CSTM Earnings Prediction
The chart below shows how CSTM performed 10 days before and after its earnings report, based on data from the past quarters. Typically, CSTM sees a +2.54% change in stock price 10 days leading up to the earnings, and a +3.22% change 10 days following the report. On the earnings day itself, the stock moves by +0.18%. This data can give you a slight idea of what to expect for the next quarter's release.
CSTM Key Earning Data
CSTM Earnings Analysis
Positive
Safety Performance Excellence: Strong safety performance with a recordable case rate of 1.02 per million hours worked, exceeding safety targets.
Revenue Increase Driven by Prices: Revenue increased by 5% year-over-year to $2 billion, driven by higher metal prices despite lower shipments.
Net Income Increase: Net income rose to $38 million compared to $22 million in the same quarter last year, indicating improved profitability.
Strong Operational Performance: Adjusted EBITDA was $186 million, with a positive non-cash impact from metal price lag of $46 million, reflecting strong operational performance.
Operational Recovery and Cost Efficiency: Valais operations have resumed normal operations, emerging with a lower cost structure after recovering from a flood incident.
Positive Free Cash Flow Outlook: Free cash flow expectations remain positive, with a target of over $120 million for the year, despite a negative $3 million in Q1.
Shareholder Value Enhancement: Shareholder returns included $15 million through the repurchase of 1.4 million shares, demonstrating commitment to returning value to investors.
Strong Liquidity Position: Liquidity position remains strong at $800 million, with no bond maturities until 2028, providing financial stability.
Market Fundamentals and Growth: Long-term market fundamentals remain intact, particularly in aerospace and packaging, with expectations for growth in these sectors.
Negative
Shipment Decline Analysis: Shipments decreased by 2% compared to Q1 2024, with lower shipments in A&T and AS&I segments.
Adjusted EBITDA Analysis: Adjusted EBITDA of $186 million included a positive non-cash impact from metal price lag of $46 million; excluding this, adjusted EBITDA was $140 million, down from $160 million in the previous year.
Negative Free Cash Flow: Free cash flow was negative $3 million, impacted by a $27 million negative effect from the Valais flood recovery efforts.
EBITDA Decline Analysis: A&T segment adjusted EBITDA decreased by 14% due to lower aerospace and TID shipments, with aerospace shipments down 11% and TID shipments down 7%.
AS&I Segment Decline: AS&I segment adjusted EBITDA decreased by 50%, with automotive shipments down 14% and industry shipments down 4%.
Increased Corporate Expenses: Holdings and corporate expenses increased by $4 million from last year, primarily due to additional IT spending.
Scrap Metal Cost Challenges: Scrap metal costs are expected to remain a headwind for the remainder of the year relative to historical levels, despite some improvement in scrap spreads.
Weak Automotive Demand: Automotive demand remains weak in both North America and Europe, with production still below pre-COVID levels and expected to be impacted by Section 232 auto tariffs.
Tariff Impact on Demand: Overall macro uncertainty due to tariffs is negatively impacting demand across several markets, particularly automotive.
CSTM FAQs
How does CSTM typically perform around its earnings report dates?
CSTM's stock performance around earnings reports can vary, but historical data shows specific patterns, such as a +2.54% change leading up to the report and a +3.22% change in the 10 days following the release.
Is Constellium SE (CSTM) Q1 2025 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
CSTM Earning Call Sentiment
Constellium SE (CSTM) Q1 2025 Earnings Call Transcript
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