Alcoa (AA) Investor presentation summary

Strategic priorities and operational focus

• Emphasis on safety, operational excellence, and stakeholder engagement, with improved safety performance and strong 1Q25 financial and production results.

• Focus on modernizing business systems, improving Brazil operations, and embedding a high-performance culture.

• Capital allocation targets include deleveraging, portfolio improvements, and investing in breakthrough technologies.

• Completed $1B debt offering in Australia and formed a joint venture at San Ciprián, resuming smelter production.

Financial performance and capital structure

• 1Q25 net income rose to $548M, with adjusted EBITDA up to $855M and adjusted EPS at $2.15.

• Return on equity reached 39.1%, the highest since 1Q22; cash balance at $1.2B and adjusted net debt at $2.1B.

• Free cash flow plus net noncontrolling interest contributions was $9M in 1Q25.

• Capital allocation framework targets $1.0B–$1.5B adjusted net debt, with a focus on maintaining a strong balance sheet and returning cash to stockholders.

Market dynamics and product positioning

• Alumina prices returned to historical averages, with over 80% of Chinese refineries unprofitable at current prices.

• Aluminum prices responded to new tariffs; 1Q25 order book remained resilient, supported by China stimulus and European spending.

• Canada remains the most strategic supplier of primary aluminum to the U.S., despite new 25% tariffs.

• Value-add aluminum products and low-carbon, recycled-content offerings (Sustana line) position the company as a sustainability leader.