Alba reports BD125.9m profit for third quarter

Alba, the world’s largest aluminium smelter outside China, has reported a profit of BD125.9 million for the third quarter of 2021, up by 1,184 per cent year-on-year (YoY), versus a loss of BD11.6m for the same period in 2020.

The company reported basic and diluted earnings per share of 89 fils for Q3 2021 versus basic and diluted loss per share of 8 fils for the same period in 2020.

Total comprehensive income for Q3-2021 stood at BD126.4m versus total comprehensive loss for the third quarter of 2020 of BD11.7m – up by 1,181pc YoY.

Gross profit for Q3-2021 was BD157.4m versus BD25.7m for the same period in 2020 – up by 513pc YoY.

In Q3-2021, Alba generated BD388.9m in revenue versus BD262.7m in Q3 2020 - up by 48pc YoY.

For the first nine months of 2021, Alba has reported a profit of BD270.7m, up by 1,320pc YoY, versus a loss of BD22.2m for the same period in 2020.

The company reported basic and diluted earnings per share of 191 fils for the nine months of 2021 versus basic and diluted loss per share of 16 fils for the same period in 2020.

Total comprehensive income for the nine months of 2021 was BD275.5m, up by 974pc YoY, compared to total comprehensive loss of BD31.5m in the same period of 2020.

Gross profit for the nine months was BD361.5m versus BD80.9m in the same period of 2020 – up by 347pc YoY.

Alba generated revenue of BD1,061.5m in nine month period versus BD782.6m in the same period of 2020 – up by 36pc YoY.

Total equity as of end-September 2021 stood at BD1,356.1m, up by 26pc, versus BD1,079.5m as of end-2020.

Total assets as of end-September 2021 were BD2,555.5m versus BD2,353.7m as of end-2020 - up by 9pc.

Alba’s top-line were driven in by higher LME prices (55pc YoY in Q3 2021 and 46pc YoY in 9 months of 2021) and partially offset by lower sales volume (a drop of 7pc YoY in Q3 2021 and 5pc YoY in 9 months of 2021) while the bottom-line for Q3 and 9 months of 2021 was driven by higher top-line and partially impacted by higher selling and distribution expenses.

Commenting on the performance, Alba chairman Shaikh Daij bin Salman Al Khalifa stated: “Thanks to new-all-time high LME prices in recent months coupled with Alba’s production efficiencies and economies of scale, we continued to set benchmarks and reach new all-time records in our performance: Our Profit for the third quarter of 2021 has beaten the Profit for the second quarter by $88.7m while our profit for nine months jumped by 1,320pc to $720m. EBITDA margin, for the first time in Alba’s history, tops 42.6pc in Q3-2021 and 36.5pc for the nine months of 2021.

Our production has been on a winning streak since the beginning of 2021: 381,933 metric tonnes (MT) in Q1, 391,954 MT in Q2 and 392,959 MT in Q3.

Alba chief executive Ali Al Baqali said: “Alba today joins the $700m club for the first time in its history with profits topping $720m for the nine months of 2021. We have reached this all-time record in our profits thanks to the resilience we have gained from the Line 6 Expansion Project.”

Source: https://www.gdnonline.com/Details/991913/Alba-reports-BD1259m-profit-for-third-quarter