Atlanta, Georgia, USA — Novelis, a world leader in aluminum rolling and recycling, has reported a net loss of $89 million for the second quarter of fiscal year 2017, compared to a net loss of $13 million in the prior year period. Excluding $112 million loss on extinguishment of debt related to the refinancing of $2.5 billion and $27 million related to the sale of Novelis‘ equity interest in Aluminum Company of Malaysia, the company reported net income of $60 million in the second quarter of fiscal 2017, up from $25 million reported in the second quarter of fiscal 2016.
„We continued driving the positive momentum achieved over the last several quarters into the second quarter,“ said Steve Fisher, President and Chief Executive Officer for Novelis. „Our recurring strong Ebitda performance is a result of strategic investments in new capacity, driving positive portfolio mix and efficiency gains through metal input optimization. We are confident this strategy, coupled with plant productivity and asset efficiency, will continue to drive enhanced operational performance and a stronger product portfolio.“
Adjusted Ebitda for the second quarter of fiscal 2017 increased to $256 million from $182 million in the prior year period. Excluding metal price lag in both periods, Adjusted Ebitda increased 14 percent to $270 million. The increase was primarily driven by productivity gains, better metal mix, and favorable foreign exchange gains, partially offset by higher employment costs.
Net sales decreased five percent to $2.4 billion for the second quarter of fiscal 2017. This was driven by lower average aluminum prices and a two percent decline in total shipments of rolled aluminum products to 773 kilotonnes, partially offset by the favorable impact from our strategic shift to higher conversion premium products including a 12 percent increase in automotive sheet shipments to record levels.
The full Second Quarter of Fiscal Year 2017 report can be downloaded under novelis.mediaroom.com.