Highlights
- Alcoa corporation’s total revenue for FY25 increased 8% to USD 12.83 billion, reflecting higher aluminium prices and bauxite volumes.
- Q4 2025 adjusted EBITDA increased to USD 546 million, driven by higher aluminium prices.
- FY25 net income rose sharply to USD 1.2 billion, or USD 4.42 per share.
- Alcoa expects FY2026 alumina production between 9.7–9.9 million metric tons and aluminium production of 2.4–2.6 million metric tons.
- Alcoa expects Q1 FY2026 adjusted EBITDA headwinds of USD 30 million in alumina and USD 70 million in aluminium segments due to maintenance and smelter restarts.
Alcoa Corporation CDI (ASX:AAI) has reported its Q4 and full-year 2025 results, showcasing higher aluminium prices, favourable operational output, and several key strategic initiatives. The year saw record production at multiple smelters and refineries, alongside progress on major projects and financial milestones that underpin the company’s ongoing growth strategy.
Alcoa Delivers Higher Q4 Revenue and Adjusted EBITDA on Production Boosts
In the fourth quarter FY25, Alcoa reported revenue of USD 3.4 billion, marking a 15% increase sequentially from the prior quarter. Net income attributable to the company was USD 226 million, or USD 0.85 per common share. Adjusted net income rose to USD 335 million, or USD 1.26 per share, while adjusted EBITDA excluding special items increased USD 276 million sequentially to USD 546 million.
The quarter also generated USD 537 million in cash from operations, boosting Alcoa’s cash balance to USD 1.6 billion by year-end. Key operational drivers included a 4% sequential increase in aluminium production to 604,000 metric tons, progress on the San Ciprián smelter restart in Spain, and higher alumina output at Australian refineries.
Special items impacting Q4 included a USD 144 million goodwill impairment, a USD 337 million mark-to-market loss on Ma’aden shares, and favourable tax benefits of USD 133 million related to deferred tax assets at Alcoa World Alumina Brasil Ltda (AWAB).
FY25 Revenue and Earnings Surge on Aluminium Prices and Strategic Moves
For the full year, Alcoa’s total revenue reached USD 12.8 billion, an 8% increase from FY24. Net income attributable to the company jumped to USD 1.2 billion, or USD 4.42 per share in FY25, compared with USD 60 million, or USD 0.26 per share, the previous year. Adjusted net income was USD 1.0 billion, or USD 3.77 per share, with adjusted EBITDA excluding special items rising 25% to USD 2.0 billion, driven by higher aluminium prices and bauxite volumes.
Alcoa also generated USD 1.2 billion in cash from operations, reduced total debt to USD 2.4 billion, and reported a cash balance of USD 1.6 billion and a free cash flow of USD 567 million at the year ended, FY25.
Key strategic initiatives during 2025 included the sale of interest in the Ma’aden joint venture, favourable outcomes in an Australian tax dispute, and the permanent closure of the Kwinana refinery in Australia.
Outlook and Operational Guidance
For 2026, Alcoa expects alumina production to range between 9.7 and 9.9 million metric tons and aluminium production between 2.4 and 2.6 million metric tons.
Adjusted EBITDA in the first quarter is expected to face sequential headwinds of USD 30 million in the alumina segment and USD 70 million in aluminium, mainly due to maintenance cycles, lower shipments, and the absence of Spain and Norway carbon dioxide compensation.
The company also anticipates operational tax expenses for Q1 FY2026 in the range of USD 65–75 million, subject to market conditions and jurisdictional profitability.
Alcoa Corporation has delivered a one -year returns of 51.59% as on 23 January 2026.
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