Alcoa posts strong Q1 profit

The parent of Australia’s Alcoa (ASX:AAI), Alcoa Incorporated, has posted a 22 per cent jump in revenue to $US5.96 billion on the back of rising metals prices.

In the first quarter of its 2011 financial year, the biggest aluminium producer in the US swung to a profit of $US308 million, or 27 cents per share, from a net loss of $US201 million, or 20 cents per share the year before.

Alcoa has attributed the gain to higher realised prices for aluminium and its raw material, alumina, and demand for aircraft, automobiles, industrial goods and packaging products.

The past twelve months have seen the price of aluminium rise over 30 per cent to around $US2,600.

Alcoa has maintained its outlook for strong global aluminium demand.

In the half year to 30 June 2010, Alcoa posted a net loss of $10.6 million.