Aluminum sheet maker Arconic Inc. (ARNC), said it expects first quarter revenue of $1.6 billion, down about 12 percent from the year earlier period, due to disruptions in the automotive, commercial transportation and aerospace markets caused by the coronavirus pandemic.
The FactSet consensus is for revenue of $3.4 billion. Arconic split into two standalone companies – Arconic Corporation and Howmet Aerospace Inc. – on April 1 and the guidance is based on preliminary unaudited financial results from Howmet reported on April 14. The Pittsburgh, Pennsylvania based company said it expects cost savings implemented to combat the effect of the virus are expected to improve its financial profile by $200 million in 2020.
The company’s China facilities are now back to normal product, while its Russian packaging facility is running at full operations due to strong end-market demand. The company’s New York facility resumed operations on April 20 and the Tennessee plant ramped up activity.
Published in the June 2020 Edition