Reuters reported that Noranda Aluminum Holding Company reported Q2 results that beat analysts' estimates as higher shipments of aluminum and flat-rolled products offset lower prices.

Aluminum prices on the London Metal Exchange dropped about 20% in the Q2 due to high inventories, prompting Wall Street analysts to lower their original profit estimates on companies such as Alcoa Inc and Noranda.

Q2 net profit fell to USD 25.3 million or 36 cents per share down from USD 47.4 million or 69 cents a share, a year ago. Excluding items the company earned 11 cents. Q2 revenue fell 12% to USD 371.7 million but rose 5% from the Q1 on higher shipments.

Analysts on average had expected Q2 profit of 9 cents a share on revenue of USD 355.21 million. Noranda operates a mine in Jamaica that produces bauxite which is then refined into alumina at its Gramercy, Louisiana plant. The alumina is then smelted into aluminum at its smelter near New Madrid, Missouri.

Source - Reuters

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