Alcoa Reports 31.5% Revenue Growth and $407 Million Net Income in Q2 2026

Alcoa Corporation reported significant financial performance in its second quarter of 2026, with revenues reaching $3.966 billion, a 31.5% increase from $3.018 billion in the same quarter of 2025. For the first half of 2026, total revenues amounted to $7.159 billion, up from $6.387 billion year-over-year. The company’s net income attributable to Alcoa Corporation was $407 million for the second quarter, compared to $164 million in the prior year, and $832 million for the first half of 2026, up from $712 million in the same period of 2025. Earnings per share for the second quarter were $1.53, a substantial rise from $0.62 a year earlier.

The company experienced notable changes in its operational metrics, with aluminum prices increasing by 15% sequentially, while alumina prices decreased by 1%. Alcoa's third-party shipments of aluminum rose to 726,000 metric tons in the second quarter, compared to 613,000 metric tons in the previous quarter. The increase in revenue was attributed to higher aluminum prices and increased shipments, despite lower alumina prices and unfavorable currency impacts. The company also reported a decrease in costs of goods sold as a percentage of sales, reflecting improved operational efficiency.

Strategically, Alcoa announced a significant acquisition agreement on June 30, 2026, to acquire South32 Limited’s equity interests in its bauxite, alumina, and aluminum assets for $3.1 billion in cash and approximately 17 million shares of Alcoa common stock. This transaction is expected to close in the first half of 2027, subject to regulatory approvals and other customary conditions. The acquisition aims to enhance Alcoa's position as a leading upstream aluminum company and is anticipated to generate operational synergies and improve competitiveness.

Operationally, Alcoa's employee headcount remained stable, and the company continued to progress on various smelter capacity restarts, including the San Ciprián smelter, which resumed operations in April 2026. The company also reported a successful joint venture for gallium production at its Wagerup refinery in Australia, contributing $24 million to the project. Alcoa's total assets increased to $16.853 billion as of June 30, 2026, compared to $16.129 billion at the end of 2025, reflecting growth in cash and receivables.

Looking ahead, Alcoa anticipates continued operational improvements and expects to maintain its production and shipment targets for aluminum. The company has adjusted its alumina production forecast for 2026 to between 9.5 and 9.6 million metric tons, down from previous estimates, primarily due to operational challenges at the Pinjarra refinery. Alcoa's management remains optimistic about the potential benefits of the South32 acquisition and the overall market conditions for aluminum and alumina, despite ongoing geopolitical tensions and their impact on energy costs and supply chains.