Higher metal sales boost Alba

Aluminium Bahrain (Alba) yesterday said that its 2018 third quarter and nine-month results were driven by higher metal sales despite being impacted partially by higher Alumina prices. For the third quarter of 2018, the company generated a net income of BD14.3 million (US$38m) versus BD25.8m (US$68.5m) for the same period in 2017 down by 44 per cent YoY due higher Alumina prices (60pc YoY increase).

Total Sales/Revenues were BD234.6m (US$623.8m) in Q3 2018, compared to BD235.3m (US$625.8m) in Q3 2017. Earnings per share (EPS) in this quarter were fils 10 versus fils 18 in Q3 2017. For the nine months of 2018, net income stood at BD77.3m (US$205.6m), an increase of 12pc YoY, compared to BD69m (US$183.5m) in nine months in 2017. Total sales/ revenues reached BD699.8m (US$1,861.2m), up by 16pc YoY, compared to BD605m (US$1,609.1m). Earnings per share were fils 55 versus fils 49 for the nine months of the year 2017.

Despite the trade-tensions, Alba said that global physical demand remain healthy with world consumption up by 4pc YoY. Commenting on the results, Chairman, Shaikh Daij Bin Salman Bin Daij Al Khalifa said: “As we progress with Line 6 Expansion Project, we look forward for the first hot metal by 1 January 2019 and safe startup of Line 6.” Alba’s Chief Executive Officer, Tim Murray added: “Despite the negative impact of Alumina prices, Alba was able to deliver solid financial results through our project titan cost improvement programme”.

Looking ahead, the company said its prorities for 2018 include the closing of the final part of 2nd ECA-Covered Facility Tranche and commissioning PS 5 for the Start-up of Line 6.