EBITDA and expand Alcoa’s alumina and aluminum production.