NEW YORK:
ALCAN INC., one of the world's largest aluminum producers, said Monday that its earnings more than doubled in the first quarter as higher aluminum prices helped offset rising costs and a weak dollar.
Quarterly income rose to US$216 million (J$13.3 billion), or 58 cents per share, from US$104 million, or 28 cents, in the year-ago period. Before paying preferred dividends, net income amounted to US$218 million, while income from continuing business was 56 cents per share.
The company's earnings matched the average estimate of 56 cents per share from analysts surveyed by Thomson Financial.
Net sales of US$5.17 billion fell 14 per cent from US$6 billion a year earlier, reflecting less revenue following the spin-off of its rolled-products business in early January. Analysts expected sales of US$5.15 billion.
Aluminum volume totalled US$1.06 billion, which was 31 per cent lower than US$1.5 billion last year.
Rolled products added about US$668 million to overall quarterly volume last year, the company said.
Alcan shares fell 36 cents to close at US$33 in yesterday's trading on the New York Stock Exchange, near the lower end of their 52-week range of US$31.65 and US$52.65.
