Alba registers $65 million profit

GCC

Alba registers $65 million profit

May 16, 2024 8:45 AM

Alba, one of the world’s largest aluminium smelters, has reported a profit of BD24.5 million ($65m) for the first quarter of 2024, a drop of 48 per cent year-over-year (YoY), versus a profit of BD47.5m ($126.2m) for the same period in 2023.

The company reported basic and diluted earnings per share of 17 fils for Q1 2024 versus 34 fils for the same period in 2023.

Total comprehensive income for Q1-2024 stood at BD27.7m versus BD37.1m for the same period in 2023 – a drop of 25pc YoY. Gross profit for Q1-2024 was BD57.3m versus BD79.9m for the same period in 2023 – down by 28pc YoY.

With regards to the revenue from contracts with customers in Q1 2024, Alba generated BD334.6m versus BD369.9m in Q1 2023 – a drop of 10pc YoY.

Total equity as of March 31, 2024 stood at BD1,794.9m, up by 0.3pc, versus BD1,789.2m, as of December 31, 2023. Alba’s total assets as of end-March 2024 were BD2,575.5m versus BD2,553.6m as of end-2023 – up by 0.9pc.

Alba’s top-line and bottom-line were driven by lower LME prices (down by 8pc YoY in Q1-2024) and lower premiums (down by 27pc YoY in Q1 2024).

Commenting on the company’s performance for the first quarter of 2024, Alba chairman Khalid Al Rumaihi stated: “Despite market headwinds and lower LME prices, our commitment to operational excellence yielded good results in Q1 2024. In fact, if commodity prices (LME and premium prices) had remained at Q1 2023 levels, we are confident we would have delivered an even stronger performance for this quarter. Such performance positions us as a frontrunner to capitalise on the upswing in LME prices driven by global aluminium demand boom. Furthermore, our focus to strategic priorities equips us to navigate 2024 with agility, capitalising on emerging opportunities.”

Alba chief executive Ali Al Baqali added: “While the overall economic climate remains challenging, we are laser-focused on the controllable aspects of our business: safety, streamlined operations, and a rigorously cost-effective structure. This focus, coupled with the dedication of our entire team, empowers us to thrive even in these challenging economic conditions.”