UPDATE 1-Noranda Aluminum profit falls on lower prices
April 25 |
April 25 (Reuters) - Noranda Aluminum Holding Co said first-quarter profit fell, hurt by lower aluminum prices and a drop in sales.
Persisting global macro-economic concerns, particularly the European sovereign-debt crisis and fears of slowing economic growth in China, have dampened aluminum prices, the Tennessee-based company said.
A global supply glut has hurt prices and some analysts expect excess capacity in aluminum smelting to drag on for years to come.
Net profit fell to $16.2 million, or 24 cents a share, from $38.3 million, or 56 cents a share, a year ago.
Revenue fell 10 percent to $353.5 million.
Noranda operates a mine in Jamaica to produce bauxite that is refined into alumina at its Gramercy, Louisiana facility. The alumina is then smelted into aluminum at Noranda's smelter near New Madrid, Missouri. (Reporting by Vaishnavi Bala in Bangalore; Editing by Don Sebastian) ((email@example.com within U.S. +1 646 223 8780 outside U.S. +91 80 4135 5800 Reuters Messaging:firstname.lastname@example.org)
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