Alcoa Q1 EPS $1.61 Beats Estimates, Revenue Misses by $90M
Alcoa posted Q1 EPS of $1.61, topping estimates by $0.08, but revenue of $3.19 billion missed by $90 million, driving shares lower. The company forecasts a $15 million Iran-related earnings hit and, despite a 1.48 current ratio and low debt, CEO forecasts a stronger second quarter.
1. Q1 Financial Performance
Alcoa delivered Q1 EPS of $1.61, surpassing consensus by $0.08, driven by rising aluminum prices, but revenue of $3.19 billion fell $90 million short due to lower shipment volumes, resulting in net income of $425 million.
2. Outlook and CEO Commentary
Management projects a $15 million adverse impact on adjusted earnings from the Iran conflict, and the CEO is expecting stronger second-quarter performance based on improving market conditions.
3. Balance Sheet Strength
The company retains a 1.48 current ratio and a low debt-to-equity ratio, underscoring its capacity to cover short-term obligations and maintain financial flexibility.