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Century Aluminum (CENX) Q3 Loss Wider than Expectations
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Century Aluminum (CENX - Free Report) posted a net loss of $58.3 million (or 67 cents per share) in third-quarter 2016. In the year ago quarter, it had posted a loss of $56.1 million (or 65 cents per share).
Barring one-time items, Century Aluminum’s adjusted net loss was 31 cents per share in the reported quarter, significantly wider than the Zacks Consensus Estimate of a loss of a penny.
Revenues and Shipments
The company logged revenues of $333.7 million in the reported quarter, down around 26.6% year over year. However, sales beat the Zacks Consensus Estimate of $318 million. Shipments of primary aluminum in the quarter were 182,429 tons, down roughly 21% from 231,040 tons shipped a year ago.
Financials
Century Aluminum ended the quarter with cash and cash equivalents of around $117.6 million, down roughly 4.4% year over year. Net cash provided by operating activities was $15.6 million for the nine-month period ended Sep 30, 2016, down 52% year over year.
Market Sentiment
The company's President and CEO Michael Bless stated that commodity prices have stabilized and regional delivery premiums have gained strength. While demand has been relatively good, supply, excluding China, remains constrained. However, the growing level of imports from China has been negatively affecting value-added product premiums.
Natural gas prices are expected to remain high on expectations of a cold winter. Alumina prices in the quarter were pressured, probably due to excess production in China, which is expected to subside over the next few months. The company believes the market is still adversely affected by the large amount of overcapacity and overproduction in China.
Century Aluminum currently carries a Zacks Rank #3 (Hold).
Some better-ranked companies in the basic materials sector include Worthington Industries, Inc. (WOR - Free Report) , NN Inc. and CIRCOR International, Inc.
Worthington Industries, sporting a Zacks Rank #1 (Strong Buy), has seen its earnings estimates for the current quarter move north in the last 30 days.
Circor International, a Zacks Rank #2 (Buy) stock, posted a positive earnings surprise of 10.42% in its last reported quarter.
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Century Aluminum (CENX) Q3 Loss Wider than Expectations
Century Aluminum (CENX - Free Report) posted a net loss of $58.3 million (or 67 cents per share) in third-quarter 2016. In the year ago quarter, it had posted a loss of $56.1 million (or 65 cents per share).
Barring one-time items, Century Aluminum’s adjusted net loss was 31 cents per share in the reported quarter, significantly wider than the Zacks Consensus Estimate of a loss of a penny.
Revenues and Shipments
The company logged revenues of $333.7 million in the reported quarter, down around 26.6% year over year. However, sales beat the Zacks Consensus Estimate of $318 million. Shipments of primary aluminum in the quarter were 182,429 tons, down roughly 21% from 231,040 tons shipped a year ago.
Financials
Century Aluminum ended the quarter with cash and cash equivalents of around $117.6 million, down roughly 4.4% year over year. Net cash provided by operating activities was $15.6 million for the nine-month period ended Sep 30, 2016, down 52% year over year.
Market Sentiment
The company's President and CEO Michael Bless stated that commodity prices have stabilized and regional delivery premiums have gained strength. While demand has been relatively good, supply, excluding China, remains constrained. However, the growing level of imports from China has been negatively affecting value-added product premiums.
Natural gas prices are expected to remain high on expectations of a cold winter. Alumina prices in the quarter were pressured, probably due to excess production in China, which is expected to subside over the next few months. The company believes the market is still adversely affected by the large amount of overcapacity and overproduction in China.
CENTURY ALUM CO Price, Consensus and EPS Surprise
CENTURY ALUM CO Price, Consensus and EPS Surprise | CENTURY ALUM CO Quote
Zacks Rank
Century Aluminum currently carries a Zacks Rank #3 (Hold).
Some better-ranked companies in the basic materials sector include Worthington Industries, Inc. (WOR - Free Report) , NN Inc. and CIRCOR International, Inc.
Worthington Industries, sporting a Zacks Rank #1 (Strong Buy), has seen its earnings estimates for the current quarter move north in the last 30 days.
NN Inc., with an expected long-term growth of 20.00%, sports a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
Circor International, a Zacks Rank #2 (Buy) stock, posted a positive earnings surprise of 10.42% in its last reported quarter.
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>