Century Aluminum Q3 2026: Revenue Surges 52% but Earnings Miss

Century Aluminum's third quarter of 2026 was defined by the comeback of its Grundartangi smelter in Iceland, where Line 2 returned to near full production after an equipment failure in October 2025. Iceland shipments more than doubled sequentially to 75,300 tonnes, pushing total primary aluminum shipments to 173,483 tonnes and driving net sales to $961.2 million, 52% above the year-ago period and ahead of the $932.2 million consensus.

The earnings picture was more complicated. Adjusted EPS of $2.58 missed the $2.75 estimate by about 6%, continuing a pattern visible across recent quarters where Century has tended to fall short on the bottom line even when volume and revenue hold up. GAAP net income of $302.6 million was lifted by $34.5 million in after-tax unrealized derivative gains and a $12.7 million insurance recovery, partially offset by $15.1 million in costs tied directly to the Iceland equipment failure.

Adjusted EBITDA attributable to Century reached $331.6 million for the quarter, and the balance sheet strengthened considerably, with cash and equivalents rising to $713 million. That liquidity backdrop matters for what management is trying to do next: completing the Grundartangi recovery, restarting curtailed capacity at Mt. Holly, and restoring the Jamalco alumina refinery to full operation after Hurricane Melissa.

The most consequential forward-looking item may be the potential new domestic smelter, which Century is pursuing with a possible joint venture with Emirates Global Aluminium and $500 million in DOE funding. Management guided fourth-quarter adjusted EBITDA of $275 million to $300 million, a range that implies some sequential step-down from Q3 as the company absorbs ongoing recovery costs and brings additional capacity online. Section 232 tariffs and Inflation Reduction Act manufacturing credits remain meaningful industry tailwinds in the background.