Century Aluminum Company · NASDAQ:CENX
Century Aluminum — Q1 2025 Earnings Presentation
24 slides from Century Aluminum's earnings presentation, May 7, 2025
Slide 1: Century Aluminum Company 1st Quarter Earnings Call
Century Aluminum Company 1st Quarter Earnings Call May 7, 2025
Slide 2: Cautionary Statement
Cautionary Statement Certain statements in this presentation, and those made by Century Aluminum Company management on the quarterly conference call, relate to future events and expectations and are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 19
Slide 3: Speakers
Speakers • Jesse Gary – President and Chief Executive Officer • Peter Trpkovski – EVP, Chief Financial Officer and Treasurer 2
Slide 4: Company and Market Update
Company and Market Update • Strong LME environment continues; MWP benefit to U.S. operations more than offsets EDPP decline in Europe Industry • Alumina prices return to normalized levels following supply tightness at year end Fundamentals • Global aluminum inventory levels fall further to only 46 d
Slide 5: Industry Environment: Regional Premiums and LME
Regional Premiums $/MT LME $/MT - 100 200 300 400 500 600 700 800 900 1,000 1,400 1,600 1,800 2,000 2,200 2,400 2,600 2,800 3,000 3,200 3,400 Q121 Q121 Q221 Q221 Q321 Q321 Q421 Q421 LME Aluminum Q122 Q122 Regional Premiums Q222 Q222 Q322 Q322 Q422 Q422 MWP Q123 Q123 Q223 Q223 Q323 Q323 1) Q423 EDPP
Slide 6: Industry Environment
Industry Environment Aluminum Supply and Demand Balance – FY25 Primary Aluminum Balance – US and EU - Primary Aluminum Balance (MT in MM's) 73.6 74.0 Primary Aluminum (MT in MM's) (1.0) 43.3 43.3 (2.0) 30.3 30.7 (2.3) (3.0) (2.9) (3.0) (3.0) (2.9) (3.1) (3.1) (0.0) (0.4) (0.4) (4.0) (3.5) (3.5) (4.0
Slide 7: Smelter and Refinery Input Prices
Industry Environment Indy Hub $/MWh Coke $/MT $70 Smelter Input Prices $701 $558 $41 $505 $36 $438 $33 $31 $392 $27 $23 $287 $242 2019 2020 2021 2022 2023 2024 Spot 2019 2020 2021 2022 2023 2024 Spot Caustic $/MT HFO $/bbl $85 $824 Refinery Input Prices $68 $70 $57 $58 $59 $505 $495 $418 $384 $380 $
Slide 8: Summary of Financial Results
Summary of Financial Results ($MM, except per share and tonne amounts) Q424 Q125 Income statement Shipments (tonnes) 166,677 168,672 Net sales $ 631 $ 634 Net income 45 30 Earnings per share 0.44 0.29 Adjusted net income1 44 37 Adjusted earnings per share1 0.42 0.36 Adjusted EBITDA1 81 78 Liquidity
Slide 9: Financial Results: Q4 to Q1 Adjusted EBITDA
Financial Results Q424 to Q125 Adjusted EBITDA ($MM) 36 (18) 81 (12) 2 78 4 (15) Q424 LME / Delivery Energy Non-recurring Alumina / Raw OPEX/ Volume/ Q125 1 1 Adj EBITDA Premiums settlement 2 Materials Other Mix Adj EBITDA 1) See reconciliation to comparable GAAP financial measure in appendix 2) Set
Slide 10: Financial Results: Q4 to Q1 Cash Flow
Financial Results Q424 to Q125 Cash Flow ($MM) 23 78 (45) (16) (7) 45 33 (21) Q424 Cash Adj. 1 WC / Other Net Capex Interest 45X Q125 Cash EBITDA Borrowing/ & Tax Receivable (Repayment) 1) See reconciliation to comparable GAAP financial measure in appendix 9
Slide 11: Q2 Outlook at Realized Prices
Q2 Outlook at Realized Prices Adjusted EBITDA1 GUIDE Q1 Actual Adjusted EBITDA Attributable to Century $78 LME / Delivery Premiums ~$10 LME $2,513/MT US Midwest Premium $866/MT European Duty Paid Premium $220/MT Energy ~$10 Indy Hub $36/MWh HFO $60/bbl Henry Hub $3.33/mmbtu Raw Materials $(10) - $(5
Slide 12: Appendix
Appendix
Slide 13: Non-GAAP Financial Measures
Non-GAAP Financial Measures Adjusted net income (loss), adjusted earnings (loss) per share, adjusted EBITDA and net debt are non-GAAP financial measures that management uses to evaluate Century's financial performance. These non-GAAP financial measures facilitate comparisons of this period’s results
Slide 14: Section 232 Tariffs Benefit U.S. Production
Section 232 Tariffs Benefit U.S. Production • Tariffs support investment in U.S. production and American jobs • Reliable domestic supply to U.S. customers • Century evaluating locations in Mississippi/Ohio River Basins for new U.S. aluminum smelter Aluminum Smelter Norðurál Grundartangi Corporate Ic
Slide 15: Adjusted Net Income Non-GAAP Reconciliation
Adjusted Net (Loss) Income Attributable to Century Non-GAAP Reconciliation Q424 Q125 $MM EPS $MM EPS Net income attributable to Century stockholders $ 45.2 $ 0.49 $ 29.7 $ 0.32 Less: net income allocated to participating securities 2.4 0.03 1.5 0.02 Net income allocated to common stockholders 42.8 0
Slide 16: Adjusted EBITDA Non-GAAP Reconciliation
Adjusted EBITDA Non-GAAP Reconciliation $MM Q424 Q125 Net income attributable to Century stockholders $ 45.2 $ 29.7 Add: Net loss attributable to noncontrolling interests (4.8) (4.0) Net income 40.4 25.7 Interest expense – nonaffiliates 10.1 10.0 Interest expense – affiliates 1.6 1.8 Interest income
Slide 17: Financial Hedge Landscape
Financial Hedge Landscape Volume (unit) / % Hedged / Price/unit1 Commodity (unit) FY25 Q3-Q4 FY26 Volume % Hedged Price Volume % Hedged Price LME (MT) 17,000 5% $ 2,655 8,000 1% $ 2,650 MWP (MT) 17,000 9% $ 580 8,000 2% $ 680 Indiana Hub (MWh) 317,000 19% $ 46 154,000 5% $ 48 HFO (bbls)2 150,000 38%
Slide 18: 2025 Financial Assumptions
2025 Financial Assumptions Income Statement ($MM) YTD FY25 Cash Flow ($MM) YTD FY25 Aluminum shipments (kMT) 169 700 Sustaining Capex1 $6 $45-50 Investment Capex1 $6 $25-30 D&A $23 $85-90 SGA $11 $40-45 SGA $13 $45-50 Interest $5 $40-45 Interest Expense $10 $40-45 Varies based Hedge Settlements Loss
Slide 19: 2025 Financial Information
2025 Financial Information Sensitivities ($MM) Variance Annual EBITDA7 Pricing Convention LME +/- $100/MT $ 46 U.S.:50% ~1 month lag / 50% ~3 month lag LME MWP 1 +/- $22.04/MT 9 Iceland: primarily ~3 month lag MWP ~1 month lag EDPP2 +/- $22.04/MT 7 EDPP ~1 month lag Alumina Price Index +/- $10/MT -
Slide 20: Capacity and Production Information
Capacity and Production Information Aluminum facilities (kMT) Plant Country Capacity % Operating Sebree U.S. 220 100 Hawesville U.S. 250 0 Mt. Holly U.S. 230 75 Grundartangi Iceland 320 100 Total 1,020 70 Carbon anode facility (kMT) Plant Country Capacity % Operating Vlissingen Netherlands 163 100 T
Slide 21: Value-Added Products
Value-Added Products Value-added products capacity (kMT) FY24 FY25 Sebree – Billet/Slab 175 175 Mt. Holly – Billet/Slab 120 120 Grundartangi – Natur-Al TM Foundry Alloy 120 120 Grundartangi – Natur-Al TM Billet 150 150 Total 565 565 20
Slide 22: Capital Allocation
Capital Allocation Capital Allocation Framework Current Status Update • $250-$300MM liquidity Q125 Target Maintain Liquidity Through the target Investment Cycle Capital Liquidity $339 $250-300 • $300MM net debt target Projects Net Debt $442 $300 Sustaining Capital • $45-50 MM in historical Projects1
Slide 23: New Century Aluminum Smelter Project
New Century Aluminum Smelter Project Investing in the future of U.S. aluminum production with first primary smelter in 50 years, doubling the size of the domestic industry • The U.S primary aluminum • Under award with the U.S. • Multiphase planning / market is short ~4.2 million Department of Energy
Slide 24: For Additional Information
For Additional Information Ryan Crawford investorrelations@centuryaluminum.com 312-696-3132 (Office) Century Aluminum Company One South Wacker Dr, Suite 1000 Chicago, IL 60606 312-696-3102 (Fax) www.centuryaluminum.com 23
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