Constellium SE (NYSE:CSTM) reported stronger-than-expected second-quarter results on Wednesday and increased its financial guidance for the full year, sending its shares more than 3% higher in pre-market trading.
The aluminum products manufacturer posted adjusted earnings of $1.04 per share, comfortably ahead of analysts’ consensus estimate of $0.71. Quarterly revenue rose to $2.75 billion, exceeding expectations of $2.37 billion and increasing 31% from $2.1 billion in the same period last year.
Record EBITDA Driven by Strong Performance Across Business Segments
Constellium generated a record quarterly segment adjusted EBITDA of $310 million, supported by solid execution across its three operating divisions.
The company benefited from improved market conditions in the aerospace and transportation industries, continued shortages of rolled aluminum products for the North American automotive sector, strong recycling operations and ongoing operational discipline.
Company Increases 2026 Guidance
Following the stronger quarter, Constellium raised its outlook for 2026.
The company now expects adjusted EBITDA, excluding metal price lag, to be between $980 million and $1.02 billion for the year. The midpoint of $1.0 billion represents a meaningful increase compared with its previous guidance.
Constellium also said it now expects free cash flow to exceed $300 million during 2026.
Chief Executive Officer Ingrid Joerg said: “Constellium delivered a new record quarterly adjusted EBITDA in the second quarter despite uncertainties on the macroeconomic and geopolitical fronts. We achieved stronger financial performance across all of our operating segments again this quarter, including record quarterly segment adjusted EBITDA at our A&T and P&ARP segments.”
Aerospace and Packaging Businesses Lead Growth
The Aerospace & Transportation division reported adjusted EBITDA of $135 million, an increase of 61% from the prior-year period, supported by higher shipment volumes along with favourable pricing and product mix.
Meanwhile, the Packaging & Automotive Rolled Products business generated adjusted EBITDA of $165 million, up 123% year over year, primarily reflecting stronger pricing and favourable metal cost dynamics.
Overall shipments totalled 381,000 metric tonnes during the quarter, a slight decline of 1% compared with a year earlier.
Profit and Cash Flow Improve
Net income increased to $148 million, compared with $36 million in the second quarter of the previous year.
Constellium also generated free cash flow of $90 million during the quarter and repurchased 623,000 shares for $20 million.
At the end of the quarter, the company’s leverage ratio stood at 1.8 times, remaining comfortably within its long-term target range of 1.5 to 2.5 times.
Constellium stock price
