Page last updated at 21:26 GMT, Monday, 12 April 2010 22:26 UK

Alcoa sees first-quarter loss narrow

Alcoa's headquarters in Pittsburgh
Alcoa's results mark the unofficial start to the US earnings season

US aluminium-maker Alcoa has seen its first-quarter loss narrow as revenue rose and metal prices increased.

The firm reported a net loss of $201m (£130m) for the three months to March, compared with a $497m loss a year ago.

Aluminium is selling at an 18-month high of more than $2,400 per tonne, having gained some 3.3% in the quarter.

But the company faced one-off charges of $295m, largely as a result of closing two plants and tax impacts from federal healthcare reforms.

Revenue in the quarter rose 18% to $4.89bn from a year earlier.

Alcoa is traditionally the first company in the Dow Jones industrial average to report quarterly earnings.

'Messy' charges

Although the price of aluminium has been increasing during the past year, it is still well below its record high of $3,380 per tonne, reached in July 2008.

After reaching that peak though, the price slumped as the global economy went into recession and demand for aluminium dropped.

Brian Hicks from US Global Investors said restructuring charges made the first quarter "a little bit messy" for the company.

"This seems like it's been an ongoing exercise for Alcoa, with restructuring and special one-time charges," he said.

But he went on: "On a brighter note perhaps, they were able to contain costs this quarter."



Print Sponsor


SEE ALSO
Alcoa announces surprise profit
07 Oct 09 |  Business
More losses are reported by Alcoa
08 Jul 09 |  Business

RELATED INTERNET LINKS
The BBC is not responsible for the content of external internet sites

FROM OTHER NEWS SITES
TheStar.com.my US stocks end higher on expectations for Intel - 9 hrs ago
CTV.ca Weak Alcoa earnings, oil prices push TSX down - 12 hrs ago
Houston Chronicle Stocks end higher on hopes for good Intel results - 13 hrs ago
Telegraph Miners take fright at Alcoa loss and China lending curbs - 15 hrs ago
Spectator FTSE ended slightly lower, pulled down by weak miners - 18 hrs ago


FEATURES, VIEWS, ANALYSIS
Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit

BBC navigation

BBC © 2014 The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Americas Africa Europe Middle East South Asia Asia Pacific