The U.S. largest aluminum producer, Alcoa Inc. reported less-than-forecasted loss in the third quarter amid low aluminum prices and worries over China’s slowing demand, where the company lowered its outlook for aluminum demand this year.
The company posted a net loss of 143 million during the third quarter, or 13 cents per share, compared with a profit of 172 million, or 15 cents per share, in the same quarter last year.
The chairman and chief executive Klaus Kleinfeld said that the company had seen a "slight slowdown" in some regions and end markets.
Alcoa has lowered its global outlook for aluminum demand to 6 percent growth for 2012, from previous projection of 7 percent.
Mr Kleinfeld said that "the main driver for this is China," as the country’s aluminum demand growth was 11 percent in the first half of this year, but "we believe this is going to come down in the second half to 7 percent.”
"Im pretty confident given the already announced China stimulus package which is going into the ground ... (it) will be picking up speed but this is probably going to take until the end of the fourth quarter," he said.
Alcoa said revenue fell 9% to 5.8 billion, due to a 17% drop in aluminum prices year-over-year, the company said.
Alcoa is the first company in the S&P 500 index to formally report its quarterly earnings.
Acloa Inc share was little changed from its 9.13 closing price in after-hours trading in New York Stock Exchange.