Alcoa Reports $1.16 Billion Net Income and $12.83 Billion Sales for Fiscal Year 2025

Alcoa Corporation, a Delaware corporation active in bauxite mining, alumina refining, and aluminum smelting and casting, reported its 10-K filing for the fiscal year ended December 31, 2025. The company operates in two reportable segments: Alumina and Aluminum, with direct and indirect ownership of 25 operating locations across eight countries. Alcoa's business strategy focuses on leveraging its assets and capabilities, capitalizing on favorable market fundamentals, and maintaining a disciplined approach to growth. In 2025, Alcoa completed the sale of its 25.1% ownership in the Saudi Arabia joint venture for $1.35 billion, comprised of shares in Ma’aden and cash, and announced the permanent closure of the Kwinana alumina refinery in Australia. The company also progressed the San Ciprián smelter restart to approximately 65% of capacity and achieved annual production records at six operating sites.

The company's financial performance in 2025 showed a net income attributable to Alcoa Corporation of $1.16 billion, compared to $60 million in 2024. Sales increased to $12.83 billion from $11.89 billion in the previous year. The average realized price per metric ton of alumina was $415, a decrease from $472 in 2024, while the average realized price per metric ton of aluminum increased to $3,376 from $2,841. Alumina third-party shipments were 8.83 million metric tons, a decrease from 9.01 million metric tons in 2024, and aluminum third-party shipments were 2.52 million metric tons, a decrease from 2.59 million metric tons in the previous year. The increase in net income was primarily due to higher aluminum prices, the gain on the sale of the Saudi Arabia joint venture, lower taxes, and favorable mark-to-market results on the Ma’aden shares.

Key operational developments included bauxite production of 37.5 million dry metric tons, with 33.0 million dry metric tons from Alcoa-operated mines and 4.5 million dry metric tons from partnership-operated mines. Alcoa sold 10.0 million dry metric tons of bauxite to third-party customers and delivered 33.2 million dry metric tons to Alcoa refineries. The company's alumina refining facilities had a total nameplate capacity of 13.43 million metric tons per year, with Alcoa Corporation's consolidated capacity being 11.65 million metric tons per year. Alcoa's primary aluminum facilities had a total nameplate capacity of 3.10 million metric tons per year, with Alcoa Corporation's consolidated capacity being 2.65 million metric tons per year.

Looking ahead, Alcoa intends to focus on maintaining operational stability, strategically managing its asset portfolio, and maintaining a strong balance sheet. The company expects alumina production to range between 9.7 and 9.9 million metric tons in 2026, with alumina shipments between 11.8 and 12.0 million metric tons. Aluminum production is projected to range between 2.4 and 2.6 million metric tons, and aluminum shipments are expected to range between 2.6 and 2.8 million metric tons. The company also anticipates higher production costs associated with the restart of the San Ciprián smelter and the full-year impact of tariffs on Midwest premium revenue and tariff costs on U.S. imports of aluminum from Canada.