Century Aluminum Company — Second Quarter 2026 Earnings Summary

Financial Performance

• Net sales increased to $752.1 million in Q2 2026 from $649.2 million in Q1 2026, a sequential increase of $102.9 million.
• Net income attributable to Century was $249.3 million for Q2 2026, down $88.2 million from $337.5 million in Q1 2026.
• Diluted earnings per share (EPS) were $2.39 for Q2 2026, compared to $3.23 in Q1 2026.
• Adjusted net income attributable to Century was $257.3 million for Q2 2026, up $86.6 million from $170.7 million in Q1 2026.
• Adjusted diluted EPS was $2.46 for Q2 2026, compared to $1.63 in Q1 2026.
• Adjusted EBITDA attributable to Century was $326.9 million for Q2 2026, an increase of $95.5 million from $231.4 million in Q1 2026.
• Aluminum shipments totaled 130,632 tonnes in Q2 2026, up from 122,865 tonnes in Q1 2026.
• Liquidity position at June 30, 2026, was $784.9 million, comprising $343.4 million in cash and cash equivalents, $44.8 million in restricted cash, and $396.7 million in combined borrowing availability.
• Cash and cash equivalents increased to $343.4 million at June 30, 2026, from $134.2 million at December 31, 2025.
• Total debt decreased to $480.0 million in long-term debt at June 30, 2026, with no current maturities, compared to $479.5 million long-term debt and $68.8 million current maturities at December 31, 2025.
• As of the end of July, Century's cash exceeded total debt.

Guidance and Future Outlook

• The Company expects third quarter 2026 Adjusted EBITDA attributable to Century to range between $325 million and $345 million.

Business Segments and Product Lines

• Completed the restart of the last 90 pots at Mt. Holly.
• Returned Line 2 at Grundartangi to near full production.
• The new Jamalco power generation turbine (TG4) came online in August.
• Received a 2025 45X refund totaling $94.3 million in July.
• Net sales growth was driven by higher realized metal prices and increased shipments resulting from the Mt. Holly expansion and the restart of Line 2 at Grundartangi.

Market and Competitive Landscape

• Q2 2026 results were impacted by favorable realized LME and regional premium prices.
• Favorable power price realization occurred due to improved weather conditions in the United States.
• Results were partially offset by unfavorable raw material price realization.

Risks and Challenges

• Q2 2026 included $8.0 million of net exceptional items, specifically $61.3 million related to equipment failures in Iceland (net of tax).
• The quarter included $38.9 million of unrealized gains on derivative instruments (net of tax).
• Expenses included $2.5 million in share-based compensation and $10.7 million in Mt. Holly expansion project expenses.
• The Q1 2026 net income included a one-time gain on the sale of Hawesville of $287.9 million, which contributed to the sequential decrease in Q2 net income.
• The Q2 2026 net income included a gain on insurance proceeds related to Iceland equipment failure of $7.1 million.

Management Commentary and Tone

• Management highlighted the completion of the Mt. Holly restart and the return of Grundartangi Line 2 to near full production as key operational highlights.
• Management noted that the liquidity position improved significantly, with cash exceeding total debt as of the end of July.

Other Key Points

• The Company reported a gain on insurance proceeds of $40.1 million (net) in Q2 2026, compared to $33.0 million in Q1 2026.
• Net cash provided by operating activities for the six months ended June 30, 2026, was $236.0 million.
• Net cash provided by investing activities for the six months ended June 30, 2026, was $79.2 million, driven by $200.0 million in proceeds from the sale of Hawesville.
• Net cash used in financing activities for the six months ended June 30, 2026, was $61.1 million.
• The Company owns and operates primary aluminum smelting facilities in the United States and Iceland and is the majority owner and managing partner of the Jamalco alumina refinery in Jamaica.