Alcoa Q4 2024 Earnings Report

Alcoa EPS Results

• Actual EPS: $1.04
• Consensus EPS: $0.91
• Beat/Miss: Beat by +$0.13
• One Year Ago EPS: N/A

Alcoa Revenue Results

• Actual Revenue: N/A
• Expected Revenue: $3.45 billion
• Beat/Miss: N/A
• YoY Revenue Growth: N/A

Alcoa Announcement Details

• Quarter: Q4 2024
• Date: 1/22/2025
• Time: After Market Closes
• Conference Call Date: Wednesday, January 22, 2025
• Conference Call Time: 5:00PM ET

Alcoa (NYSE:AA), together with its subsidiaries, produces and sells bauxite, alumina, and aluminum products in the United States, Spain, Australia, Iceland, Norway, Brazil, Canada, and internationally. The company operates through two segments, Alumina and Aluminum. It engages in bauxite mining operations; and processes bauxite into alumina and sells it to customers who process it into industrial chemical products, as well as aluminum smelting and casting businesses. The company offers primary aluminum in the form of alloy ingot or value-add ingot to customers that produce products for the transportation, building and construction, packaging, wire, and other industrial markets; and flat-rolled aluminum in the form of sheet, which is sold primarily to customers that produce beverage and food cans. In addition, it owns hydro power plants that generates and sells electricity in the wholesale market to traders, large industrial consumers, distribution companies, and other generation companies. The company was formerly known as Alcoa Upstream Corporation and changed its name to Alcoa Corporation in October 2016. The company was founded in 1886 and is headquartered in Pittsburgh, Pennsylvania.

Alcoa Q4 2024 Earnings Call Transcript

Presentation

[Operator]

Good afternoon, and welcome to the Alcoa Corporation 4th Quarter and Full Year 2024 Earnings Presentation and Conference Call. All participants will be in listen only mode. After today's presentation, there will be an opportunity to ask questions. Please note, this event is being recorded. I would now like to turn the conference over to Louis Langlois, Senior Vice President of Treasury and Capital Markets.

[Operator]

Please go ahead.

[Louis Langlois, Senior Vice President of Treasury & Capital Markets at Alcoa]

Thank you, and good day, everyone. I'm joined today by William Arblinger, Alcoa Corporation President and Chief Executive Officer and Molly Behrman, Executive Vice President and Chief Financial Officer. We will take your questions after comments by Bill and Molly. As a reminder, today's discussion will contain forward looking statements relating to future events and expectations that are subject to various assumptions and caveats. Factors that may cause the company's actual results to differ materially from these statements are included in today's presentation and in our SEC filings.

[Louis Langlois, Senior Vice President of Treasury & Capital Markets at Alcoa]

In addition, we have included some non GAAP financial measures in this presentation. For historical non GAAP financial measures, reconciliations to the most directly comparable GAAP financial measures can be found in the appendix to today's presentation. We have not presented quantitative reconciliations of certain forward looking non GAAP financial measures for reasons noted on this slide. A new reference in our discussion today to EBITDA means adjusted EBITDA. Finally, as previously announced, the earnings press release and slide presentation are available on our website.

[Louis Langlois, Senior Vice President of Treasury & Capital Markets at Alcoa]

Now, I'd like to turn over the call to Bill.

[William Oplinger, CEO & President at Alcoa]

Thank you, Louis, and welcome everyone to our Q4 2024 earnings conference call. Today, we'll review the substantial progress we made during 2024 on key objectives, substantial results, the market and our plans to continue to improve and strengthen our company in 2025. Let's start with a recap of 2024. I'm very pleased that we had no fatalities or life altering injuries and improved our key safety metrics. We successfully operated under our new mine conditions in Western Australia, which included daily observation of our mining and rehabilitation practices by certain regulators.

[William Oplinger, CEO & President at Alcoa]

9 of our 11 smelters increased annual production with 5 achieving annual production records. On the people side, we onboarded and integrated new talent in several critical roles and promoted a culture that prioritizes high performance and continuous improvement. Commercially, we expanded a number of important customer and supplier relationships and invested in growth CapEx to enhance value add products needed by our customers to meet their manufacturing and sales objectives. In our Sustainer line of products, we announced our first sales of EcoSource non metallurgical alumina and our low carbon equilibrium primary aluminum now makes up half of our sales of metal in Europe. We delivered and exceeded our $645,000,000 profitability improvement program ahead of schedule through initiatives which included savings on raw materials, actions to improve profitability and competitiveness, as well as changes to improve the financial performance of our operating portfolio.

[William Oplinger, CEO & President at Alcoa]

In November, we started delevering the company with the repayment of $385,000,000 of debt, while maintaining our quarterly dividend. We completed the Illumina Limited acquisition and initiated the sale of our investment in the Monden joint ventures valued today at about $1,300,000,000 Also in the Q4 of 2024, we progressed the cooperation with stakeholders to improve the long term outlook of our San Sipran operations. To sum it up, 2024 was a successful year at Alcoa. Now I'll turn it over to Molly to take us through the strong financial results.

[Molly Beerman, Executive VP & CFO at Alcoa]

Thank you, Bill. Revenue was up 20% sequentially to $3,500,000,000 In the alumina segment, 3rd party revenue increased 45% on higher average realized third party price and higher shipments. In the aluminum segment, 3rd party revenue increased 5%, primarily due to the increase in average realized third party price. 4th quarter net income attributable to Alcoa was $202,000,000 versus the prior quarter of 90 dollars with earnings per common share doubling to $0.76 per share. These results include an additional $82,000,000 restructuring charge for the Quinona curtailment.

[Molly Beerman, Executive VP & CFO at Alcoa]

During the Q4, we completed the technical evaluation of the water management requirements for the residue areas and increased the duration of the transition and related equipment costs for ongoing water treatment. On an adjusted basis, the net earnings attributable to Alcoa was $276,000,000 or $1.04 per share. Adjusted EBITDA increased $222,000,000 to 677,000,000 dollars Let's look at the key drivers of EBITDA. 4th quarter adjusted EBITDA reflects higher alumina and aluminum prices, higher shipments and lower energy costs, partially offset by increased other costs, primarily related to intersegment elimination. The alumina segment increased $349,000,000 primarily due to higher alumina prices, higher volume, while all other cost increases were mostly offset by currency gains.

[Molly Beerman, Executive VP & CFO at Alcoa]

The aluminum segment increased slightly with higher metal prices, production cost improvements and lower energy costs being mostly offset by higher alumina costs. Outside the segment, other corporate costs increased and the inter segment elimination expense increased as expected with significantly higher average alumina price requiring more inventory profit elimination. Moving on to cash flow activities for the Q4 and full year 2024. We used cash from improved earnings in the Q4 along with cash on the balance sheet to repay the debt acquired in the alumina limited transaction. This repayment was partially offset by increased borrowings under an inventory repurchase program.

[Molly Beerman, Executive VP & CFO at Alcoa]

Working capital improved slightly in the quarter as lower inventories and higher year end accounts payables offset increased accounts receivables related to higher API and metal prices. For the year, capital expenditures, working capital changes and environmental and ARO payments continue to be our largest uses of cash. Additionally, in 2024, our restructuring payments included approximately $140,000,000 related to the Quinone curtailment and approximately $35,000,000 related to our employee commitments in Spain. Next, we'll review the performance on our profitability improvement program. We have already exceeded the $645,000,000 target set for our profitability program, which was generally a 2 year program to improve our financial results from full year 2023's low EBITDA of $536,000,000 Overall, the improvements are evident in our year over year bridge by program or location.

[Molly Beerman, Executive VP & CFO at Alcoa]

During the Q4, we added $150,000,000 to the 3rd quarter's year to date progress for a total of $675,000,000 Through December 31, the company overachieved its its $310,000,000 target on raw materials with approximately $385,000,000 in savings. Within our productivity and competitiveness program through December 31, we implemented actions contributing approximately $80,000,000 of savings and expect to deliver the $100,000,000 run rate target by the end of the Q1 of 2025. We have also progressed our portfolio improvements. To date, Borac has achieved $45,000,000 of its $60,000,000 target. We also received the final ruling from the U.

[Molly Beerman, Executive VP & CFO at Alcoa]

S. Treasury on the inclusion of direct materials in Section 45X of the IRA program, which adds roughly $15,000,000 in annual credits or about half of the benefit we had expected. The Alumar smelter restart achieved approximately $105,000,000 on its $75,000,000 target and is currently operating at nearly 85% capacity. The Quinone curtailment has been slow to deliver savings due to high transition and holding costs, but it will continue to work towards the $70,000,000 improvement target. Moving on to other key financial metrics.

[Molly Beerman, Executive VP & CFO at Alcoa]

The year to date return on equity is positive 6.5%. Days working capital decreased 11 days sequentially to 34 days, primarily due to a decrease in inventory days on increased sales. Our 4th quarter dividend added $27,000,000 to stockholder capital returns. Free cash flow plus net non controlling interest contributions was positive for the quarter, resulting in a cash balance of $1,100,000,000 As we look ahead to 2025, continuing to delever and reposition debt to the jurisdictions where cash is needed will be a priority for us. Turning to the outlook for the full year and Q1 of 2025.

[Molly Beerman, Executive VP & CFO at Alcoa]

To be clear, our outlook does not include any estimates for the impacts of potential tariffs. For the full year, we expect alumina production to range between 9,500,000 and 9,700,000 tons and shipments to range between 13,100,000 13,300,000 tons. The difference reflects our normal trading volumes as well as externally sourced alumina. The aluminum segment is expected to produce 2,300,000 to 2,500,000 tons, increasing on smelter restarts, while shipments are expected to range between 2,600,000 and 2,800,000 tons. In EBITDA items outside the segments, we expect transformation costs to be $75,000,000 slightly increased from last year and reflecting the work we are doing to accelerate remediation activity in order to take advantage of potential asset monetization opportunities.

[Molly Beerman, Executive VP & CFO at Alcoa]

Other corporate expense will improve to approximately $170,000,000 reflecting continued efforts to control our overhead costs. Below EBITDA, we expect depreciation to remain at approximately $640,000,000 Non operating pension and OPEB expense is expected to be up slightly at $25,000,000 and interest expense will be $165,000,000 For cash flow impacts, we expect 2025 pension and OPEB required cash funding to be similar to 2024 at $70,000,000 The majority of that spend is for the U. S. OPEB plan. Our capital returns to stockholders will continue to be aligned with our capital allocation framework.

[Molly Beerman, Executive VP & CFO at Alcoa]

Our capital expenditure estimate is $700,000,000 with $625,000,000 in sustaining $75,000,000 in return seeking. The sustaining capital increase is $185,000,000 over 2024, primarily due to a $70,000,000 increase related to up upcoming mine moves in Australia as well as a number of major projects, including energy transition projects in Juruti, a new ship unloader in Canada and upgrades to a bauxite reclaiming system in Australia. We expect return seeking investments to decrease following our investment in the Brazil bauxite vessels in 2024. However, we continue to identify capacity expansion projects and remain open to fund those requests if they meet return criteria and market conditions allow. We expect approximately $50,000,000 of prior period income tax payments in 2025.

[Molly Beerman, Executive VP & CFO at Alcoa]

That amount is lower than you might expect based on our 2024 higher earnings, primarily due to the utilization of the Illumina Limited carry forward net operating loss, which saved approximately $70,000,000 on 20.24 cash taxes. We have approximately $60,000,000 of tax benefit related to that NOL remaining to use in future periods subject to annual percentage limitations. Environmental and ARO spending is expected to be similar to 2024 at approximately $240,000,000 We do not provide guidance on full year cash restructuring charges, but can show the portion attributable to the Kwinana curtailment. Approximately $140,000,000 remain to be spent from the Kwinana restructuring reserve with a large majority of that to be dispersed in 2025. For the Q1 of 2025 at the segment level, in alumina, we expect performance to be favorable by alumina,

[Molly Beerman, Executive VP & CFO at Alcoa]

we expect

[Molly Beerman, Executive VP & CFO at Alcoa]

performance to be favorable by approximately $30,000,000 due to the nonrecurring inventory adjustment recorded in the 4th quarter, partially offset by typical first quarter impacts from the beginning of maintenance cycles and lower shipping volumes. In the aluminum segment, we expect performance to be unfavorable by approximately $60,000,000 due to the non recurring IRA Section 45 true up benefit recorded in the 4th quarter, lower seasonal pricing at the Brazil hydroelectric facilities and the absence of modern offtake shipping volumes in accordance with the terms of the announced transaction. While the higher average price of alumina will increase overall Alcoa adjusted EBITDA, alumina cost in the aluminum segment is expected to be unfavorable by approximately $90,000,000 Beyond the standard sensitivity provided for inter segment profit elimination, we anticipate an additional $20,000,000 of income in the Q1 of 2025 due to the lower profit retained in inventory related to changes in production costs and volumes. Below EBITDA, within other expenses, contributions to Elesys in the Q1 of 2025 are expected to increase by $25,000,000 which triggers loss recognition. The Q4 of 2024 included negative impacts of $50,000,000 due to foreign currency losses, which may not recur.

[Molly Beerman, Executive VP & CFO at Alcoa]

Based on last week's pricing, we expect the Q1 of 2025 operational tax expense to approximate $120,000,000 to $130,000,000 Note that the Q4 2024 tax provision included a $55,000,000 catch up expense. Our sensitivities have been updated for our view of 2025. Please note that we revised our regional premium distribution due to the increase in the LEMR smelter shipments. Our pricing in Brazil is based on both index and fixed pricing. As a proxy for the average result of that pricing scheme, we see a high correlation to the Midwest duty unpaid index and suggest using that index for your model.

[Molly Beerman, Executive VP & CFO at Alcoa]

Lastly, we have a new disclosure in the appendix. At the request of our stockholders, particularly those in Australia, where per unit disclosures are widely available, we are now including cost per unit measures for the alumina and aluminum segments as a whole for your reference. Now I'll turn it back to Bill.

[William Oplinger, CEO & President at Alcoa]

Thanks, Molly. We expect to maintain our fast pace in 2025. Let's cover some of our key areas of focus in 2025. We want to step change in safety. We've made great progress in the last 2 years, but we want more.

[William Oplinger, CEO & President at Alcoa]

We see a direct correlation between safety and operational stability. We're continuing our pursuit of operational excellence, supported by the modernization of the Alcoa business system and with particular attention on improving the performance of our Brazilian operations. Progressing our mining approvals in Australia remains of paramount importance. We expect to raise the bar on commercial excellence through customer focused decisions. We want to be positioned as the supplier of choice for customers in terms of product quality, innovation, sustainability and security of supply.

[William Oplinger, CEO & President at Alcoa]

We plan to pursue targeted areas for growth via organic and inorganic opportunities. We will do that where returns exceed the cost of capital and deliver value to our shareholders. We are progressing our work on San Cyprian and expect to execute the first steps in 2025. Lastly, on capital allocation, delevering and repositioning debt are a priority for us. Assuming prices retain their strength, we expect to generate sufficient cash to enable further debt reductions.

[William Oplinger, CEO & President at Alcoa]

We believe delevering is another means to deliver value to our stockholders. Now let's discuss our markets. In alumina, prices reached an all time high in the Q4 as a result of a tight market on lower than expected supply. In Guinea, a force majeure on bauxite exports to China from a major player and protests in the Bouquet region all impacted the flow of bauxite exports. This is particularly relevant to the Chinese market that was already facing tight bauxite supply due to lower local production related safety and environmental inspections at mines in Northern China.

[William Oplinger, CEO & President at Alcoa]

Meanwhile, demand remains strong from smelters, resulting in low stocks available in the alumina spot market, creating competition for alumina cargoes and increasing the cost to smelters. Looking ahead to 2025, in order for the alumina market to come back to balance, several ramp up and new projects in China, Indonesia and India must complete as planned. Also, bauxite availability is key to keeping refining projects in India and China on track. In aluminum, global demand remained resilient in the Q4. European and North American demand continues to be supported by the packaging and electrical sectors, while building and construction and automotive remain challenged.

[William Oplinger, CEO & President at Alcoa]

For building and construction specifically, prior interest rate cuts in Europe and in the U. S. Are likely to provide support for recovery. In China, growth in all end uses with the exception of building and construction led to strong primary aluminum demand growth in 2024. The increase in alumina price has outweighed the increase in aluminum price and resulted in tighter margins for smelters exposed to spot price.

[William Oplinger, CEO & President at Alcoa]

Announced smelter curtailments in Russia, front loaded maintenance at smelters in China, together with delayed ramp ups in Indonesia, have tightened global aluminum supply. For 2025, aluminum demand outside China is expected to rebound with North America and Europe supported by higher real incomes and lower average interest rates year over year. Limited supply growth is expected globally in 2025, following recent curtailments and delayed ramp ups supported by China approaching the 45,000,000 metric ton capacity cap. And of course, there is uncertainty related to the impact of any new U. S.

[William Oplinger, CEO & President at Alcoa]

Tariffs, which could have wide ranging effects on supply, demand and trade flows. When we speak of the possibility of changing trade flows, it is important to point out Alcoa's competitive advantage as a vertically integrated primary aluminum player from mine to metal with bauxite mines, aluminum refineries and aluminum smelters in the cast houses located across the world. This positioning gives Alcoa the ability to maneuver and respond to challenging and changing market and policy conditions. As I mentioned earlier, the tight supply in 2024 in bauxite and alumina caused alumina prices to rise to all time highs and some smelters had to cut production or delay ramp ups. Our global network of mines and refineries enabled us to navigate these market conditions without significant operational issues, while benefiting from the elevated alumina price.

[William Oplinger, CEO & President at Alcoa]

In aluminum, Alcoa has close proximity to customers in North America and Europe with smelters across the U. S, Canada and Europe. For both alumina and aluminum products, our customers value the security that comes with Alcoa sourced products. They appreciate our close proximity, reliable delivery performance as well as a variety of mature and stable transportation choices. Alcoa prides itself on offering high quality products across the value chain and continuing to innovate our products to meet customer needs, including low carbon solutions.

[William Oplinger, CEO & President at Alcoa]

When you transition from Alcoa's global footprint to look at the primary aluminum supply flows into the United States, you can see the U. S. Currently has a significant inflow from Canada. The current discussions and proposals on tariffs by the U. S.

[William Oplinger, CEO & President at Alcoa]

Government may have significant impacts on how metal is flowing from one country to another. Currently, the U. S. Imports 2 thirds of its primary aluminum from Canada. This was true both before and after the Section 232 tariffs on aluminum implemented by President Trump in his first term, who also granted an exemption to the tariffs for Canada and select other countries.

[William Oplinger, CEO & President at Alcoa]

There were to be tariffs on Canadian aluminum imports to the U. S, this would represent a threat to U. S. Industrial competitiveness. A 25% tariff on current Canadian export volume to the U.

[William Oplinger, CEO & President at Alcoa]

S. Could represent 1.5 $1,000,000,000 to $2,000,000,000 of additional annual cost for U. S. Customers. In addition, increasing costs on trade with Canada and Mexico would particularly hurt the U.

[William Oplinger, CEO & President at Alcoa]

S. Transportation supply chain, the largest end market in North America and specifically the automotive market. Trade flows would likely be impacted such that U. S. Aluminum imports would increase from countries and regions that have a lower import duty level like the Middle East and India, while Canadian metal could reroute to Europe and other countries.

[William Oplinger, CEO & President at Alcoa]

In Alcoa's case, we could reroute supply from our Canadian smelters to Europe. While it is an advantage to have this optionality, it certainly is not a benefit for our customers that supply chains like That said, Alcoa is 135 year old global company, which operates in markets all over the world and has worked with governments on many topics throughout our history. If the U. S. Government decides to implement new tariffs for strategic purposes, we will work with the purposes, we will work with the administration to protect Alcoa's interests.

[William Oplinger, CEO & President at Alcoa]

Let's move on to talk about our work in Spain. We just announced further progress with our San Siprian stakeholders. Alcoa Innispol, Ignis EQT, Spanish National and Chunta Regional Governments have entered into a memorandum of understanding to work cooperatively toward improving the long term outlook for the complex. There are 4 key elements of the MoU, which include cooperation from the parties. 1st, support by the governments for our dialogue with Sancyprian workers to prioritize restarting the smelter over capital investments that can be deferred to a later date.

[William Oplinger, CEO & President at Alcoa]

2nd, streamline the authorization of renewable energy projects and deploy policies to achieve competitive energy costs. 3rd, provide materially higher CO2 compensation support. We've already seen the Spanish National Government increase the CO2 compensation program budget, which will provide meaningful support when the San Siprian smelter reaches full capacity. Last, support the approval by the regional government of the residue storage area capital projects, which are needed to maintain production in the refinery. We expect to use the momentum created by the MOU to continue advancing these key areas of cooperation as well as the remaining conditions, including energy supply contracts.

[William Oplinger, CEO & President at Alcoa]

Additionally, Alcoa Innispol and Ignis EQT are working to finalize the partnership agreement. We are working to complete these steps as early as possible in the Q1 of 2025. As a company, we are proud of the progress we have made in the Q4 and in 2024 on multiple fronts. Looking ahead, we plan to maintain a fast pace of execution on our 2025 key areas of focus and strategic initiatives, improve the competitiveness of our operations and capitalize on strong market fundamentals to deliver value to our stockholders. Operator, let's start the question and answer portion of the session.

[Operator]

We will now begin the question and answer session. The first question is from Katja Jancic with BMO Capital Markets. Please go ahead.

[Katja Jancic, Analyst at BMO Capital Markets]

Hi. Thanks for taking my questions. Maybe starting on tariffs. Bill, you mentioned if there are 25% tariffs on Canada, you would potentially divert that volume to European market. Where do you think the Midwest premium could actually go if we do start seeing that volume being directed and U.

[Katja Jancic, Analyst at BMO Capital Markets]

S. Would still have to attract the volume from somewhere else?

[William Oplinger, CEO & President at Alcoa]

Yes, Kania, the Midwest premium we think will go substantially higher. I don't have a number in front of me on what we think it will end up at, but it will go substantially higher in order to attract volumes into the U. S. Ultimately, if there's a differential between Canadian and non Canadian metal, you're going to see trade flows disrupted such a way that us and other suppliers most likely will ship from Canadian metal into Europe and you'll see Middle Eastern metal, potentially Indian metal coming into North America because there would potentially be a 15% trade differential. Literally, you'd see ships passing in the Atlantic carrying the exact same product back and forth and it doesn't make a lot of sense.

[William Oplinger, CEO & President at Alcoa]

And so that's why we've shown the chart that we chose.

[Katja Jancic, Analyst at BMO Capital Markets]

And then maybe just for Alcoa specifically, would the increase in Midwest premium and your U. S. Operation be enough to offset the negative impact from tariffs?

[William Oplinger, CEO & President at Alcoa]

So remember the differential between the size of production in the U. S. Versus the size of production in Canada. We have roughly 900,000 metric tons in Canada and operating in the U. S.

[William Oplinger, CEO & President at Alcoa]

Roughly 300,000 metric tons. So the differential would not offset. Now before we speculate too much, the tariff structure hasn't been set. We have been appreciative of the U. S.

[William Oplinger, CEO & President at Alcoa]

Government taking the time to think through these tariffs and we'll wait and see what it brings and then give you a view of the outlook at that point.

[Katja Jancic, Analyst at BMO Capital Markets]

Okay, thank you. I'll hop back into the queue. Thanks.

[Operator]

The next question is from Lawson Winder with Bank of America Securities.

[Lawson Winder, Analyst at Bank of America]

Very nice hearing from you both and nice work on a solid 24. If I could, I'd like to ask about your net debt position. Nice to see it fall during the quarter. Bill, I know you haven't done this in the recent past, but would you feel that you might build in a position today to provide some sort of clarity on the net debt target for Alcoa? And then how do you think about the MaDen equity position and how does that factor into your thinking?

[Lawson Winder, Analyst at Bank of America]

And I'm coming from the point of view to try to gauge the timing of when Alcoa might consider some sort of potential increase in capital return?

[Molly Beerman, Executive VP & CFO at Alcoa]

Lawson, I'll take the first part on our net debt target. We no longer have a stated net debt target. However, we are currently higher than we've been in the last 3 years. We closed the year at $2,100,000,000 in adjusted net debt. If you recall back to 2021 2022, we were right around $1,000,000,000 in adjusted net debt and that was certainly a more comfortable level for us.

[Molly Beerman, Executive VP & CFO at Alcoa]

We will have delevering as well as repositioning debt as a priority in 2025. If we find though that we have excess cash after maintaining our strong balance sheet and funding our operations to sustain them, we will look at our capital allocation framework and we'll look at shareholder returns, positioning for growth as well as any further portfolio actions that we need to take.

[William Oplinger, CEO & President at Alcoa]

And when we consider the Mottin transaction, it's important to remember that we've announced it, but we haven't closed it. We anticipate that it will be closed in the first half of this year. The value on the day that we announced the transaction was roughly $1,100,000,000 Subsequent to that time, the modern shares have increased, so the value is more like $1,300,000,000 dollars We're very focused on getting that transaction closed. Recall that it has a lockup period of roughly a third, a third, a third, 3 years, 4 years, and 5 years. And so over that time period, we'll consider what we do with those shares.

[William Oplinger, CEO & President at Alcoa]

But there is a lockup period. So, we'll have some time before we potentially recognize that value.

[Lawson Winder, Analyst at Bank of America]

Okay, very helpful. Thank you for those comments. If I could actually jump to the bauxite market and just you provided some commentary and it's helpful. It sounded kind of I guess there's a bit of a warning about to some of these aluminum refineries that are ramping up. I mean, what are you hearing from your third party customers in terms of bauxite availability?

[Lawson Winder, Analyst at Bank of America]

I mean, do you have a sense that there is sufficient bauxite capacity in 2025 to see some of these new refineries and particularly in India and China ramp up?

[William Oplinger, CEO & President at Alcoa]

So the bauxite market currently is very tight. We see bauxite pricing into China at $120,000,000 $130 per ton, probably the highest bauxite ever been. When a coastal refinery in China is looking at restarting. If they're using imported bauxite, their bauxite cost alone is between somewhere between $2.50 $300 per ton. So the market is tight and it's tight for the reasons that we discussed in the prepared remarks.

[William Oplinger, CEO & President at Alcoa]

And that has a flow on impact on the alumina market. When we look at the alumina market, we think that alumina will remain tight, we believe through the first half. Don't know what will happen after that. In order for the alumina market to loosen up, we need to see production coming online in India, Indonesia, but with a tight bauxite market and an expensive bauxite market that pressures the aluminum market further.

[Lawson Winder, Analyst at Bank of America]

Okay. Thanks for your comments. Much appreciated. The

[Operator]

next question is from Daniel Major with UBS. Please go ahead.

[Daniel Major, Analyst at UBS Group]

Hi there. Can you hear me okay?

[Operator]

Yes, we can.

[William Oplinger, CEO & President at Alcoa]

Yes, I can hear you.

[Daniel Major, Analyst at UBS Group]

Great, thanks. Yes, two questions. The first one just on Sancypria and I guess good progress with the memorandum, understanding a couple of competitors. Can you confirm what the cash balance is at the end of the year at San Cyprian and any updated projection based on kind of market prices as to when effectively that will run out

[Daniel Major, Analyst at UBS Group]

of cash? And it's

[Daniel Major, Analyst at UBS Group]

the memorandum of understanding and I guess it's encouraging, but it doesn't guarantee that a deal will be reached. Is that a way of thinking about it?

[Molly Beerman, Executive VP & CFO at Alcoa]

Yes. I'll take the first part on the cash balance. So with recently high API prices, it has reduced our net cash consumption, but cash is still depleting weekly. And so we do have a sense of urgency to complete our discussions and negotiations, primarily with the unions on the release of the restricted cash and with the energy suppliers on viable contracts. The decision for us to proceed with the JV formation and initial investments that would be made by Alcoa and our partner Ignis will be based on the certainty that we have on each of the remaining items.

[William Oplinger, CEO & President at Alcoa]

And as far as the MOU goes, we think the MOU is a step forward for the long term viability of the site. The MOU provides essentially four things as I outlined in my prepared remarks. Both the national and the regional government are supportive of prioritizing the smelter restart over the capital investments. They're supportive of streamlining the authorization of renewable energy projects, specifically wind farms. They're providing their support for materially higher CO2 compensation support.

[William Oplinger, CEO & President at Alcoa]

That's a big deal. Back in December 13, they talked about doubling compensation for CO2. That supports the long term viability of the site. And then lastly, we need not least important, but we need support on approval of the residue storage area uplift. With that said, Daniel, we continue to plan for the ramp up of the smelter, but at this point, it can't be guaranteed.

[William Oplinger, CEO & President at Alcoa]

As we mentioned earlier, we still have several key pieces that need to fall in place. Currently, the smelter is not viable, so ramping up production will accelerate the consumption of cash that Mollie talked about from the proposed investment that must be for reserve to support the long term viability of the operations. We also need to hear from the Works Council on releasing the restricted cash. So, the MOU is a step forward, but it doesn't necessarily guarantee the restart of the smelter.

[Daniel Major, Analyst at UBS Group]

Very good. Thank you. And then, second part of the question, lots of excitement around monetizing excess energy offtake that you have to feed the AI data center dynamic. Can you provide us with any numbers around megawatts to potential excess capacity and any steer around the upside to that?

[William Oplinger, CEO & President at Alcoa]

You're breaking up on us, but I think the question that you're asking was that do we have excess energy that we can monetize around the world. And we have 4 positions down in Brazil that are part ownership in hydros that we sell into the marketplace there. We saw the benefit of some higher pricing in the Q4 versus the Q3. So that's a positive. That will fluctuate depending on what the rainfall essentially looks like and what the energy prices look like down in Brazil.

[William Oplinger, CEO & President at Alcoa]

The other place that we could potentially monetize energy is in Wort, but Wort's coal fired power plant and currently we're using that energy to run the smelting. But those are really the two areas that we could monetize energy other than making it into aluminum. The

[Operator]

The next question is from Carlos De Alba with Morgan Stanley. Please go ahead.

[Carlos de Alba, Analyst at Morgan Stanley]

Thank you very much. Hello, Molina and Bill. So maybe similar vein of the last question, but then slightly different. What is the opportunity that our CoA has to potentially monetize idle sites given the interest from data centers on that type of assets?

[William Oplinger, CEO & President at Alcoa]

Thanks for the question, Carlos. And we actually have a history of monetizing legacy assets that has generated significant value over time. And so while others may talk about it, we have actually done it. So for instance, in Texas, if you remember the Rockdale site, I believe we sold it for right around $270,000,000 a number of years ago and that has subsequently been redeveloped into certain areas. Again, we were able to monetize it and make good money.

[William Oplinger, CEO & President at Alcoa]

In advance of that, I should say after that, we sold the Intelco site for $100,000,000 That ultimately went to a data center developer and it was long before this craze around AI and data centers and we were able to monetize $100,000,000 there. We have a number of sites around the country and around the world that are uniquely positioned to be able to take advantage of both the data center and the AI situation. Why do I say they're uniquely positioned? They have generally energy connections that are able to bring energy in. So when I look at it, there are places like Wenatchee, Messina East, the one that's probably the most valuable is Point Comfort because it has access to a port.

[William Oplinger, CEO & President at Alcoa]

Globally, we have Point Henry, which is a site that in Australia. So while I'm not willing to put a value on it, you see our track record before the real craze around AI and data centers of multi $100,000,000 sales generations from these sites.

[Carlos de Alba, Analyst at Morgan Stanley]

Thanks, Bill. And maybe just a follow-up on that one. Is there any timetable and you were focused obviously last year on closing the alumina limited. You have been making progress in Sanseipriand. I mean, it's an ongoing effort.

[Carlos de Alba, Analyst at Morgan Stanley]

But do you have now this potential monetization of legacy assets in your agenda for the coming months, quarters? Any color as to when exactly where the company is potentially in this process and where we could see some benefit?

[William Oplinger, CEO & President at Alcoa]

No. And the reason why I say no, Carlos, is because these things take time and I want maximum value. We're not in a position where we need to do a fire sale on any of these assets. So, if you recall the saga of Rockdale from a number of years ago, we had offers in Rockdale that were as small as $40,000,000 and we held out for maximum value that was again my recollection was greater than $250,000,000 So I'm not going to lay out a timetable. We have assets that we can monetize.

[William Oplinger, CEO & President at Alcoa]

In the case of something like Point Comfort, we're going through the demolition. We're going to make sure that we get maximum value out of these sites. So we're not in a rush to sell, but it is actually a good market right now. So we'll let you know.

[Carlos de Alba, Analyst at Morgan Stanley]

Fair enough. And you're going to cheat a little bit since that was technically one question. If I may just ask consensus, Brian, so if all these efforts that you are putting into restarting the asset and reaching a viable agreement don't work, don't play out, what would be like sort of maybe a range of the worst case for Acoa and Arcoa shareholders? How much money you would potentially lose or cash that would be stranded in the country? If you can provide some color or framework around that, that would be useful.

[Carlos de Alba, Analyst at Morgan Stanley]

Thank you very much.

[William Oplinger, CEO & President at Alcoa]

So, Carlos, before Molly gives you some numbers, I will caution you that I don't want to speculate on the potential outcome here. We are focused on making San Cyprian a viable site. We just announced significant support that we're really pleased with from both the national and the regional government. So we are focused on making that a viable site for the long term. That's our priority outcome.

[William Oplinger, CEO & President at Alcoa]

However, Molly can give you some numbers around potential curtailment or closure costs.

[Molly Beerman, Executive VP & CFO at Alcoa]

So Carlos, please have an updated from the last time they remain the same. On the smelter without severance, we're looking at $40,000,000 to $50,000,000 in cash closure costs. On the refinery, again, without severance, we're about $200,000,000 but that does include about $80,000,000 in the CapEx for the residue storage area. We're actually going to go ahead and do that work now. That will be needed whether we're running or closing.

[Molly Beerman, Executive VP & CFO at Alcoa]

And in a closure scenario, again, we're not there, but we would be paying out those funds that I just spoke about over 5 to 7 years.

[Operator]

The next question is from Nick Giles with B. Riley Securities.

[Nick Giles, Equity Research Analyst at B Riley Financial]

Afternoon, everyone. Congrats on a really nice quarter here. I just wanted to follow-up on some of your legacy power assets. What have conversations look like to date? Have you been approached by any hyperscalers or similar data center developers?

[Nick Giles, Equity Research Analyst at B Riley Financial]

Or is due diligence really just on Alcoa's end at this stage?

[William Oplinger, CEO & President at Alcoa]

Nick, we are in constant contact with developers on all of these sites. And it takes time and it takes a lot of work with various groups. These are generally not the landscape has changed a little bit with some of the hyperscalers. But historically, these are generally not well capitalized firms. So you go through a lot of process and ultimately find out that they don't have the money to be able to do it.

[William Oplinger, CEO & President at Alcoa]

But that's what we've done in places like Rockdale and in telco. So we are in contact with folks and trying to move forward for the best value for our shareholders.

[Nick Giles, Equity Research Analyst at B Riley Financial]

Well, Bill, I think it's safe to say everyone will be a little better capitalized after Well, Bill, I think it's safe to say everyone will

[Nick Giles, Equity Research Analyst at B Riley Financial]

be a little better capitalized after the Stargate announcement last night. My next

[Nick Giles, Equity Research Analyst at B Riley Financial]

question was, first of all, congratulations on the execution of the profitability improvement program. I was wondering if you could provide an update on your productivity and competitiveness program. I think you had reached $45,000,000 as of Q3. Should we still think about you exiting 1Q at the $100,000,000 run rate? Thanks very much.

[Molly Beerman, Executive VP & CFO at Alcoa]

Yes. By that point, we'll have executed all the actions to hit the 1 $100,000,000 run rate. We actually put all of the productivity initiatives into our 2025 plan. While I know externally that you guys like these profitability programs, Internally, they're actually hard to measure and hold accountable. So we took the step of building all of our improvements into our plan.

[Molly Beerman, Executive VP & CFO at Alcoa]

That way, we can track it by operation, by department and know who's accountable. So we're feeling good about going into 2025 with all of those actions locked down and accounted in the plan.

[Nick Giles, Equity Research Analyst at B Riley Financial]

So and Maury, thank you so much for all the color and continue. Best of luck.

[William Oplinger, CEO & President at Alcoa]

Thank you.

[Molly Beerman, Executive VP & CFO at Alcoa]

Thank you.

[Operator]

The next question is from Chris Lefeboomino with Jefferies. Please go ahead.

[Chris LaFemina, Equity Research Analyst at Jefferies Financial Group]

Thanks, operator. Hi, Bill and Molly. Thanks for taking my question. Hi, Chris. I was going to ask about CapEx, but first just on to that profitability improvement program.

[Chris LaFemina, Equity Research Analyst at Jefferies Financial Group]

Molly, you mentioned that it's hard to monitor that stuff internally. Well, it's also hard for us to monitor it externally. So if we look at what you've delivered there and we assume you get the full benefit from the corona curtailment, we assume you get the full benefit of the productivity and competitive program that you just spoke about, We assume you get the full benefit of the Warwick optimization. That would imply like $750,000,000 in total benefits. And I think you did about $530,000,000 roughly of EBITDA in 2023 before this program was implemented.

[Chris LaFemina, Equity Research Analyst at Jefferies Financial Group]

So does that mean effectively that if we go back to a 2023 commodity price environment, EBITDA instead of being $530,000,000 would be $750,000,000 more than that. So it's more like $1,300,000,000 in that sort of price environment. Is that the way we should think about that program in terms of modeling it going forward?

[Molly Beerman, Executive VP & CFO at Alcoa]

I hear what you're saying, Chris, but I kind of focus on the performance side of it. So if you look at the numbers that we've listed in the chart on the progress that we've made, if you look at the year over year bridge, which is in the back of your appendix, you'll see that our initiatives have generated about $625,000,000 of productivity that's showing up in the 2023 to 2024 bridge. That's on top of the market improvements of $740,000,000 So when you look at the deltars, we do have about $50,000,000 of headwinds related to lower value add product premiums and about $250,000,000 in other headwinds related to inflation and costs outside the program. So we have a net delivery that's very apparent in the bridge of over $300,000,000

[William Oplinger, CEO & President at Alcoa]

dollars And that's the beauty of that bridge, right? There's puts and takes. We have a massive effort in place to continuously improve the company. But the bridge spells out exactly what we ended up getting. And so it bridges the earnings to earnings and it's pretty clear there.

[Chris LaFemina, Equity Research Analyst at Jefferies Financial Group]

That's helpful. Thank you. And then secondly, just on CapEx, so your 2025 CapEx guidance is probably a little bit higher than I think many in the market had expected. And Bill, you mentioned that there is some substantial projects that are contributing to the high sustaining CapEx for 2025 and it's up nearly $200,000,000 versus 2024. How do we think about where that trends after 2025?

[Chris LaFemina, Equity Research Analyst at Jefferies Financial Group]

So is it going to be a big lump of CapEx in 2025 and then it reverts back to some more normalized level in 2026? And then what is that more normalized level? How should we think about CapEx kind of through the cycle? Where should it be aside from your growth?

[Molly Beerman, Executive VP & CFO at Alcoa]

So Chris, let me take this one. There's a couple of moving components because of the changes between sustaining and return seeking. But if you think in 2024, we were guiding to about $600,000,000 in expected CapEx. We did underspend that a bit. However, we're thinking of it as going from $600,000,000 up to $700,000,000 And we had been guiding that we would add at least $50,000,000 in the next 2 years related to the mine moves.

[Molly Beerman, Executive VP & CFO at Alcoa]

As it turns out, we're adding 70 in 2025. I don't yet have the number for 26 on the mine moves, but you can expect that that will be significant. The mine moves will take 3 ish years to complete, so we would be elevated during that time.

[Chris LaFemina, Equity Research Analyst at Jefferies Financial Group]

Okay. So that's 70 of the I think you said 185 increase, right? Is the other 115 all kind of one off 2025 items that we should expect to reverse in 2026? Or are they just I mean, I understand there's a lot of moving parts. Just trying to think about where that might go even with the mine CapEx that you're spending?

[Molly Beerman, Executive VP & CFO at Alcoa]

So we have some opportunities with sustaining CapEx now to really improve our business. If you look at the projects that we mentioned, Jerruti is going through an energy transition. We're connecting them to the grid there. We have a new ship unloader going in, in Canada. That's significant expense.

[Molly Beerman, Executive VP & CFO at Alcoa]

And then we also have a bauxite reclaimer in Western Australia. So maybe it's timing, but we absolutely have an opportunity now to really improve the business. And so we are while we have the cash available, we are going to put it into the business.

[Chris LaFemina, Equity Research Analyst at Jefferies Financial Group]

Great. Thank you for that. Good luck.

[Molly Beerman, Executive VP & CFO at Alcoa]

Thank you.

[Operator]

The next question is from Michael Dudas with Vertical Research. Please go ahead.

[Michael Dudas, Equity Research Analyst at Vertical Research Partners]

Good evening, gentlemen, Molly.

[William Oplinger, CEO & President at Alcoa]

Hey, Michael.

[Michael Dudas, Equity Research Analyst at Vertical Research Partners]

Bill, as you put forth your outlook for 2025 with regard to volumes, etcetera, Maybe you could share like are you anticipating in the cycle tariffs aside a recovery year, a more normalized year? Like what's the sense from your from the client base and what you're seeing about on the demand front where the cycle might be here as we move forward, just from the overall outlook for say the aluminum industry?

[William Oplinger, CEO & President at Alcoa]

So let me start with aluminum and we'll just briefly hit on aluminum and bauxite. But as we look forward on aluminum, we are seeing global demand growth at roughly 2% on a growth on a year over year basis. That breaks down roughly of rest of world of 3% and China at approximately 1%. Now, I'm rounding these numbers a little bit from the exact numbers, but it gives you an indication of what type of growth that we're seeing. Rest of world growth is actually pretty strong.

[William Oplinger, CEO & President at Alcoa]

China growth at 1% historically low, but we'll see whether China takes any action around stimulus and to me potentially that's upside. Then if I look at the rest of the world demand picture and we go kind of end market by end market, we continue to see demand strength in packaging. We continue to see demand strength in electrical conductor and electrical distribution. The automotive space is a little bit mixed. We are seeing strength in North America with a little bit of weakness in Europe.

[William Oplinger, CEO & President at Alcoa]

And then building into construction, which is the largest demand driver globally for aluminum is still fairly weak. And building construction will be based on what happens with interest rates. And I know a lot of people were anticipating that interest rates would be lower in 2025. Just from a mathematics perspective, it looks like it will be on average a little bit lower unless rates go higher from here. And we think that potentially offers some upside on the demand side.

[William Oplinger, CEO & President at Alcoa]

So that's the market.

[Michael Dudas, Equity Research Analyst at Vertical Research Partners]

That's very helpful, Bill. And then maybe just a follow-up. Do you think the market as you're seeing as you're getting ready for it, are you thinking the market is expecting the tariffs that we're anticipating? Do you see sense of that from the client base, market indices, how you're thinking about this? And how quickly or how rapidly can the industry kind of adjust to these dynamics since there seem to be happening at pretty breakneck speed here as we start the new administration?

[William Oplinger, CEO & President at Alcoa]

I'm going to give you a little bit of a non answer. And it's just because there's not a lot of clarity around what the market is expecting. You look at the Midwest premium in the U. S, it has gone from something like $0.18 in November, December timeframe to $0.24 today. So is it anticipating some type of tariff?

[William Oplinger, CEO & President at Alcoa]

It may be anticipating some type of tariff. What it's not anticipating is a 25% tariff that would have a massive step up in overall Midwest premium. So our customers and it's a question that Molly and I were just talking with our commercial team over the last couple of days. Our customers are in the same spot we're in. They don't know what to do as far as tariffs.

[William Oplinger, CEO & President at Alcoa]

They're not necessarily doing significant repositioning of metal because they just simply don't know. So we'll wait to see what comes of it. As far as how quickly things will turn, once the tariffs go into place, you will, I believe, immediately see a bump up in the Midwest premium as soon as the tariffs take effect. And then over time, metal will flow and we think it will take what we say 1 to 2 quarters that it will take time for metal to flow out of other regions if there is a tariff differential. So we're speaking about a situation where Canada has a 25% tariff and the rest of the world has a 10% tariff.

[William Oplinger, CEO & President at Alcoa]

We will see trade flows over the course of, let's say, half of the year, have significant impacts, but it'll start immediately.

[Michael Dudas, Equity Research Analyst at Vertical Research Partners]

Bill, that was a great non answer. I appreciate it.

[William Oplinger, CEO & President at Alcoa]

Thanks.

[Operator]

The next question is from Timna Tanners with Wolfe Research. Please go ahead.

[Timna Tanners, Managing Director - Equity Research at Wolfe Research, LLC]

Hey, team. Thanks for taking my question. I wanted to expand a little bit. I know you talked about use of cash debt pay downs of priority, but you did allude to some expansions. And I know you've talked in the past about opportunity to revisit Warwick or Listy and others.

[Timna Tanners, Managing Director - Equity Research at Wolfe Research, LLC]

Given this really high aluminum price, is it just a matter of alumina prices or balance not being compelling or what kind of decisions do you need to make to decide to restart in this environment?

[William Oplinger, CEO & President at Alcoa]

So thanks for the question Tim. I hope you're doing well. The first and foremost is we need some clarity around the tariff structures before we do anything with the U. S. Or Canadian assets or European assets, we need clarity around tariff.

[William Oplinger, CEO & President at Alcoa]

And then you hit upon one that is big, alumina prices. So as we look at potential the metal price may support additional capacity in a place like Lista, especially if we can get European energy prices at a reasonable level. But really factoring in today's alumina, there's an opportunity cost of consuming alumina in a place like Liza that we can turn around and sell it $5.70 a ton. So as we always do, once we get clarity around the tariffs, we'll factor in exchange rates, alumina prices, aluminum prices and most importantly, energy prices to make a determination specifically around Lissa and Warwick. Those are the two places that we have excess capacity that could be restarted.

[Timna Tanners, Managing Director - Equity Research at Wolfe Research, LLC]

Okay, helpful. Thank you. Also wanted to touch base on your technology initiatives as far as CapEx use. I know in the past those were a big focus and there wasn't much emphasis in this presentation on some of the initiatives you've detailed in the past. So any update can you provide for us?

[Timna Tanners, Managing Director - Equity Research at Wolfe Research, LLC]

Would those be kind of in line for capital uses? Or are they pushed out a bit? Thanks.

[William Oplinger, CEO & President at Alcoa]

So before Molly answers the numbers question, I do want to give you some insight into our thinking around our 3 key technology programs. Elesys in 2024 was a little bit of a disappointment in that it did not deliver the start of 450 ks sales in 2024. We anticipate that in 2025, we will have a 450 ks sales started in Elisys. So that's the anticipation there. When I look at Australia, we're making progress in Australia.

[William Oplinger, CEO & President at Alcoa]

We've gone from really a desktop sized cell to a much larger cell, not commercially sized, not by any stretch, but we are stepping up the cell size in Australia. We're doing that at the Alcoa Technical Center. And then in the refinery side, we are making progress on key technologies, for instance, electric calcination that are promising. And so, we're seeing that technology and looking at how we can apply it to our existing refineries to have a step change in both energy usage and carbon emissions. So, Molly, do you want to address the dollar question?

[Molly Beerman, Executive VP & CFO at Alcoa]

Yes. Tim, we do not have significant technology dollars. I don't have the, Astraea specific right handy, but recall it's around $15,000,000 And LSS? No LSS CapEx.

[Timna Tanners, Managing Director - Equity Research at Wolfe Research, LLC]

Okay. Thank you. Helpful.

[Operator]

The next question is from Bill Peterson with JPMorgan. Please go ahead.

[Bennett, SPEAKER at JP Morgan]

Good afternoon. This is Bennett on for Bill. If I could circle

[Bennett, SPEAKER at JP Morgan]

back to San Siprion real quick, wondering what the feedback has been from the union and workforce regarding the MOU and Provost JV? Is this at all a bottleneck moving forward?

[William Oplinger, CEO & President at Alcoa]

So, the MOU is really fresh, right. And so we had meetings with our employees and informed them of the MOU, but we are also being very balanced in the discussion around the MOU. The MOU is, as I said, as I characterize it, is a real step forward in that we have support from the national and the regional governments. But there are still certain things that need to come into place in order for us to guarantee the restart of the smelter. So, that's the communication that we've had with our employees and with the unions and they've heard that directly from us at this point.

[Bennett, SPEAKER at JP Morgan]

Thanks for that. And then on permitting in Western Australia, has that public comment period begun? And what are the next milestones we should watch for after that?

[William Oplinger, CEO & President at Alcoa]

Go ahead, Monique.

[Molly Beerman, Executive VP & CFO at Alcoa]

So the public comment period, we expect to commence toward the end of the Q1 and go into the Q2. At this point, we're still on track for our approvals in 2026 and then the mine move and access to the upgraded box site no earlier than 'twenty seven.

[Bennett, SPEAKER at JP Morgan]

Thank you. Congrats on a great quarter.

[William Oplinger, CEO & President at Alcoa]

Thank you.

[Molly Beerman, Executive VP & CFO at Alcoa]

Thank you.

[Operator]

This concludes our question and answer session. I would like to turn the conference back over to Mr. Oplinger for his closing remarks.

[William Oplinger, CEO & President at Alcoa]

Thanks, Carrie, and thank you all for joining our call. Molly and I look forward to sharing further progress when we speak again in April. Thank you.

[Operator]

The conference is now concluded. Thank you for attending today's presentation. You may now disconnect.

Participants

Executives

• Louis Langlois, Senior Vice President of Treasury & Capital Markets
• William Oplinger, CEO & President
• Molly Beerman, Executive VP & CFO

Analysts

• Katja Jancic, Analyst at BMO Capital Markets
• Lawson Winder, Analyst at Bank of America
• Daniel Major, Analyst at UBS Group
• Carlos de Alba, Analyst at Morgan Stanley
• Nick Giles, Equity Research Analyst at B Riley Financial
• Chris LaFemina, Equity Research Analyst at Jefferies Financial Group
• Michael Dudas, Equity Research Analyst at Vertical Research Partners
• Timna Tanners, Managing Director - Equity Research at Wolfe Research, LLC
• Bennett, SPEAKER at JP Morgan