Alcoa Earnings Crush Expectations

Aluminium giant Alcoa reported earnings per share of $US0.11, beating analyst expectations of $US0.05.

Revenue was at $US5.77 billion, also beating estimates.

Aluminium demand is sensitive to economic activity, so the company’s earnings are widely considered as an economic bellwether.

“Our performance this quarter shows our repositioning of the Company is on the right path,” said Klaus Kleinfeld, Alcoa Chairman and Chief Executive Officer in a press release. “We continued to build our value-add businesses, capturing demand for innovative material solutions across multiple markets. Our commodity business delivered better performance in a tougher market environment, and we continued to reshape the portfolio to lower the cost base. Across the board, productivity was exceptional — achieving our full year target in the first nine months.”

Of course, it’s hard to get too excited about Alcoa’s results. As ZeroHedge noted last quarter, analyst expectations have been steadily revised downward for some time now.

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