Alcoa Corp (AA)

Net profit margin

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Net income (ttm) US$ in thousands 60,000 -292,000 -550,000 -672,000 -651,000 -896,000 -1,474,000 -823,000 -123,000 -120,000 963,000 723,000 429,000 817,000 431,000 -75,000 -170,000 -469,000 -641,000 -846,000
Revenue (ttm) US$ in thousands 11,895,000 11,004,000 10,702,000 10,480,000 10,551,000 10,619,000 10,868,000 11,828,000 12,451,000 13,128,000 13,386,000 12,575,000 12,152,000 11,204,000 10,460,000 9,775,000 9,286,000 9,330,000 9,532,000 10,095,000
Net profit margin 0.50% -2.65% -5.14% -6.41% -6.17% -8.44% -13.56% -6.96% -0.99% -0.91% 7.19% 5.75% 3.53% 7.29% 4.12% -0.77% -1.83% -5.03% -6.72% -8.38%

December 31, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $60,000K ÷ $11,895,000K
= 0.50%

The net profit margin of Alcoa Corp has shown fluctuations over the past few years. The company reported negative net profit margins from March 2020 to June 2021, indicating that the company was experiencing losses relative to its revenue during these periods.

However, the trend reversed starting from June 2021, with net profit margins turning positive and showing an upward trajectory. This improvement suggests that the company managed to control its costs better or increase its selling prices in relation to its revenue, leading to higher profitability.

The highest net profit margin was recorded in June 2022 at 7.19%, indicating a significant improvement in profitability compared to the preceding quarters. However, the margin dipped in the following periods, with negative margins being reported in some quarters.

It is essential for Alcoa Corp to sustain positive net profit margins to ensure long-term financial viability and growth. Continuously monitoring and managing costs, optimizing operational efficiency, and expanding revenue streams will be crucial for maintaining a healthy net profit margin in the future.


Peer comparison

Dec 31, 2024

Company name
Symbol
Net profit margin
Alcoa Corp
AA
0.50%
Century Aluminum Company
CENX
15.16%