Constellium has withdrawn its 2020 guidance because of the uncertainties created by the COVID-19 pandemic, the company said in its Q1 earnings report.
Once the dust settles and it establishes a clear path forward, it will update its withdrawn guidance, it added.
The company’s total shipments in Q1 2020 dropped by 5pc to 393,000mt from 413,000mt in Q1 2019. Shipments of packaging and automotive rolled products fell by 4pc to 269,000mt in Q1 2020 from 281,000mt during the same period in 2019.
Due to lower demands across Europe and North America, shipments of aerospace and transportation products declined by 10pc to 59,000mt in Q1 2020 compared to 66,000mt in Q1 2019. Its automotive structures business also saw a slight decline of 1pc to 65,000mt in Q1 2020 from 66,000mt in Q1 2019.
The firm’s revenue in Q1 2020 dropped by 6pc to $1562mn because of lower metal prices and shipments. Constellium’s adjusted EDITDA increased by 9pc to $160mn against Q1 2019 due to improved results in its packaging and automotive rolled products, as well as automotive structures, segments.
The pandemic has forced Constellium to scale back its operations in accordance with reduced customer demand. However, some of company’s automotive plants are prepared to restart operations in May.