Century Aluminum Company (CENX) Q4 2024 earnings summary

Executive summary

• Achieved strong 2024 results with net sales of $2.2 billion, adjusted EBITDA of $245 million, and adjusted net income of $104 million, driven by high aluminum prices, low energy costs, and a major acquisition gain.

• Q4 2024 net sales were $631 million, with adjusted EBITDA of $82 million and adjusted net income of $46 million; results benefited from a $12 million force majeure settlement and recovery from Hurricane Beryl.

• Section 232 tariffs will increase to 25% effective March 12, 2025, supporting U.S. profitability and investment, with Midwest Premium increases expected to benefit Q2 results.

• New U.S. smelter project is advancing, with a $500 million DOE grant awarded and engineering phase completed.

• Operational improvements included record production at Sebree, Iceland billet casthouse expansion, and Jamalco's post-acquisition output highs.

Financial highlights

• Q4 net sales were $631 million, up 17% sequentially, driven by higher alumina sales, aluminum prices, and regional premiums.

• Q4 adjusted EBITDA was $82 million; full year adjusted EBITDA was $245 million, up $125 million year-over-year.

• Q4 adjusted net income was $46 million ($0.49/share); Q4 net income was $48 million; FY24 net income was $339 million (EPS $3.29).

• Liquidity at year-end was $245 million, including $33 million in cash and $212 million in credit facilities.

• Q4 global shipments were 166,677 tonnes; full year shipments totaled 677,967 tonnes.

Outlook and guidance

• Q1 2025 adjusted EBITDA is expected between $75 million and $85 million, reflecting improved pricing but higher energy and raw material costs.

• Midwest Premium increases from Section 232 tariffs will primarily benefit Q2 results due to contractual lags.

• Full-year 2025 shipments projected at 700,000 tonnes as all plants reach targeted utilization.

• Sustaining CapEx for 2025 expected at $45–$50 million, with an additional $25–$30 million for efficiency projects.

• Tax expense expected to decrease to $5 million in FY25.