Leading aluminium recycler Novelis shipped 797,000mt aluminum flat-rolled products (FRP) in December quarter, flat from 800,000mt in the prior year.
Novellis FRP shipments by region (mt)
In Q3, Novelis posted net income of $107mn, up by 37pc from the prior year. Net income, excluding special items was $132mn, up by 31 from prior year. Net sales revenue was down by 10pc to $2.7bn on 12pc decline in average LME aluminum price and local market premiums, according to the company. Novelis’s adjusted EBITDA was $430/mt in Q3 compared to $403/mt a year ago. Novelis has maintained a positive demand for infinitely recyclable and lightweight flat rolled aluminium products.
Novelis’ acquisition of Aleris was cleared by anti-trust authorities of US and China, but European Commission’s clearance for the buyer of Aleris’ plant in Duffel, Belgium is pending. In the US, Novelis plans to enter arbitration with the Department of Justice to acquire Aleris’ plant in Lewisport, Kentucky.
The greenfield organic expansion at Guthrie is expected to commence shipment in early fiscal 2021. The automotive finishing plant with over 200,000mt pre-treatment and 100,000mt heat treatment capacity is under commissioning.