- Arconic Corp (NYSE: ARNC) reported a fourth-quarter sales decline of 9% year-over-year to $1.94 billion, missing the consensus of $1.99 billion.
- Revenue grew 2% organically due to growth in the aerospace, packaging, building, construction, and ground transportation end markets.
- Adjusted EPS of $0.31 beat the consensus of $0.28.
- Net loss of $(273) million, or $(2.70) per share, included a $304 million after-tax loss related to its Russian operations sale.
- Segments: Rolled Products $1.54 billion (-14.2% Y/Y), Building and Construction Systems $304 million (+16.5% Y/Y), and Extrusions $109 million (+25.3% Y/Y).
- Adjusted EBITDA margin declined 30 bps to 7.9%.
- Free cash flow was $118 million. The cash balance was $261 million.
- CEO Tim Myers said, “We accomplished a lot in 2022. We completed our re-entry into North American can sheet at our facility in Tennessee. We navigated a challenging situation with our facility in Russia and ultimately divested it for $230 million in cash proceeds. We delivered a record year in our Building and Construction Systems segment profitability.”
- FY23 Outlook: ARNC expects revenue of $8.0 billion – $8.5 billion, versus the consensus of $8.47 billion.
- Adjusted EBITDA guidance is $650 million- $700 million. Free cash flow guidance is ~$250 million.
- Price Action: ARNC shares traded lower by 2.99% at $23.40 on the last check Tuesday.
Why Investment Firm KKR’s Stock Is Higher Today
KKR delivers solid Q4 FY23 results, with asset management revenues exceeding expectations at $1.63 billion and after-tax adjusted distributable EPS hitting $1.00, beating consensus estimates. Net investment income surges to $1.47 billion, showcasing robust growth and strategic prowess.
