Alumina slides 2.7% despite improved Q4 result

The news: Shares in Alumina have dropped 2.7%, despite it posting improved earnings, bigger margins and lower costs, as the aluminium price continues to grind lower in 2024.

The numbers: Alumina shares were trading at $0.972 just after midday AEDT, and have lost more than 15% since spiking by more than a fifth after the company announced he full curtailment of production at the Kwinana refinery in Western Australia, alongside joint venture partner Alcoa. Today Alumina posted a fourth-quarter adjusted EBITDA of $84 million, up from $53 million in the third quarter, and net cash of $294.3 million, up from $268.9 million.

The context: Weak alumina prices and higher production costs have forced Alumina and Alcoa's AWAC JV to cut dividends and partially or fully curtail production at refineries in Australia and Spain.