Constellium posts an 11% hike in value-added revenue for Jan-Sep 2023, buoyed by aerospace rolled products shipments

Constellium SE has announced the third quarter results ended September 30, 2023, revealing a fall in revenue attributed to demand headwinds in several end-user sectors. Heavy inflation also threw a challenge to the company, pulling down its Q3 revenue by 15 per cent year-on-year to €1.7 billion.
Constellium posts an 11% hike in value-added revenue for nine months of 2023, buoyed by aerospace rolled products shipments
However, according to Constellium’s report, its value-added revenue (VAR) saw a rise of 5 per cent Y-o-Y to €704 million during Q3 2023, driven by improved price and product mix. From January to September 2023, it stood at €2,243 million, up by 11 per cent from €2,029 million.
Adjusted EBITDA also registered a growth of 5 per cent in Q3 from €160 million in Q3 2022 to €168 million.
Constellium posted that its net income during Q3 2023 was €64 million, witnessing a sharp fall of 51.15 per cent from €131 million a year ago. Due to frail demand from the end-user sectors, the company’s shipments also fell by 5 per cent from 387,000 tonnes in Q3 2022 to 369,000 tonnes in Q3 2023.
Constellium’s year-to-date shipments amounted to 1.16 million tonnes compared to 1.21 million tonnes during the corresponding period of the previous year. As a consequence, revenue stood 10 per cent lower in nine months, from €6,276 million to €5,626 million.
Commenting on the fiscal result, Jean-Marc Germain, Constellium’s Chief Executive Officer, noted: “Looking across our end markets, aerospace demand remains strong. Automotive demand decelerated slightly during the quarter but remains above prior year levels. Packaging shipments were down in the quarter though demand appears to have stabilized following the last several quarters of destocking. We continued to experience weakness in most industrial markets, especially in Europe.”
Constellium’s packaging and automotive rolled products shipments during Q3 2023 stood at 261,000 tonnes, down by 2 per cent Y-o-Y from 267,000 tonnes. Year-to-date, the shipments amounted to 792,000 tonnes, reflecting a fall of 5 per cent from 835,000 tonnes during the corresponding period of the previous year. Revenue decreased by 16 per cent in Q3 to €954 million and 17 per cent in the first nine months to €3,033 million.
Aerospace and transportation shipments maintained the previous year’s level in the first nine months of 2023. According to Constellium report, the shipments from January to September totalled 171,000 tonnes versus 170,000 tonnes a year earlier. In tandem, revenue scaled up by 3 per cent from €1.28 million to €1.32 million, and Adjusted EBITDA increased by 55 per cent from €161 million to €248 million.
According to Jean-Marc Germain, “Constellium delivered strong results in the third quarter despite significant inflationary pressures and demand headwinds in several end markets.”
source：https://www.alcircle.com/news/constellium-posts-an-11-hike-in-value-added-revenue-for-jan-sep-2023-buoyed-by-aerospace-rolled-products-shipments-101724