Printer Friendly

ALCAN ALUMINIUM LIMITED REPORTS 1993 SECOND QUARTER RESULTS

 MONTREAL, July 13 /PRNewswire/ -- Alcan Aluminium Limited (NYSE: AL) reports a loss of US$35 million for the quarter ended June 30, 1993, as compared to a loss of $29 million in the same quarter a year ago. After preference share dividends, the loss per common share for the 1993 quarter was 18 cents, versus a loss per common share of 15 cents in the second quarter of 1992.
 Sales and operating revenues for the second quarter of 1993, at $1,858 million, were $99 million or 5 percent lower than in the comparable quarter of 1992, reflecting weaker prices for both ingot and fabricated products.
 ALCAN ALUMINIUM LIMITED
 SECOND QUARTER SIX MONTHS
 1993 1992 1993 1992
 Sales and operating revenues
 (US$ millions) 1,858 1,957 3,589 3,793
 Gross profit
 (US$ millions) 195 230 398 432
 Shipments (thousands of tons)
 Ingot products 223 191 411 400
 Fabricated products 392 380 757 707
 Fabrication of customer-
 owned metal 26 39 50 112
 Total 641 610 1,218 1,219
 Realizations (US$ per ton)
 Ingot products - own
 primary 1,289 1,431 1,325 1,343
 Fabricated products 3,055 3,368 3,069 3,427
 Total fabricated product volumes in the second quarter of 1993, at 418 thousand tons (kt), were virtually identical to their level a year ago. However, the average realized price on shipments of fabricated products was 9 percent or $313 per ton lower, reflecting continuing price erosion.
 Ingot product shipments, at 223 kt in the second quarter of 1993, were 32 kt higher than one year ago. The average realized price on shipments of Alcan's own primary ingot products in the 1993 second quarter was 10 percent or $142 per ton lower than in the comparable quarter of 1992.
 Cost reductions and the favorable impact of the weaker Canadian dollar against the U.S. dollar offset most of the decline in sales and operating revenues in the second quarter of 1993. Interest expense was also lower than in the year-ago quarter.
 SECOND QUARTER SIX MONTHS
 1993 1992 1993 1992
 Net income (Loss) (US$ millions)
 Canada (18) (15) (21) (56)
 United States (12) 1 (27) 2
 South America 1 (11) 1 (19)
 Europe (11) (1) (13) 3
 Pacific (4) 2 (5) 23
 Other (including
 eliminations) 9 (5) 10 3
 Total (35) (29) (55) (44)
 In Canada, despite a further reduction in primary metal production costs, losses increased compared to a year earlier largely due to weak ingot prices. Operations in the U.S. recorded a loss in the second quarter of 1993 as


compared to a small profit in the year-ago quarter, reflecting poor prices for most fabricated products. Some improvement was seen in South America, with Alcan posting a slight profit in the second quarter versus a loss a year ago. Operations in Brazil benefited from cost reductions and improved business conditions.
 In Europe, economic conditions continued to deteriorate in the second quarter with Alcan's European operations as a whole posting a greater loss than in the comparable quarter of 1992. In Germany, Alcan's rolled products business continued to be profitable, albeit at reduced levels. Losses in the United Kingdom were at the same level as a year ago, but were greater in Italy and Ireland.
 In the Pacific area, operations recorded a loss in the second quarter compared to a small profit in the year-ago quarter, largely reflecting worse results from Alcan's related companies in Japan, which have been hard hit by that country's weakened economy.
 The average number of common shares outstanding during the second quarter of 1993 was 223.9 million compared to 223.6 million in the same quarter last year.
 ALCAN ALUMINIUM LIMITED
 Interim Consolidated Statement of Income
 (Unaudited, in millions US$, except per share amounts) (All tonnages are stated in metric tons of 2204.6 pounds each)
 Second Quarter Six Months
 Periods ended June 30 1993 1992 1993 1992
 Revenues
 Sales and operating revenues $1,858 $1,957 $3,589 $3,793
 Other income 15 20 34 39
 Total 1,873 1,977 3,623 3,832
 Costs and expenses
 Cost of sales and operating
 expenses 1,559 1,621 2,983 3,153
 Depreciation 112 112 221 221
 Selling, administrative and general
 expenses 140 147 273 297
 Research and development expenses 25 34 53 64
 Interest 54 67 109 133
 Other expenses 25 27 42 37
 Total 1,915 2,008 3,681 3,905
 Income (Loss) before income taxes
 and other items (42) (31) (58) (73)
 Income taxes (5) 1 (4) (5)
 Income (Loss) before other items (37) (32) (54) (68)
 Equity income (Loss) (1) 5 (3) 27
 Minority interests 3 (2) 2 (3)
 Net income (Loss) $ (35) $(29) $(55) $(44)
 Dividends on preference shares 4 5 9 9
 Net income (Loss) attributable
 to common shareholders (39) (34) (64) (53)
 Net income (Loss) per common share$(0.18) $(0.15) $(0.29)$(0.24)
 Dividends per common share $0.075 $ 0.15 $0.15 $0.30
 ALCAN ALUMINIUM LIMITED
 Interim Consolidated Balance Sheet
 (Unaudited for 1993, in millions of US$ except per share amounts)
 June 30 December 31
 1993 1992
 Assets
 Current assets $ 2,641 $ 2,655
 Property, plant and equipment - net 6,114 6,256
 Investments 1,039 923
 Other assets - net 347 312
 Total assets $ 10,141 $ 10,146
 Liabilities and Shareholders' Equity
 Current liabilities
 Short-term debt $ 462 $ 499
 Other 1,014 1,046
 Debt not maturing within one year 2,353 2,287
 Deferred income taxes 899 955
 Other liabilities 819 740
 Preference shares 353 353
 Common shareholders' equity 4,241 4,266
 Total liabilities and
 shareholders' equity $ 10,141 $ 10,146
 Common shareholders' equity per
 common share 18.94 19.06
 Ratio of total borrowings to equity 38:62 37:63
 ALCAN ALUMINIUM LIMITED
 INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS
 (Unaudited, in millions of US$)
 Periods ended June 30 Six Months
 1993 1992
 Net income (Loss) $ (55) $ (44)
 Adjustments:
 Depreciation 221 221
 Deferred income taxes (41) (44)
 Changes in operating working
 capital (24) (4)
 Changes in deferred charges
 and credits 27 (24)
 Other (22) (4)
 Cash from operating
 activities 106 101
 Financing activities:
 Borrowings 52 62
 Equity - common and preferred 2 146
 Dividends (43) (77)
 Cash used for investment
 activities (123) (189)
 Effect of exchange rate changes on
 cash and time deposits - (2)
 Increase (Decrease) in cash and
 time deposits $(6) $ 45
 -0- 7/13/93
 /CONTACT: Charles Belbin of Alcan Aluminium Limited, 514-848-8232/
 (AL)


CO: Alcan Aluminium Limited ST: Quebec IN: MNG SU: ERN

TM -- NY073 -- 6139 07/13/93 18:47 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jul 13, 1993
Words:1092
Previous Article:FEDERAL EXPRESS CORPORATION REPORTS FISCAL 1993 FINANCIAL RESULTS
Next Article:NIELSEN EUROPE APPOINTS ROBINO SENIOR VP, HUMAN RESOURCES
Topics:


Related Articles
/C O R R E C T I O N -- ALCAN ALUMINIUM/
ALCAN ALUMINIUM LIMITED REPORTS THIRD QUARTER 1992 RESULTS
ALCAN ALUMINIUM LIMITED REPORTS 1992 RESULTS
ALCAN ALUMINIUM LIMITED REPORTS 1993 FIRST QUARTER RESULTS
ALCAN ALUMINIUM LIMITED REPORTS 1993 THIRD QUARTER RESULTS
ALCAN ALUMINIUM LIMITED - REPORTS 1993 RESULTS
ALCAN ALUMINIUM LIMITED REPORTS NET INCOME OF $96 MILLION FOR 1994
ALCAN ALUMINIUM LIMITED REPORTS NET INCOME OF $180 MILLION FOR SECOND QUARTER OF 1995
Alcan Aluminium Limited Announces Downturn In Asia
ALCAN REPORTS SECOND QUARTER EARNINGS@

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters