Finance
Constellium N.V. (NYSE and Euronext Paris: CSTM) today reported results for second quarter ended June 30, 2017.
Shipments of 383 thousand metric tons, down 1% compared to Q2 2016; Automotive shipments up 18% compared to Q2 2016
Revenue of €1.4 billion, up 12% compared to Q2 2016 on higher aluminium prices
Net income of €15 million compared to €9 million in Q2 2016
Adjusted EBITDA of €127 million, up 19% from Q2 2016; H1 2017 Adjusted EBITDA up 11% from H1 2016
Significant improvement in H1 2017 Cash Flows from Operations and Free Cash Flow compared to H1 2016
Completed a $300 million pan U.S. ABL and a new €100 million inventory based revolving credit facility
“Project 2019” initiatives underway and already showing benefits
Intend to move corporate domicile to France and delist from Euronext to simplify corporate structure and reduce costs
Jean-Marc Germain, Constellium’s Chief Executive Officer said, “Constellium delivered record Adjusted EBITDA during the second quarter. I’m pleased to note that each of our business units were meaningful contributors to these results. Automotive Structures and Industry reported another record quarter as its strong momentum continues. As we expected, Aerospace and Transportation delivered significantly improved results. Packaging and Automotive Rolled Products overcame incremental cost from our automotive readiness program in the U.S. and delivered results comparable to last year.”
Mr. Germain continued, “The strong second quarter results leave us well positioned to deliver at the high end of our high single-digit Adjusted EBITDA growth target for 2017. We remain steadfastly focused on executing our strategy and increasing value for our shareholders.”
Forward Looking Statement
Certain statements contained in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. This press release may contain “forward looking statements” with respect to our business, results of operations and financial condition, and our expectations or beliefs concerning future events and conditions. You can identify forward-looking statements because they contain words such as, but not limited to, “believes,” “expects,” “may,” “should,” “approximately,” “anticipates,” “estimates,” “intends,” “plans,” “targets,” likely,” “will,” “would,” “could” and similar expressions (or the negative of these terminologies or expressions). All forward-looking statements involve risks and uncertainties. Many risks and uncertainties are inherent in our industry and markets. Others are more specific to our business and operations. These risks and uncertainties include, but are not limited to, the ability of Constellium and Wise Metals to achieve expected synergies and the timing thereof, Constellium’s increased levels of indebtedness which could limit Constellium’s operating flexibility and opportunities; the potential failure to retain key employees, the loss of customers, suppliers and other business relationships; disruptions to business operations; slower or lower than expected growth in the North American market for Body-in-White aluminium rolled products, and other risk factors set forth under the heading “Risk Factors” in our Annual Report on Form 20-F, and as described from time to time in subsequent reports filed with the U.S. Securities and Exchange Commission. The occurrence of the events described and the achievement of the expected results depend on many events, some or all of which are not predictable or within our control. Consequently, actual results may differ materially from the forward-looking statements contained in this press release. We undertake no obligation to update or revise any forward-looking statement as a result of new information, future events or otherwise, except as required by law.