Kaiser Aluminum (KALU) Investor presentation summary

Investment highlights and market positioning

• Maintains a strong, diversified portfolio with leading positions in strategic North American end markets and a 100% North American production footprint.

• Market capitalization of ~$1.9B and enterprise value of ~$2.9B as of 12/31/25, with 2025 conversion revenue of ~$1.4B and an adjusted EBITDA margin of ~21%.

• Focuses on high-barrier market segments, creating defensive moats and strong customer relationships in aerospace, packaging, general engineering, and automotive.

• Differentiates through product quality, service, and proprietary offerings like KaiserSelect®, targeting demanding applications.

• Sustainability-driven products and solutions support long-term growth potential.

Financial performance and growth drivers

• Conversion revenue has grown across all major end markets, with aerospace/high strength at 32%, packaging at 37%, general engineering at 23%, and automotive extrusions at 8%.

• EBITDA margin is recovering to pre-acquisition levels, supported by market recovery, pricing, and strategic product mix shifts.

• Significant investments completed, including expansion at Trentwood and a new roll coat line at Warrick, are expected to drive further margin expansion.

• Long-term demand growth rates: aerospace/high strength (3-4%), packaging (3-5%), general engineering (2%), and automotive (5%).

• Capital spending for growth initiatives will be funded by operations and a strong balance sheet.

Capital allocation and shareholder returns

• Disciplined capital allocation: 45% organic investment, 23% inorganic growth, 18% dividends, and 14% share repurchases from 2007–2025, totaling ~$3.4B.

• Over $1 billion returned to shareholders since 2007, with $615M in dividends and $474M in share repurchases.

• Organic investments since 2007 total ~$1.52B, exceeding 1.5x depreciation, focused on both sustaining and growth capital.

• Inorganic investments target strategic fit and diversification, with notable acquisitions including Warrick for can stock and several aerospace/engineering bolt-ons.